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INTERNATIONAL ISLAMIC UNIVERSITY MALAYSIA

DECENTRALISED EXAMINATION
SEMESTER 3, 2010/2011 SESSION
KULLIYYAH OF ECONOMICS AND MANAGEMENT SCIENCES
Programme

: ENGIN

Level of Study : 4

Time

: 9:00 a.m 12:00 noon

Duration

: 3 Hr(s) 0 Min(s)

Course Code : MGT 4810

Course Title

Date

: 24th June 201

Section(s)

: 99

: International Business

(This Examination Paper consists of 2 Printed Pages Including a Cover Page)

INSTRUCTION(S) TO CANDIDATES:
DO NOT OPEN UNTIL YOU ARE ASKED TO DO SO
ANSWER ALL QUESTIONS
Any form of cheating or attempt to cheat is a serious offence which may lead to
dismissal.
APPROVED BY:

PROF. EMERITUS MOHAMED SULAIMAN

Head, Department of Business Administration
Kulliyyah of Economics and Management Sciences

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ANSWER ALL QUESTIONS

QUESTION 1
The World Trade Organization (WTO) is meant to facilitate international business. How is it
expected to do it?
(15 marks)
QUESTION 2
Explain briefly 4 positive impacts and 4 negative impacts of foreign direct investment (FDI)
on the host country.
(15 marks)
QUESTION 3
Discuss the advantages and disadvantages of a Free Trade Area (FTA) such as ASEAN.
(15 marks)
QUESTION 4
Explain briefly each of the following and indicate its impact on international business:
a) Floating exchange rate
b) Pegged floating exchange rate
c) Fixed exchange rate

(15 marks)

QUESTION 5
a) Explain briefly the differences between global strategy and transnational strategy.
b) How do these strategies affect international business?
(15 marks)
QUESTION 6
Read the attached case study and answer these questions:
a) Identify the opportunities and threats faced by Tata Motors in the global automotive
competition.
(10 marks)
b) Based on Tata Motors product portfolio and core competencies, what would be its best
international strategies?
(15 marks)
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