IB 300 Test questions with answers
Which of the following are identified in the text as being drivers of globalization? - ANS✅✅Political
Technological
Market
Cost
Competitive
According to supporters of the globalization of trade and investment, free trade: - ANS✅✅Creates
more and better jobs
As stated in the text, an international business is: - ANS✅✅A business whose activities involve
crossing national boarders
Foreign business denotes: - ANS✅✅The domestic operations within a foreign country. or
The operations of a company outside its home or domestic market.
A multi-domestic company is: - ANS✅✅An organization with multi-country affiliates
A global company is: - ANS✅✅An organization that attempts to standardize operations worldwide
The domestic environment is composed of all the uncontrollable forces originating in the _________
that surround and influence the life and development of the firm. - ANS✅✅Home Country
Decision making in the international environment is _____ it is in a purely domestic environment. -
ANS✅✅More complex than
According to the Exporter Data Base, small and medium-sized enterprises accounted for ____ all of
U.S.exporters. - ANS✅✅Nearly 98%
In examining the volume of international trade: - ANS✅✅The proportion of manufacturing value
added generated by South and East Asia has quadrupled since 1980
, When considering where to export, advantages to manager of focusing on a nation that is already a
sizable purchaser of goods coming from the home country include: - ANS✅✅The business climate
in the importing nation is relatively favorable.
Export and import regulations are not insurmountable.
There should be no strong cultural objections to buying that nation's goods.
Satisfactory transportation facilities have already been established.
Import channel members are experienced in handling import shipments form the exporter's area.
Foreign exchange to pay for the exports is available.
The government of trading partner may be applying pressure on importers to buy from countries
that are good customers for that nation's exports.
The three nations that exported the largest amount of goods to the United States in 2010 were: -
ANS✅✅Canada
Mexico
China
Supporters of mercantilism: - ANS✅✅Viewed accumulation of precious metals as an activity
essential to a nations welfare and to increase wealth, government policies should promote exports
and discourage imports.
The capability of one nation to produce more of a good with the same amount of input than another
country is: - ANS✅✅An absolute advantage
A nation having absolute disadvantages in the production of two goods with respect to another
nation has ________ in the production of the good in which its absolute disadvantage is less. -
ANS✅✅A comparative or relative advantage
Locating activities in another nation is: - ANS✅✅Offshoring
Theory based on ______ states that international and interregional differences in production costs
occur because of differences in the supply of production factors. - ANS✅✅Resource Endowment
The IMF initially played a central role in: - ANS✅✅Setting fixed exchange rates among nations'
currencies with an established par value based on gold.
Which of the following are identified in the text as being drivers of globalization? - ANS✅✅Political
Technological
Market
Cost
Competitive
According to supporters of the globalization of trade and investment, free trade: - ANS✅✅Creates
more and better jobs
As stated in the text, an international business is: - ANS✅✅A business whose activities involve
crossing national boarders
Foreign business denotes: - ANS✅✅The domestic operations within a foreign country. or
The operations of a company outside its home or domestic market.
A multi-domestic company is: - ANS✅✅An organization with multi-country affiliates
A global company is: - ANS✅✅An organization that attempts to standardize operations worldwide
The domestic environment is composed of all the uncontrollable forces originating in the _________
that surround and influence the life and development of the firm. - ANS✅✅Home Country
Decision making in the international environment is _____ it is in a purely domestic environment. -
ANS✅✅More complex than
According to the Exporter Data Base, small and medium-sized enterprises accounted for ____ all of
U.S.exporters. - ANS✅✅Nearly 98%
In examining the volume of international trade: - ANS✅✅The proportion of manufacturing value
added generated by South and East Asia has quadrupled since 1980
, When considering where to export, advantages to manager of focusing on a nation that is already a
sizable purchaser of goods coming from the home country include: - ANS✅✅The business climate
in the importing nation is relatively favorable.
Export and import regulations are not insurmountable.
There should be no strong cultural objections to buying that nation's goods.
Satisfactory transportation facilities have already been established.
Import channel members are experienced in handling import shipments form the exporter's area.
Foreign exchange to pay for the exports is available.
The government of trading partner may be applying pressure on importers to buy from countries
that are good customers for that nation's exports.
The three nations that exported the largest amount of goods to the United States in 2010 were: -
ANS✅✅Canada
Mexico
China
Supporters of mercantilism: - ANS✅✅Viewed accumulation of precious metals as an activity
essential to a nations welfare and to increase wealth, government policies should promote exports
and discourage imports.
The capability of one nation to produce more of a good with the same amount of input than another
country is: - ANS✅✅An absolute advantage
A nation having absolute disadvantages in the production of two goods with respect to another
nation has ________ in the production of the good in which its absolute disadvantage is less. -
ANS✅✅A comparative or relative advantage
Locating activities in another nation is: - ANS✅✅Offshoring
Theory based on ______ states that international and interregional differences in production costs
occur because of differences in the supply of production factors. - ANS✅✅Resource Endowment
The IMF initially played a central role in: - ANS✅✅Setting fixed exchange rates among nations'
currencies with an established par value based on gold.
