BUSINESS INTERNATIONAL MARKET ENTRY, PRODUCT ADAPTATION, AND IMC
STRATEGIES FOR GLOBAL BUSINESS EXAM QUESTIONS AND ANSWERS
Juanita has a small business in Colorado that produces one-of-a-kind jewelry using semi-
precious gemstone beads. She purchases a supply of gemstone beads from a company in France
and sells several necklaces to a buyer in Ireland. The beads are _______; the necklaces are
_______.
imports; exports
In 2016, the citizens of the United Kingdom, one of the most important members of the ___
voted to withdrawal from the group
European Union
The world trade organization 164 member countries are required to do all of the following
EXCEPT ___
Promote healthcare for poor nations
In choosing to move manufacturing of a products from the United States to another country
such as China or Mexico, a company would MOST LIKELY consider __as a primary factor
Cost of labor
,Which of the following terms identifies the model explaining why countries engage in
international trade
national competitive advantage
Napa and Sonoma counties in California have the ideal territory (temp, climate, soil
compensation, and topography) for wine making. Which type of advantage does this give
winemakers in these counties over other parts of the country
Comparative
Cobalt, used to make batteries for electric cars is found in abundance in the democratic republic
of Congo. Because 60% of the cobalt is produced in the DRC, this country woukd be said to have
an ___ advantage in the production of cobalt.
Absolute
The __ with China was $382.3 billion in 2022, a 8.3 percent increase (29.4 billion dollars) over
2021. This means that imports from china exceed exports to china from the US
Trade deficit
A country's ___ is the flow of money into or out of a country, including the value of its imports
and exports, money spent on tourism, foreign aid programs, and currency trading.
Balance of payments
, A country's __ is the total economic value of all the products that it exports minus the economic
value of all the products that it imports
Balance of trade
When exports exceed imports, the national enjoys a ___
Trade surplus
A national is extremely efficient in the production of electronics. However, its climate and
terrain make it difficult to grow grain. Economists suggest that the country should ____
Concentrate on production of electronics and import grain from another nation.
An ___ is the rate at which the currency of one nation can be exchanged for that of another
Exchange rate
Xin's Rug Emporium offers the widest variety of Persian and Oriental rugs in the area. Xin
regularly travels worldwide to find and buy the most exquisite and unusual rugs that foreign
producers have to offer. Xin is an ___
Importer
When a firm wants to enter the international market, which of the folllowing represents the
lowest level of international involvement , and hence the LEAST risk
Importing/Exporting
STRATEGIES FOR GLOBAL BUSINESS EXAM QUESTIONS AND ANSWERS
Juanita has a small business in Colorado that produces one-of-a-kind jewelry using semi-
precious gemstone beads. She purchases a supply of gemstone beads from a company in France
and sells several necklaces to a buyer in Ireland. The beads are _______; the necklaces are
_______.
imports; exports
In 2016, the citizens of the United Kingdom, one of the most important members of the ___
voted to withdrawal from the group
European Union
The world trade organization 164 member countries are required to do all of the following
EXCEPT ___
Promote healthcare for poor nations
In choosing to move manufacturing of a products from the United States to another country
such as China or Mexico, a company would MOST LIKELY consider __as a primary factor
Cost of labor
,Which of the following terms identifies the model explaining why countries engage in
international trade
national competitive advantage
Napa and Sonoma counties in California have the ideal territory (temp, climate, soil
compensation, and topography) for wine making. Which type of advantage does this give
winemakers in these counties over other parts of the country
Comparative
Cobalt, used to make batteries for electric cars is found in abundance in the democratic republic
of Congo. Because 60% of the cobalt is produced in the DRC, this country woukd be said to have
an ___ advantage in the production of cobalt.
Absolute
The __ with China was $382.3 billion in 2022, a 8.3 percent increase (29.4 billion dollars) over
2021. This means that imports from china exceed exports to china from the US
Trade deficit
A country's ___ is the flow of money into or out of a country, including the value of its imports
and exports, money spent on tourism, foreign aid programs, and currency trading.
Balance of payments
, A country's __ is the total economic value of all the products that it exports minus the economic
value of all the products that it imports
Balance of trade
When exports exceed imports, the national enjoys a ___
Trade surplus
A national is extremely efficient in the production of electronics. However, its climate and
terrain make it difficult to grow grain. Economists suggest that the country should ____
Concentrate on production of electronics and import grain from another nation.
An ___ is the rate at which the currency of one nation can be exchanged for that of another
Exchange rate
Xin's Rug Emporium offers the widest variety of Persian and Oriental rugs in the area. Xin
regularly travels worldwide to find and buy the most exquisite and unusual rugs that foreign
producers have to offer. Xin is an ___
Importer
When a firm wants to enter the international market, which of the folllowing represents the
lowest level of international involvement , and hence the LEAST risk
Importing/Exporting
