SOLVED

1) Which of the following characterizes U.S. companies in the past? A) They paid significant attention to international trade. B) Their biggest markets were in other countries. C) The home market was much safer than the foreign market. D) They disregarded political and legal risks overseas. E) They adapted products to foreign customer needs. 2) According to the text, what location does Coca-Cola consider a “promising long-term growth opportunity”? A) Russia B) Brazil C) China D) Africa E) India 3) Which of the following is most likely to be the consequence of increase in growth of global trade? A) Home markets become richer in opportunities. B) Foreign firms expand aggressively into new international markets. C) Global competition is curbed. D) Industries become safe from foreign competition. E) Domestic companies increase their chances to dominate their home markets. 4) Firms that stay at home to play it safe ________. A) protect themselves from competition at home B) gain a competitive edge against imports in their home markets C) successfully shield themselves from foreign competition D) risk losing their home markets E) increase their chances of entering other markets 5) Which of the following is a risk associated with international trade? A) technological obsolescence B) highly unstable governments C) market monopolization D) lack of trade barriers E) currency stagnation 6) A ________ firm is one that, by operating in more than one country, gains marketing, production, research and development, and financial advantages that are not available to purely domestic competitors. A) global B) domestic C) federally chartered D) direct investment E) free trade zone 7) Which question should most likely be answered by all companies due to the rapid move toward globalization? A) How should we eliminate domestic competition? B) Should we diversify in a new business area in the home country? C) Where should we produce or source our products? D) How should we fulfill our environmental obligations? E) Which medium of advertising should we use in our home country? 8) Which of the following major decisions should be taken by a company immediately after it decides to operate internationally? A) deciding which markets to enter B) deciding how to enter the market C) deciding on the global marketing organization D) deciding on the global marketing program E) deciding on the global communication program 9) Immediately after deciding which markets to enter, the company should determine ________. A) the most suitable global communication program B) how to price its products in different markets C) the global marketing organization D) the global marketing program E) how to enter the market 10) Which of the following terms refers to a tax levied by a foreign government against certain imported products? A) embargo B) tariff C) excise D) exchange control E) quota 1