Group 11 Quiz Questions.

1) Which of these global entry strategies requires the least financial risk?
A. Joint Venture
B. Franchising
C. Exporting
D. Direct Investment

2) The United States suffers a ______, because the country imports more goods than it exports.
A. Trade Deficit
B. Trade Surplus
C. Purchasing Power Parity
D. Gross Domestic Product

3) The globalization of production (manufacturers' procurement of goods and services from around the globe to take advantage of national differences in the cost and quality of various factors of production) is also known as:

A. Global Marketing

B. World Trade Organization

C. Off-shoring

D. Global On-shoring

4) The human development index (HDI) is scaled from:
A. 0 to 1
B. 0 to 5
C. 0 to 10
D. 0 to 20

5) In 1994 the General Agreement on Tariffs’ and Trade (GATT) was replaced as the worlds governing body on trade regulation by which institution?

A. Global Financial Regulation Institution (GFRI)

B. Continental Trade Association (CTA)

C. World Trade Organization (WTO)

D. Was never replaced

6) Which is not one of the three potential global strategies?

A. Sell the same product or service in both the home country market and the host country
B. Sell a product or service similar to that sold in home country but include minor adaptations
C. Sell the same product or service in only the host country
D. Sell totally new products or services

7) ______form complex value chains that involve middlemen, exporters, importers, and different transportation systems.

A. Global Pricing Strategies

B. Global Distribution Strategies

C. Global Communication Strategies

D. Global Product Strategies

8) ______regulates trade between The United States, Canada, and Mexico

A. North American Free Trade Agreement (NAFTA)

B. Central American Free Trade Agreement (CAFTA)

C. Mercosur

D. Association of South East Asian Nations (ASEAN)

9) ______is defined as an intergovernmental agreement designed to manage and promote trade activities for a specific region.

A. Trade Bloc

B. Monetary Union

C. Marketplace Barrier

D. Trade Agreement

10) ______is a tax levied on a good imported into a country.

A. Infrastructure

B. Exchange Rate

C. Tariff

D. Quota

Answer key

1) C

2) A

3) C

4) A

5) D

6) C

7) B

8) A

9) D

10) C

  1. Which of the following requires a firm to maintain 100 percent ownership of its plants, operation facilities, and offices in a foreign country?
  2. Joint Venture
  3. Direct Investment
  4. Strategic Alliances
  5. Franchising
  1. In the 1970’s and 1980’s which country dominated the global marketplace because they could exploit their skills in production, materials management, and new product development?
  2. United States
  3. Japan
  4. China
  5. Sweden
  1. The major challenge in developing a global communication strategy is identifying the elements that need to be adapted to be affective in the global marketplace applies to which strategy?
  2. Global pricing strategy
  3. Global distribution strategy
  4. Global communication strategy
  5. All of the above
  1. What global entry strategy if formed when a firm entering a new market pools its resources with those of a local firmto form a new company in which ownership, control, and profits are shared?
  2. strategic alliance
  3. direct investment
  4. joint venture
  5. franchising
  1. A joint venture is formed when a firm entering a new market pools its resources with those of a ______firm to form a new company in which ownership, control and profits are shared.
  2. Local
  3. International
  4. Global
  5. Regional
  6. Which kind of segmentation is according to how strongly a consumer believes a particular firm can meet their relevant needs better than any competitor?
  7. geodemographic segmentation
  8. loyalty segmentation
  9. benefit segmentation
  10. multiple segmentation
  1. When firms create a joint venture, they:
  1. franchise their brand names to multiple joint owners.
  2. export manufacturing capacity to third-party countries
  3. join multiple trading blocs.
  4. pool their resources to enter a new market.
  5. do all the above
  1. ______is at contractual agreement between a firm, the ______, and another firm or individual, the ______.
  2. Exporting , Exporter, Exported
  3. Investing , Investor, Invested
  4. Targeting, Targeted, Target
  5. Franchising, Franchisor, Franchisee
  1. Refers to a collaborative relationship between independent firms, though the partnering firms do not create an equity partnership; that is, they do not invest in one another.
  2. Strategic Alliance
  3. Joint venture
  4. Direct investment
  5. Exporting
  1. Which of the following are potential global product strategies:
  2. Sell the same product or service in both the home country market and the host country
  3. Sell a product or service similar to that sold in the home country but include minor adaptations
  4. Sell totally new products or services
  5. All of the above
  1. B
  2. B
  3. C
  4. C
  5. A
  6. B
  7. D
  8. D
  9. A
  10. D