Introduction to Global Business:
Understanding the International
Environment & Global Business 3rd
Edition by Julian Gaspar – TEST BANK
VERIFIED CHAPTERS 1-15| EXPERT
VERIFIED QUESTIONS AND
CORRECT ANSWERS
1
, Chapter 1: The Rise of Globalization
TRUE/FALSE
1. With business becoming increasingly global, its success, fortunately, depends only on the domestic
environment.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 4 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
2. Even though business is global, the credit crisis of 2008, started by an American investment bank, was
limited to the American economy with fortunately no impact on the global economy.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 3 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
3. Key aspects of globalization include the elimination of barriers to trade and information technology.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate REF: p. 5 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
4. So far globalization has made it possible for goods, services, and capital, to cross national borders but
not technology and culture.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 5 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
5. The “soft” qualities essential to globalization include openness, protectionism, accountability,
connectivity, democracy, and centralization.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 6 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
2
,6. A sustainable decoupling process would eventually lead to a multi-polar world—a world economy in
which the engines of growth could comprise the United States, the European Union, China, India, Brazil,
Russia, and South Africa rather than the United States alone.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 9 OBJ: LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
7. The openness and proliferation of globalization and free trade rules can best be attributed to the
interwar period between World War I and II.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 10 OBJ:
LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
8. As part of the World Bank’s Strategic Framework, there are five focus areas that accommodate and
facilitate the globalization process including its analytical and advisory role supporting national policies
to strengthen free market institutions and infrastructure that has provided the potential for creating large
gains from trade.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 12 OBJ: LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
9. For World Trade Organization, increasing trade barriers has been one of the most simplistic ways to
encourage trade and globalization.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 13 OBJ:
LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
10. The foundations of the globalized business world are political—and so are the biggest threats to the
system.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging REF: p. 15 OBJ:
LO: 01-03 NAT: BUSPROG: Analytic
3
, STA: DISC: Environmental Influence KEY: Bloom's: Analysis
11. Countries that have successfully adapted to globalization realize that they cannot succeed without
high-quality government management at home.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate
REF: p. 18 OBJ: LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
12. In communist and state-controlled economies like those in Central Asia property rights either do not
exist or are not well defined which discourages domestic and foreign investors from making long-term
commitments in these countries.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate REF: p. 18 OBJ:
LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
13. More globalized economies like New Zealand and Singapore rank at the top in index for absence of
corruption by Transparency International.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 19 OBJ: LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
14. Because broadband prices have been falling, governments in emerging economies such as India and
South Africa are facilitating the spread of broadband to rural towns and villages to provide instant access
to market information and government programs to remote villagers which will enable policymakers to
maximize the economic potential of remote communities and make globalization sustainable.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate
REF: p. 20 OBJ: LO: 01-05 NAT: BUSPROG: Analytic
STA: DISC: Information Technology KEY: Bloom's: Evaluation
4
Understanding the International
Environment & Global Business 3rd
Edition by Julian Gaspar – TEST BANK
VERIFIED CHAPTERS 1-15| EXPERT
VERIFIED QUESTIONS AND
CORRECT ANSWERS
1
, Chapter 1: The Rise of Globalization
TRUE/FALSE
1. With business becoming increasingly global, its success, fortunately, depends only on the domestic
environment.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 4 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
2. Even though business is global, the credit crisis of 2008, started by an American investment bank, was
limited to the American economy with fortunately no impact on the global economy.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 3 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
3. Key aspects of globalization include the elimination of barriers to trade and information technology.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate REF: p. 5 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
4. So far globalization has made it possible for goods, services, and capital, to cross national borders but
not technology and culture.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 5 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
5. The “soft” qualities essential to globalization include openness, protectionism, accountability,
connectivity, democracy, and centralization.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 6 OBJ:
LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
2
,6. A sustainable decoupling process would eventually lead to a multi-polar world—a world economy in
which the engines of growth could comprise the United States, the European Union, China, India, Brazil,
Russia, and South Africa rather than the United States alone.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 9 OBJ: LO: 01-01 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
7. The openness and proliferation of globalization and free trade rules can best be attributed to the
interwar period between World War I and II.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Challenging REF: p. 10 OBJ:
LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Analysis
8. As part of the World Bank’s Strategic Framework, there are five focus areas that accommodate and
facilitate the globalization process including its analytical and advisory role supporting national policies
to strengthen free market institutions and infrastructure that has provided the potential for creating large
gains from trade.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 12 OBJ: LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
9. For World Trade Organization, increasing trade barriers has been one of the most simplistic ways to
encourage trade and globalization.
ACCURATE ANSWER: F PTS: 1 DIF: Difficulty: Moderate REF: p. 13 OBJ:
LO: 01-02 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
10. The foundations of the globalized business world are political—and so are the biggest threats to the
system.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging REF: p. 15 OBJ:
LO: 01-03 NAT: BUSPROG: Analytic
3
, STA: DISC: Environmental Influence KEY: Bloom's: Analysis
11. Countries that have successfully adapted to globalization realize that they cannot succeed without
high-quality government management at home.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate
REF: p. 18 OBJ: LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Comprehension
12. In communist and state-controlled economies like those in Central Asia property rights either do not
exist or are not well defined which discourages domestic and foreign investors from making long-term
commitments in these countries.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate REF: p. 18 OBJ:
LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
13. More globalized economies like New Zealand and Singapore rank at the top in index for absence of
corruption by Transparency International.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Challenging
REF: p. 19 OBJ: LO: 01-04 NAT: BUSPROG: Analytic
STA: DISC: Environmental Influence KEY: Bloom's: Evaluation
14. Because broadband prices have been falling, governments in emerging economies such as India and
South Africa are facilitating the spread of broadband to rural towns and villages to provide instant access
to market information and government programs to remote villagers which will enable policymakers to
maximize the economic potential of remote communities and make globalization sustainable.
ACCURATE ANSWER: T PTS: 1 DIF: Difficulty: Moderate
REF: p. 20 OBJ: LO: 01-05 NAT: BUSPROG: Analytic
STA: DISC: Information Technology KEY: Bloom's: Evaluation
4
