Business Questions

5) The host country A) is the country in which a multinational enterprise is headquartered B) is the country in which a multinational enterprise is a guest C) does not have influence on the operation of the international business D) is a democracy that allows the entrance of international businesses

21) Owners of a ____ do not have unlimited liability. A) sole proprietorship B) partnership C) cooperative D) corporation

32) A tax holiday is sometimes given to companies that invest in foreign countries. This means the corporation does not pay corporate income taxes if it invests in their country. These tax holidays may last for as long as ______ years. A) 20 B) 15 C) 10 D) 5

31) The only western European country that did not develop a comprehensive set of rules at one time is: A) Germany B) England C) Sweden D) France

41) Changing demographics for a country A) diminishes the marketing opportunities B) increase production costs for businesses C) do not impact domestic trade D) open new marketing opportunities

39) Wearing a cross-shaped necklace is illegal in A) China B) India C) Saudi Arabia D) Japan

2) Global dependency exists when: A) countries count on financial aid from other parts of the world B) items that consumers need and want are created in other countries C) countries ban foreign trade D) a citizen from a country gives birth to a child in a foreign country

3) ___ are products sold in other countries. A) Domestic goods B) Imports C) Exports D) Foreign goods

36) ___ means that individuals carry their beliefs, values, and assumptions with them at all times. A) Subculture B) Ethnocentrism C) Egocentrism D) Cultural baggage

34) ___ is a legal system that relies on the accumulation of decisions made in prior cases. A) Precedent B) Corporate law C) Civil law D) Common law

18) Global corporations focus on: A) product and pricing sameness worldwide. B) creating products that are universally accepted or standardized. C) cultural diversity in all company-owned enterprises. D) ethnocentricity for all employees.

30) The multinational company does not have to comply with the home country's ___ mandates. A) social B) religious C) economic D) legal

8) The __ uses managers from various countries with the geographic region of a business. A) polycentric approach B) geocentric approach C) regiocentric approach D) ethnocentric approach

14) One of the most troubled economies in the world is: A) Japan B) Greenland C) Australia D) Germany

27) Property or risks not covered by an insurance policy are called A) endorsements B) deductions C) declarations D) exclusions

26) Self insurance of ___ occurs when a company takes responsibility for losses from certain risks. A) Risk avoidance B) Risk reduction C) Risk assumption D) Risk sharing

4) Which is not a cultural and social factor that affects the international business environment? A) education B) language C) values and customs D) type of government

7) ____ are people who live and work outside of their native countries. A) Parent-country nationals B) Foreign employees C) Expatriates D) Third-country nationals

29) When purchasing insurance, the first step is to A) implement a risk management program B) select a risk management method C) identify potential risks D) evaluate risks

1) The economic system based upon the profit motive is the: A) socialist economy B) command economy C) market economy D) mixed economy