Question 1

Which of the following best exemplifies innovation?

Accepted Answer

A)  ABC Inc.cut the prices of its products by 10 percent
B)  ABC Inc.entered the Chinese market
C)  ABC Inc.offered a "me-to" product similar to that of a competitor
D)  ABC Inc.developed a new business model by going directly to customers Developed a new business
E)  ABC Inc.cut its cost by 10 percentF) A) and B)
G) B) and E)

Question 2

Generally,the costs and risks associated with doing business in a foreign country are typically lower in

Accepted Answer

A)  less developed countries.
B)  economically advanced countries.
C)  totalitarian states.
D)  countries with high inflation and falling living standards.
E)  countries that lack intellectual property rights.F) B) and E)
G) B) and D)

Question 3

In Samuel Huntington's thesis,global terrorism is a product of the tension between civilizations and the clash of value systems and ideology.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following steps is most likely to be involved in the deregulation of an economy?

Accepted Answer

A)  increasing restrictions on direct investment by foreign enterprises and international trade
B)  privatizing state-owned enterprises
C)  exercising a high degree of state control over production and pricing
D)  abolishing laws related to the protection of property rights
E)  opposing democracy by adopting communismF) A) and E)
G) A) and B)

Question 5

In general,command and mixed economies failed to deliver the kind of sustained economic performance that was achieved by countries adopting market-based systems.

Accepted Answer

A) True 
 B)False

Question 6

Lamboria Republic is facing a high rate of inflation,and the government debt in the country is also high.As a result,the country's business environment is beginning to deteriorate,and the profits of the business enterprises are hurt.According to this information,Lamboria Republic is facing which of the following type of risk?

Accepted Answer

A)  legal
B)  ethical
C)  demographic
D)  ethnographic
E)  economicF) B) and C)
G) A) and E)

Question 7

Which of the following of the Cold War era has vanished?

Accepted Answer

A)  multipolar world
B)  democratic system
C)  free market system
D)  bipolar world
E)  widespread belief in Western ideologyF) A) and B)
G) C) and D)

Question 8

Which of the following movements started in Great Britain in the early 1980s when then Prime Minister Margaret Thatcher started to sell state-owned assets such as the British telephone company?

Accepted Answer

A)  nationalization
B)  privatization
C)  anti-democratic
D)  communist
E)  anti-globalizationF) A) and E)
G) A) and D)

Question 9

During the late 1980s and early 1990s,many of the world's nation-states moved away from

Accepted Answer

A)  democratically elected governments.
B)  free market capitalism.
C)  individualism.
D)  political and civil freedoms.
E)  totalitarian governments.F) A) and C)
G) C) and E)

Question 10

The influential Peruvian development economist Hernando de Soto has argued that much of the developing world will fail to reap the benefits of capitalism

Accepted Answer

A)  until they adopt communism.
B)  until property rights are better defined and protected.
C)  if they adopt free market economies.
D)  until their governments monopolize all means of production in their countries.
E)  if they encourage innovation and entrepreneurship.F) A) and D)
G) A) and C)

Question 11

What are the implications of changing political economy for international business?

Accepted Answer

The global changes in political and econ...

Question 12

In the context of cost,which of the following can be considered as the most attractive market or investment site?

Accepted Answer

A)  a country that has adopted a closed totalitarian state
B)  a country that has a well-developed body of business contract law
C)  a country with a command-based economic system
D)  a country with stringent product safety laws and huge liability insurance rates
E)  a country which does not provide any protection for property rightsF) B) and E)
G) B) and D)

Question 13

How does privatization help stimulate gains in economic efficiency?

Accepted Answer

A)  It allows newly privatized firms to gain monopoly position in a particular industry.
B)  It provides incentives to new private owners to search for increases in productivity and to enter new markets.
C)  It encourages state control over price and production output.
D)  It raises barriers to direct investment by foreign enterprises.
E)  It results in reservation of heavy industry for state ownership and the increase of import tariffs.F) A) and D)
G) All of the above

Question 14

Due to strong legal protection of property rights,businesses and individuals will

Accepted Answer

A)  invest more in innovations.
B)  face a huge burden from excessive taxation.
C)  face more corruption.
D)  move away from entrepreneurial activity.
E)  run the risk of their profits being expropriated.F) D) and E)
G) B) and E)

Question 15

Totalitarian states,by limiting human freedom,are highly conducive to progress in terms of innovation,entrepreneurship,and economic growth.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following best exemplifies an entrepreneur?

Accepted Answer

A)  Sam,an employee at a supermarket,is solely responsible for all the purchases and sales at the grocery department.
B)  Joe recycles old household articles to build phones,radios,and other things for his personal use.
C)  Max makes his living by investing in small companies that have the potential to grow.
D)  Javier purchased an invention made by his friend to start a company that processes plastic bags into synthetic cloth.
E)  Ryan invented an anti-aging formulation and sold it to a major pharmaceutical firm.F) A) and E)
G) A) and C)

Question 17

List the three measures on which the Human Development Index (HDI)is based.

Accepted Answer

Amartya Sen's influential thesis has bee...

Question 18

Which of the following is an implication of the global changes in political and economic systems for international business?

Accepted Answer

A)  The ideological conflict between collectivism and individualism is less in evidence today.
B)  Adoption of Western ideology is declining worldwide.
C)  The global tide has been running in favor of command economies and totalitarian dictatorships.
D)  Free markets and democracy are being replaced by mixed economies and communist governments.
E)  Liberalization and privatization of state-owned enterprises has been losing popularity.F) A) and D)
G) A) and C)

Question 19

Strong legal protection of property rights is a requirement for a business environment to be conducive to innovation,entrepreneurial activity,and hence economic growth.

Accepted Answer

A) True 
 B)False

Question 20

In the context of the changing political economy since the late 1980s,which of the following statements is true?

Accepted Answer

A)  There has been a rapid spread of communism worldwide.
B)  Capitalist ideologies have been in retreat.
C)  A wave of totalitarian revolutions has swept the world.
D)  Most countries have moved toward centrally planned and mixed economies.
E)  Most of the world's nation-states are providing greater political and civil liberties to their citizens.F) B) and D)
G) C) and E)

Exam 3: National Differences in Economic Development

Generally,the costs and risks associated with doing business in a foreign country are typically lower in

Correct Answer
verified

Correct Answer
verified

In Samuel Huntington's thesis,global terrorism is a product of the tension between civilizations and the clash of value systems and ideology.

Correct Answer
verified

List the three measures on which the Human Development Index (HDI)is based.

Correct Answer
verified
Amartya Sen's influential thesis has bee...
View Answer

During the late 1980s and early 1990s,many of the world's nation-states moved away from

Correct Answer
verified

Which of the following movements started in Great Britain in the early 1980s when then Prime Minister Margaret Thatcher started to sell state-owned assets such as the British telephone company?

Correct Answer
verified

In general,command and mixed economies failed to deliver the kind of sustained economic performance that was achieved by countries adopting market-based systems.

Correct Answer
verified

Which of the following of the Cold War era has vanished?

Correct Answer
verified

Due to strong legal protection of property rights,businesses and individuals will

Correct Answer
verified

Strong legal protection of property rights is a requirement for a business environment to be conducive to innovation,entrepreneurial activity,and hence economic growth.

Correct Answer
verified

Which of the following steps is most likely to be involved in the deregulation of an economy?

Correct Answer
verified

The influential Peruvian development economist Hernando de Soto has argued that much of the developing world will fail to reap the benefits of capitalism

Correct Answer
verified

How does privatization help stimulate gains in economic efficiency?

Correct Answer
verified

Which of the following is an implication of the global changes in political and economic systems for international business?

Correct Answer
verified

In the context of cost,which of the following can be considered as the most attractive market or investment site?

Correct Answer
verified

Totalitarian states,by limiting human freedom,are highly conducive to progress in terms of innovation,entrepreneurship,and economic growth.

Correct Answer
verified

Which of the following best exemplifies innovation?

Correct Answer
verified

What are the implications of changing political economy for international business?

Correct Answer
verified
The global changes in political and econ...
View Answer

Which of the following best exemplifies an entrepreneur?

Correct Answer
verified

In the context of the changing political economy since the late 1980s,which of the following statements is true?

Correct Answer
verified

Exam 3: National Differences in Economic Development

Generally,the costs and risks associated with doing business in a foreign country are typically lower in

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

In Samuel Huntington's thesis,global terrorism is a product of the tension between civilizations and the clash of value systems and ideology.

Correct AnswerverifiedShow Answer

List the three measures on which the Human Development Index (HDI)is based.

Correct AnswerverifiedAmartya Sen's influential thesis has bee...View AnswerShow Answer

During the late 1980s and early 1990s,many of the world's nation-states moved away from

Correct AnswerverifiedShow Answer

Which of the following movements started in Great Britain in the early 1980s when then Prime Minister Margaret Thatcher started to sell state-owned assets such as the British telephone company?

Correct AnswerverifiedShow Answer

In general,command and mixed economies failed to deliver the kind of sustained economic performance that was achieved by countries adopting market-based systems.

Correct AnswerverifiedShow Answer

Which of the following of the Cold War era has vanished?

Correct AnswerverifiedShow Answer

Due to strong legal protection of property rights,businesses and individuals will

Correct AnswerverifiedShow Answer

Strong legal protection of property rights is a requirement for a business environment to be conducive to innovation,entrepreneurial activity,and hence economic growth.

Correct AnswerverifiedShow Answer

Which of the following steps is most likely to be involved in the deregulation of an economy?

Correct AnswerverifiedShow Answer

The influential Peruvian development economist Hernando de Soto has argued that much of the developing world will fail to reap the benefits of capitalism

Correct AnswerverifiedShow Answer

How does privatization help stimulate gains in economic efficiency?

Correct AnswerverifiedShow Answer

Which of the following is an implication of the global changes in political and economic systems for international business?

Correct AnswerverifiedShow Answer

In the context of cost,which of the following can be considered as the most attractive market or investment site?

Correct AnswerverifiedShow Answer

Totalitarian states,by limiting human freedom,are highly conducive to progress in terms of innovation,entrepreneurship,and economic growth.

Correct AnswerverifiedShow Answer

Which of the following best exemplifies innovation?

Correct AnswerverifiedShow Answer

What are the implications of changing political economy for international business?

Correct AnswerverifiedThe global changes in political and econ...View AnswerShow Answer

Which of the following best exemplifies an entrepreneur?

Correct AnswerverifiedShow Answer

In the context of the changing political economy since the late 1980s,which of the following statements is true?

Correct AnswerverifiedShow Answer

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Correct Answer
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Correct Answer
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Amartya Sen's influential thesis has bee...
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified
The global changes in political and econ...
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Correct Answer
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Correct Answer
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