Test Bank For International Management: Managing
Across Borders and Cultures, Text and Cases 9th Edition
By Helen Deresky
A subsidiary is a - ANSWER: child company completely owned by the parent
company.
Which of the following is an effect of the Internet on globalization? - ANSWER: It
triggered billion-dollar investments in fiber-optic telecommunications cables.
Which of the following is true of globalization? - ANSWER: It builds on the principle
of sovereignty to strengthen the relationships that connect us.
In January of 2018, President Trump approved the application of safeguard tariffs on
$8.5 billion imports of solar panels and $1.8 billion of washing machines. For
international producers of solar panels and washing machines, this move would
most likely be viewed as an external - ANSWER: political threat
Marriott International, an American hospitality company that owns several hotel
brands, often chooses to enter new markets by allowing another company to use its
brands and trademarks, but only under strict guidelines from Marriott on how the
hotel or lodging facility will be operated. This is an example of which foreign market
entry mode? - ANSWER: Franchising
Russet Inc., an American stainless steel manufacturer, sources iron ore from
Australia for the manufacture of steel. It saves on raw material costs as iron ore is
cheaper in Australia. This scenario best illustrates _____. - ANSWER: the
globalization of production
According to Amartya Sen, a Nobel Prize-winning economist, globalization: -
ANSWER: has enriched the world scientifically and culturally.
All of the following are resources that a company can gain from foreign sources
EXCEPT - ANSWER: higher land costs.
According to critics of globalization, _____. - ANSWER: new technologies and the
investment of foreign capital in developing countries may actually increase levels of
inequality
Since its founding, Supercell, a Finnish company, has created mobile game apps for
iOS and Android operating systems that can downloaded and played from anywhere
in the world. This company is an example of which kind of firm? - ANSWER: Born
global
, Which of the following is true of the Foreign Corrupt Practices Act (FCPA)? -
ANSWER: It does not ban facilitation payments
A government's seizure of assets as a result of political action is known as ... -
ANSWER: expropriation
_____ sets the boundaries and rights that define community - ANSWER: Customary
law
Using responsible packaging for products is an example of a _____ - ANSWER:
sustainable business practice
Which of the following is true of political systems? - ANSWER: They directly affect
the opportunities available to international businesses.
In Tenatia, a country in Eastern Europe, companies and people can own land and
equipment. They have the liberty to decide how to utilize these resources and reap
the returns or losses of business activities. Given this information, it can be said that
the companies and the people in Tenatia have _____. - ANSWER: property rights
_____ is the primary process by which countries with a command economy change
to a market economy - ANSWER: Privatization
Which of the following is true of a state-supported company? - ANSWER: The state
provides incentives, grants, tax breaks, or subsidies to the company.
Any creation of the human mind is known as _____ - ANSWER: intellectual property
In the United States, the _____ regulates all forms of online advertising - ANSWER:
Federal Trade Commission
A reason for a government to wish to limit international trade is to: - ANSWER:
protect its infant industries.
Which of the following statements is true of the infant industry theory? - ANSWER: It
argues that certain emerging industries need to be protected for a period of time.
Which of the following is a difference between low-context cultures and high-
context cultures? - ANSWER: Low-context cultures rely on direct means of conveying
messages, whereas high-context cultures use more implicit messaging.
Jonathan is an entrepreneur who believes that companies pursue international trade
in an attempt to achieve cost advantages by spreading fixed costs over more units of
output. Jonathan believes in the _____. - ANSWER: theory of economies of scale
_____ is a model that assesses the competitive potential of industries. - ANSWER:
Porter's Diamond Model
Across Borders and Cultures, Text and Cases 9th Edition
By Helen Deresky
A subsidiary is a - ANSWER: child company completely owned by the parent
company.
Which of the following is an effect of the Internet on globalization? - ANSWER: It
triggered billion-dollar investments in fiber-optic telecommunications cables.
Which of the following is true of globalization? - ANSWER: It builds on the principle
of sovereignty to strengthen the relationships that connect us.
In January of 2018, President Trump approved the application of safeguard tariffs on
$8.5 billion imports of solar panels and $1.8 billion of washing machines. For
international producers of solar panels and washing machines, this move would
most likely be viewed as an external - ANSWER: political threat
Marriott International, an American hospitality company that owns several hotel
brands, often chooses to enter new markets by allowing another company to use its
brands and trademarks, but only under strict guidelines from Marriott on how the
hotel or lodging facility will be operated. This is an example of which foreign market
entry mode? - ANSWER: Franchising
Russet Inc., an American stainless steel manufacturer, sources iron ore from
Australia for the manufacture of steel. It saves on raw material costs as iron ore is
cheaper in Australia. This scenario best illustrates _____. - ANSWER: the
globalization of production
According to Amartya Sen, a Nobel Prize-winning economist, globalization: -
ANSWER: has enriched the world scientifically and culturally.
All of the following are resources that a company can gain from foreign sources
EXCEPT - ANSWER: higher land costs.
According to critics of globalization, _____. - ANSWER: new technologies and the
investment of foreign capital in developing countries may actually increase levels of
inequality
Since its founding, Supercell, a Finnish company, has created mobile game apps for
iOS and Android operating systems that can downloaded and played from anywhere
in the world. This company is an example of which kind of firm? - ANSWER: Born
global
, Which of the following is true of the Foreign Corrupt Practices Act (FCPA)? -
ANSWER: It does not ban facilitation payments
A government's seizure of assets as a result of political action is known as ... -
ANSWER: expropriation
_____ sets the boundaries and rights that define community - ANSWER: Customary
law
Using responsible packaging for products is an example of a _____ - ANSWER:
sustainable business practice
Which of the following is true of political systems? - ANSWER: They directly affect
the opportunities available to international businesses.
In Tenatia, a country in Eastern Europe, companies and people can own land and
equipment. They have the liberty to decide how to utilize these resources and reap
the returns or losses of business activities. Given this information, it can be said that
the companies and the people in Tenatia have _____. - ANSWER: property rights
_____ is the primary process by which countries with a command economy change
to a market economy - ANSWER: Privatization
Which of the following is true of a state-supported company? - ANSWER: The state
provides incentives, grants, tax breaks, or subsidies to the company.
Any creation of the human mind is known as _____ - ANSWER: intellectual property
In the United States, the _____ regulates all forms of online advertising - ANSWER:
Federal Trade Commission
A reason for a government to wish to limit international trade is to: - ANSWER:
protect its infant industries.
Which of the following statements is true of the infant industry theory? - ANSWER: It
argues that certain emerging industries need to be protected for a period of time.
Which of the following is a difference between low-context cultures and high-
context cultures? - ANSWER: Low-context cultures rely on direct means of conveying
messages, whereas high-context cultures use more implicit messaging.
Jonathan is an entrepreneur who believes that companies pursue international trade
in an attempt to achieve cost advantages by spreading fixed costs over more units of
output. Jonathan believes in the _____. - ANSWER: theory of economies of scale
_____ is a model that assesses the competitive potential of industries. - ANSWER:
Porter's Diamond Model
