International Business and Trade by Michelle M.

Esperal
PRELIM EXAM
Grade48.00 out of 50.00 (96%)

Question 1

It refers to the sourcing of goods and services from locations around the globe to take advantage of
national differences in the cost and quality of production.

Globalization of Production

Question 2

The basic principles of Judaism, Christianity, and Islam have nothing in common.

False

Question 3

Like the economic system of a country, the legal system is influenced by prevailing political system.

True

Question 4

It would be dubbed more a way of life than a religion. Followers believe that a moral force in society
requires the acceptance of certain responsibilities.

Hinduism

Question 5

It refers to a set of moral principles, or values, that are used to guide and shape behavior.

ethical systems
Question 6

It is where all productive activities are privately owned, as opposed to being owned by the state.

market economy

Question 7

A company has to be a major multinational corporation to facilitate, and benefit from, the
globalization of markets.

False

Question 8

Incorrect

Mark 0.00 out of 1.00

_________________ refers to nonverbal communication.

sign language

Question 9

Nations that invest more in education will have lower growth rates because an educated population is
less productive.

False

Question 10

According to this religion, suffering originates in people's desires for pleasure.

Buddhism
Question 11

The __________________refers to the merging of historically distinct and separate national markets
into one huge global marketplace.

Globalization of Markets

Question 12

It is the most widely practiced religion in the world.

Christianity

Question 13

Economic freedom does not necessarily equate with political freedom.

True

Question 14

___________may be defined as a system of shared beliefs and rituals that are concerned with the
realm of the sacred.

Religion

Question 15

The lowering of trade barriers made globalization of markets and production a theoretical possibility.

True

Question 16

Tastes and preferences of consumers in different nations are beginning to converge on some global
norm.

True
Question 17

________________ is based on tradition, precedent, and custom.

common law

Question 18

These are typically defined on the basis of characteristics such as family background, occupation, and
income.

social strata

Question 19

It is where citizens' right to freedom of expression and organization, a free media, and regular
elections are all denied.

totalitarianism

Question 20

The internet has been a major force facilitating international trade services.

True

Question 21

It refers to the extent to which individuals can move out of the strata into which they are born.

social mobility

Question 22

It is based on a detailed set of laws organized into codes.

civil law
Question 23

A company does not need a large size to facilitate, and benefit from, the globalization of markets.

True

Question 24

The emphasis on the individual in the United States may raise the costs ofdoing business due to its
adverse impact on managerial stability and cooperation.

True

Question 25

As firms follow each other around the world, greater diversity replaces uniformity.

False

Question 26

Culture is constant; it does not evolves over time.

False

Question 27

By political system we mean the system of government in a nation.

True

Question 28
Low-cost communication networks such as the World Wide Web are not helping to create electronic
global marketplaces.

False

Question 29

The central message of collectivism is that individual economic and political freedoms are the ground
rules on which a society should be based.

False

Question 30

Communist states practice representative election.

False

Question 31

True

Question 32

In many Asian societies, the individual is the basic building block of social organization.

False

Question 33

The following are work-related values except for:

glass ceiling

Question 34

The __________ of a country refers to the rules, or laws, that regulate behavior along with the
processes by which the law are enforced and through which redress for grievances is obtained.
legal system

Question 35

An international business is any firm that engages in international trade or investment.

True

Question 36

It refers to a philosophy that an individual should have freedom in his or her economic and political
pursuits.

individualism

Question 37

It is built around a comprehensive ethical code that sets down guidelines for relationships with others.

Confucianism

Question 38

This religion requires unconditional acceptance of the uniqueness, power, and authority of God and
the understanding that the objective of life is to fulfill the dictates of His will in the hope of admission
to paradise.

Islam

Question 39

It is primarily responsible for policing the word trading systems and making sure nation-state adhere
to the rules laid down in the trade treaties.

World Trade Organization

Question 40

The rise of Islamic fundamentalism is portrayed as a response to the alienation produced by

modernization.

True

Question 41

Upon meeting a foreign business executive, a Japanese executive will holdhis business card in both
hands and bow while presenting the card to theforeigner. Bowing is a way to avoid touching.

False

Question 42

Incorrect

Mark 0.00 out of 1.00

It is committed to preserving peace through international cooperation and collective security.

United Nations

Question 43

It was established to maintain order in the international monetary system.

International Monetary Fund

Question 44

In a _________________, certain sectors of the economy are left to private ownership and free market
mechanisms while other sectors have significant state ownership and government planning.

mixed economy

Question 45
One of the biggest dangers confronting a company that goes abroad for the first time is the danger of
being ill-informed.

True

Question 46

All are determinants of culture except for:

gender

Question 47

Terrorism represents one of the major drivers to world peace and economic progress in the 21st
century.

False

Question 48

Currently, the most global of markets are for industrial goods and materials that serve a universal
need the world over.

True

Question 49

International business refers to the shift toward a more integrated world economy.

False

Question 50

It refers to its basic social organization.

social structure