Page | 1
CGBP FINAL EXAM 165 Questions
with Detailed Verified Answers
Question: How does a company's domestic strategy impact its international
strategy?
Answer: The international strategy will be based on a firm's competitive
advantage and is an important starting point from which the international
strategy is developed.
Question:Which of the following would be issues included with an
international business plan?
Answer: SWOT, product selection, entry mode, sales and expense forecast
Question:What are some of the management and business plan implications
relating to management commitment?
Answer: It establishes key decisions such as payback period, how overhead is
allocated, and feedback and control policies.
Question:How much cash flow is required for a company to expand
internationally?
Answer: It varies based on the overall international strategy but can be less
than the current domestic budget.
Question:What is the importance of management commitment as regards to
a company's readiness to go global?
, Page | 2
Answer: It is likely the most important factor that must be in place before a
company plans to expand globally.
Question:Does a company need international expertise to expand globally?
Answer: No. Those skills can be learned or outsourced as a company starts its
initial global growth.
Question:In order to make international sales, which of the following is a true
statement?
Answer: Travel to the foreign market is not required, but suggested.
Question:What is meant by a company's capacity to produce international
products?
Answer: Does it have spare manufacturing capacity to produce enough
products for international buyers?
Question:Which of the following is not a necessary condition for a company
to be ready to go global?
Answer: foreign language ability
Question:What is meant by a company's capability to produce international
products?
Answer: Can it manufacture products that meet foreign market standards and
regulations?
Question:Assume a company is importing music boxes classified as
9208.05.0000. Also assume the music boxes fit inside a specially designed
, Page | 3
plastic case suitable to store the music box. Also assume there is a
classification for plastic cases of 3919.20.2000. When importing these music
boxes with the plastic cases, which harmonized code(s) would you use for the
products?
Answer: 9208.05.0000
Question:Where are prior U.S. Binding Rulings located?
Answer: CROSS
Question:Which international agency maintains the harmonized code
system?
Answer: World Customs Organization
Question:When exporting from the U.S., which harmonized code is generally
used?
Answer: Schedule B
Question:The harmonized codes are standardized to what level globally?
Answer: 6 digits
Question:Assume guitars are classified as 9202.90.3000. Also assume parts of
a guitar are classified as 9202.90.9000. If a guitar is shipped without no guitar
strings attached, what will be its classification?
Answer: 9202.90.3000
Question:For the harmonized code 2120.92.3000, "2120.92" is the:
Answer: subheading
CGBP FINAL EXAM 165 Questions
with Detailed Verified Answers
Question: How does a company's domestic strategy impact its international
strategy?
Answer: The international strategy will be based on a firm's competitive
advantage and is an important starting point from which the international
strategy is developed.
Question:Which of the following would be issues included with an
international business plan?
Answer: SWOT, product selection, entry mode, sales and expense forecast
Question:What are some of the management and business plan implications
relating to management commitment?
Answer: It establishes key decisions such as payback period, how overhead is
allocated, and feedback and control policies.
Question:How much cash flow is required for a company to expand
internationally?
Answer: It varies based on the overall international strategy but can be less
than the current domestic budget.
Question:What is the importance of management commitment as regards to
a company's readiness to go global?
, Page | 2
Answer: It is likely the most important factor that must be in place before a
company plans to expand globally.
Question:Does a company need international expertise to expand globally?
Answer: No. Those skills can be learned or outsourced as a company starts its
initial global growth.
Question:In order to make international sales, which of the following is a true
statement?
Answer: Travel to the foreign market is not required, but suggested.
Question:What is meant by a company's capacity to produce international
products?
Answer: Does it have spare manufacturing capacity to produce enough
products for international buyers?
Question:Which of the following is not a necessary condition for a company
to be ready to go global?
Answer: foreign language ability
Question:What is meant by a company's capability to produce international
products?
Answer: Can it manufacture products that meet foreign market standards and
regulations?
Question:Assume a company is importing music boxes classified as
9208.05.0000. Also assume the music boxes fit inside a specially designed
, Page | 3
plastic case suitable to store the music box. Also assume there is a
classification for plastic cases of 3919.20.2000. When importing these music
boxes with the plastic cases, which harmonized code(s) would you use for the
products?
Answer: 9208.05.0000
Question:Where are prior U.S. Binding Rulings located?
Answer: CROSS
Question:Which international agency maintains the harmonized code
system?
Answer: World Customs Organization
Question:When exporting from the U.S., which harmonized code is generally
used?
Answer: Schedule B
Question:The harmonized codes are standardized to what level globally?
Answer: 6 digits
Question:Assume guitars are classified as 9202.90.3000. Also assume parts of
a guitar are classified as 9202.90.9000. If a guitar is shipped without no guitar
strings attached, what will be its classification?
Answer: 9202.90.3000
Question:For the harmonized code 2120.92.3000, "2120.92" is the:
Answer: subheading
