Test Bank for Global Business, 5th Edition by Mike Peng (1).pdf

TestmBankmFormGlobal mBusinessm5thmEditionmBymMikemPengm(AllmChapters,m100%mOriginal mVerified,mA+mGrade
)
Name: Class: Date:

Chapter m01 m-mIntroduction

Indicatemwhethermthemstatementmismtruemormfalse.

1. Ammultinationalmenterprisemismamfirmmthatmengagesminmforeign mdirectminvestmentmbymdirectly minvestingmin,mcontrolling,
mand mmanagingmvalue-added mactivities min mothermcountries.

a. True
b. False

2. Themtermm“emergingmmarkets” mrefersmto mthemfastest-growingmdevelopingmeconomies.
a. True
b. False

3. Grossmdomesticmproductm(GDP)mismthemsummofmvaluemadded mbymresidentmfirms,mhouseholds,mandmgovernmentsmoperatin
gmin man meconomy.
a. True
b. False

4. Themmajority mof mthemglobalmGDPmismcontributed mby mthememergingmmarkets.
a. True
b. False

5. Purchasingmpowermparitym(PPP)mismamconversionmthatmdeterminesmthemequivalentmamountmofmgoodsmandmservicesmdiffe
rentmcurrenciesmcan mpurchase.
a. True
b. False

6. Purchasingmpowermparitym(PPP)mismcalculated masmthemsummofmvaluemaddedmbymresidentmfirms,mhouseholds,mandmgovernm
entsmoperatingmin man meconomy.
a. True
b. False

7. Globalmbusinessmincludesmboth minternationalmand mdomestic mbusinessmactivities.
a. True
b. False

8. Internationalmbusinessmcan mbemdefined masmtheminvestmentmin,mcontrolling,mand mmanagingmvalue-
added mactivitiesmin mothermcountries.
a. True
b. False

9. On mthemglobalmeconomicmpyramid,mthemTriadmrefersmto mdevelopedmeconomiesmconsistingmofmNorth mAmerica,mEurope,m
and mJapan.
a. True
b. False

10. Allmthemcountriesmof mthemBRICmbelongmto mthemtop mtiermof mthemglobalmeconomic mpyramid.
a. True
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,Name: Class: Date:

Chapter m01 m-
mIntroduction

b.mFalse

11. Themsecondmtiermofmthemglobalmeconomicmpyramid mismmademup mofmcountriesmwithmampermcapitamannualmincomemofmmoremthan
$20,000.
a. True
b. False

12. Thememergingmmarketsmof mthemworld maremplaced matmthemtop mof mthemglobalmeconomic mpyramid.
a. True
b. False

13. Themglobalmeconomicmpyramidmdoesmnotmrepresentmcountriesmthatmhavemampermcapitamannualmincomemof mlessmthan m$2,000.
a. True
b. False

14. Themtermm"basemof mthempyramid"mrepresentsmeconomiesmwheremindividualsmmakemlessmthan m$2,000 mamyear.
a. True
b. False

15. Reverseminnovationsmareminnovationsmthatmaremadopted mfirstmin mthemTriad-
based mmultinationalsmand mthen mdiffused maround mthemworld.
a. True
b. False

16. Reverseminnovation misman mexamplemof mbottom mup minnovation.
a. True
b. False

17. ThemGroup mof m20 mincludesmthemEuropean mUnion m(EU)—amregionalmbloc.
a. True
b. False

18. Globalization mhasmdriven mup mthemsalariesmof mlow-levelmjobs.
a. True
b. False

19. An minternationalmpremium mismamsignificantmpay mraisemawarded mto mexpatriate memployeesmworkingmabroad.
a. True
b. False

20. NewmYork mhasmmoremFortunemGlobalm500 mcompany mheadquartersmthan many mothermcity.
a. True
b. False

21. Overall,mthemfocusmon mfirmmperformancemaroundmthemglobemdefinesmthemfieldmofmglobalmbusinessmmoremthan manythingmelse.
a. True
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,Name: Class: Date:

Chapter m01 m-
mIntroduction

b.mFalse

22. An minstitution-
based mviewmsuggestsmthatmthemsuccessmandmfailuremofmfirmsmaremenabledmandmconstrainedmby mbusinessmrulesmandmnormsmof
mthe mhostmnation.

a. True
b. False

23. Formalminstitutionsminclude mlaws,mregulations,mand mrules.
a. True
b. False

24. Theminstitution-based mviewmplacesmemphasismon mthemexternalmfactorsmthatmcould maffectmamfirm.
a. True
b. False

25. Focusingmon mamfirm’sminternalmresourcesmand mcapabilitiesmismthemmain memphasismof mthemresource-based mview.
a. True
b. False

26. Liability mof mforeignnessmismtheminherentmdisadvantage mexperienced mbymforeign mfirmsminmhostmcountriesmbecausemofmt
heirmnon-nativemstatus.
a. True
b. False

27. Mostmopponentsmof mglobalization mviewmitmasmamlong-run mhistoricalmevolution msincemtradembegan.
a. True
b. False

28. Accordingmtomthempendulummviewmofmglobalization,mglobalizationmismamrelativelymnewmphenomenonmtriggeredmby
mthe minformation mrevolution mof mthe mearly m1990s.

a. True
b. False

29. Scenario mplanningmismamtechnique mto mprepare mand mplan mexclusively mformhigh-risk mscenarios.
a. True
b. False

30. Standardization mof mmarketsmwould mlead mto mamstatemof msemiglobalization.
a. True
b. False

31. Semiglobalization mismprimarily mcaused mby mthempractice mof mtotalmisolation.
a. True
b. False


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, Name: Class: Date:

Chapter m01 m-
mIntroduction

b.mFalse
32. Themcurrentmstatemof mglobalization maround mthemworld mismthatmof msemiglobalization.




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