International management questions

Övningen är skapad 2022-12-18 av gustavvholmberg. Antal frågor: 99.




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  • Business activates of private or public enterprises that involve the movement of resources (Capital, human, technology, raw material etc) across national boundaries, between 2 or more countries What is the correct definition of International Business?
  • Is a long-term equity investment in a foreign affiliate or subsidiary What is the correct definition of Foreign Direct Investment (FDI)?
  • Company using profits to generate in one market to compete in another market What is Cross subsidization?
  • Strategic motivations Which of the following motivations for establishing foreign operations characterize experience?
  • Partial agreement among MS GATT was created/what GATT is?
  • Removing tariff and nontariff barriers GATT principle purpose was
  • Enforce GATT agreement WTO was created to
  • An institution with the authority to set and enforce rules governing trade between countries WTO is
  • Common market There are different level of economic integration, which of the following trade blocs allows no restriction on factors movement
  • Trade creation Which is the static effect of economic integration?
  • Free trade area There are different level of economic integration, NAFTA is:
  • Common market There are different level of economic integration, MERCOSUR, ASEAN and EU is
  • Free trade area There are different level of economic integration, FTAA is
  • Free trade area Bloc member countries remove trade barriers on trade among member countries
  • Customs union The agreement among member countries to eliminate the duties
  • Common market A market that allows factor mobility, free movement of resources e.g labor and capital
  • Economic union Common market where I the national economic policies of member countries are also harmonized
  • Political union Unified economic and political policies and institutions
  • Trade creation Positive effect of economic integration
  • Trade division Negative effect of economic integration
  • Market extension One benefit of common market
  • Political union Coordinated political and social policy is in;
  • A set of players The political system consists of
  • Ideology A set of closely related beliefs, ideas, attitudes and characteristics of a group is called?
  • Consensus The widespread acceptance of the decision making process in the political system by the individuals and groups in the system
  • Legitimacy The use of the power of the state by official in accordance either prearrange and agreed rules
  • Political risk The degree of uncertainty about the future decisions made by the government
  • Transfer risk The degree of ease or difficulty experienced in making transfer of capital, goods, technology and people, into or out of the country
  • Ownership The expropriation of a firm foreign direct investment (FDI) what type of political risk?
  • Transfer risk The tariffs imposed on imported steel, what type of political risk is?
  • Transfer risk Capital control that limit remittance of money between countries, what type of political risk is?
  • Macro risk Risk in which all private enterprise is confiscated or nationalized
  • Micro risk Specific action against specific company by a group or government
  • To promote law What is the function of law in a democratic society?
  • Two trade block/countries that agreed to submit to its authority The international court of justice (The World Court) has the authority to adjudicate commercial disputes between?
  • Company and a citizen or between two countries The international court of justice (The World Court) has NOT the authority to adjudicate commercial disputes between?
  • Common law The set of legal principles that has emerged from the feudal law of medieval England
  • Code law Law which has roots in Roman Empire is called?
  • Objective culture Components such as infrastructure of roads, architecture, patterns of music, food and dress habits are?
  • Subjective culture Components such as the way people categorize experience, associations, beliefs, attitude, self-definitions, role definitions, norm and values
  • Low uncertainty avoidance Inside hofsted’s framework what represent the following principle “ tolerance of deviant and innovative ideas and behavior”
  • Lower power distance Inside hofsted’s framework what represent the following principle “ inequalities among people should be minimized”
  • Ethnocentrism An attitude where Everything that originate from home country;
  • Ethnocentrism A world oriented attitude where standardization of both products and processes is emphasized
  • Polycentrism A world oriented attitude with no predisposition regarding degree of control or centralization
  • Geocentrism In terms of international strategies how could we define a highly centralized organization where headquarters control is emphasized?
  • Polycentrism An attitude where everything originate from other countries
  • Polycentrism In terms of international strategies how could we define a highly decentralized organization where headquarters control is not emphasized?
  • Growth strategies When host country is HIGHLY attractive and HIGHLY competitive which strategy?
  • Collaborative strategies When host country is HIGHLY attractive and LOW competitive, which strategy?
  • Cross subsidization strategies When host country is LOW attractive and HIGH competitive, which strategy?
  • Defensive strategies When host country is LOW attractive and LOW competitive which strategy?
  • Transnational orientation When Global Integration and coordination pressure is HIGH and HIGH Local responsiveness pressure, which Orientation?
  • Global orientation When Global Integration and coordination pressure is HIGH and LOW Local responsiveness pressure, which Orientation?
  • Multidomestic orientation When Global Integration and coordination pressure is LOW and HIGH Local responsiveness pressure, which Orientation?
  • International orientation When Global Integration and coordination pressure is LOW and LOW Local responsiveness pressure, which Orientation?
  • Exporting The process of sending a firm’s products or services to international destinations
  • Indirect export Exporting by intermediary
  • Direct export Exporting without intermediary
  • Counter trade Arrangements whereby the flow of goods or services in both direction is called?
  • Marked extension/market growth Counter trade is used for?
  • Pure barter The business arrangement agree to accept each other’s goods as payment for the transaction
  • Switch trading Trade involving three or more countries?
  • Counter purchase A deal where country A exports to country B and in return promises to spend some or all of the receipts on imports from B
  • Buyback Licensing of patents on trademarks, selling production know-how, lending capital, or building a plant in another country and agreeing to buy part or all of its outputs as payments
  • Counter trade Pure barter/switch trading/counter purchase/buyback example of?
  • Contract manufacturing A contractual agreement between a company and a foreign producer under which the foreign producer manufactures the company’s products is called?
  • Licensing An alternative route to market abroad is?
  • Franchising Which is a very common form of licensing?
  • Equity based ventures Ownership and control of foreign venture through foreign direct (FDI) investment?
  • Equity based ventures Which one of the following has the highest degree of risk?
  • Knowledge Fluid mix of experience, values, contextual information and expert insight that provides a framework for evaluating and incorporating new experience is called?
  • Information Something that makes an impact on the judgment of and behavior of the decision maker?
  • Tacit knowledge What type of knowledge characterizes the artisan Italian fashion business
  • Culture is inherited and biologically based Which of the following statements does NOT regarding the characteristics of culture
  • Equality and personal orientation An incubator Culture is characterized by a strong emphasis on
  • Outsider system Which of the following governance rules are common in the USA
  • High-context culture A culture where “relations between people are relatively long lasting and individuals feel deep personal involvement with each other
  • Ethnocentric predisposition In term of strategic predispositions, a company that “allows the values and interests of the parent company to guide strategy
  • Ideology + the degree of individualism and collectivism To evaluate a political system how many dimensions must be considered
  • Sovereign immunity What type of international jurisdiction holds that “government have the right to rule themselves as they see fit”
  • Wholly owned subsidiary Which of the following Foreign Mode-of-entry Choices has the higher degree of control for one MNC
  • Franchising What is the mode of entry of Monnalisa Fashion Business?
  • Franchising What is the mode of entry of Gucci Fashion Group?
  • Exporting What is the mode of entry of Samontana Business?
  • Eyewear and perfumes Gucci manufactures all products in Italy and licenses the production and distribution of
  • Social Knowledge What type of knowledge characterize Monnalisa Fashion Business?
  • Tactic Knowledge What type of knowledge characterize Gucci Fashion Group?
  • Explicit Knowledge What type of knowledge characterize Samontana Business?
  • Tactic knowledge What type of knowledge characterize Valdani Bertoli?
  • Offshoring The process by wich companies undertake some activities at other location insted of iin their countries of orgin
  • Offscoring The subcontracting or contracting out activities to endogenous organization that have previously been preformed by firm
  • Economic Environment The interest rates what part of international environment?
  • Egoism What Evaluates how right or acceptable a behavior is depending on its consequences on the person?
  • Theory of justice Be equitable, be fair, and be impartial is called?
  • Cultural relativism Words such as right, wrong, justice and injustice is called?
  • Responsive CSR Which views the community as an entity in tension or conflict is called?
  • Strategic CSR which asses and implement the firms activities in a manner similar to its approach for other business choice?
  • Bribery The payment voluntarily offered for the purpose of including a public official to do or omit to do something is called?

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