International Business and Trade Quiz

False (B)

Buying, selling, investing, and producing across national borders.

<p>broader</p> Signup and view all the answers

<p>Scope = Broader, includes various cross-border activities Focus = Exchange of goods and services Complexity = More complex, requires extensive knowledge Activities = Buying and selling goods/services</p> Signup and view all the answers

<p>Creating joint ventures (C)</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>cheaper</p> Signup and view all the answers

<p>A point where supply equals demand (A)</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>Change in number of buyers</p> Signup and view all the answers

<p>opportunity cost</p> Signup and view all the answers

<p>Production = Transformation of inputs into finished goods Distribution = Process of allocating commodities among resource owners Exchange = Transfer of money or trading products Consumption = Utilization of goods and services by consumers</p> Signup and view all the answers

<p>Change in technology (D)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>Scarcity and choice</p> Signup and view all the answers

<p>Difficulty in transferring production factors across borders (B)</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>Access to better goods and services</p> Signup and view all the answers

<p>keen</p> Signup and view all the answers

<p>Pfizer = Pharmaceuticals BMW = Automobiles Nike = Sporting Goods Coca-Cola = Beverages</p> Signup and view all the answers

<p>The production process of the iPhone (D)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>Coca-Cola vs. Pepsi</p> Signup and view all the answers

<p>Easier cash-flow management (A)</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>High shipping costs</p> Signup and view all the answers

<p>efficiency</p> Signup and view all the answers

<p>Enhanced reputation (B)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>Sell excess inventory</p> Signup and view all the answers

<p>Increased revenues = Expands the customer base Decreased competition = Less saturated markets Longer product lifespan = Sell in markets with existing demand Better risk management = Less impacted by downturns</p> Signup and view all the answers

<p>Access to a diverse pool of talent (B)</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>Foreign rules and regulations</p> Signup and view all the answers

<p>short-term trends</p> Signup and view all the answers

<p>Foreign Rules and Regulations = Navigating complex legal systems Language Barriers = Issues with communication Logistics Management = Challenges in supply chain administration Currency Fluctuations = Impact on profit margins</p> Signup and view all the answers

<p>A strong international presence (B)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>They can disrupt business operations and lead to significant losses.</p> Signup and view all the answers

<p>Improves efficiency, communication, and logistics (A)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>Video conferencing tools like Zoom or Microsoft Teams</p> Signup and view all the answers

<p>trading blocs</p> Signup and view all the answers

<p>Increased exposure to political risks (B)</p> Signup and view all the answers

<p>Artificial Intelligence = Used to ease transactions and delivery processes. Trade Barriers = Regulations that restrict international trade. Currency Fluctuations = Changes in the value of one currency against another. Free Trade Agreements = Agreements that reduce or eliminate tariffs between countries.</p> Signup and view all the answers

<p>By imposing additional taxes.</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

The exchange of goods and services between countries, involving exports and imports.

Selling goods or services to other countries.

Buying goods or services from other countries.

Business activities across national borders, including trade, investments, and joint ventures.

International business is broader than international trade, including various cross-border activities.

International business requires knowledge of foreign markets, cultures, and legal systems.

International trade promotes market expansion, competition, and consumer welfare.

Countries engage in trade to access goods, services, and competitive pricing not available domestically.

Selling to international markets expands customer base, leading to higher sales.

Expanding internationally allows businesses to escape intense local competition.

International trade allows selling in markets with ongoing demand even if local demand decreases.

Exporting helps maintain consistent sales throughout the year by tapping into different economies' cycles.

Distributing exports across multiple countries reduces impact if one market faces economic issues.

Companies can leverage favorable currency exchange rates when exporting goods.

Governments and institutions provide support for exporters, like loans or grants.

Being a global player improves credibility and attracts customers and investors.

International expansion allows access to diverse skills and perspectives enhancing business.

Entering foreign markets increases global brand recognition and credibility.

International operations make businesses more appealing to foreign investors.

Expanding globally can lower costs through cheaper materials or labor.

Global operations reduce vulnerability to regional market trends or shifts.

Language barriers can cause misunderstandings in international business.

Managing international supply chains involves challenges like customs and transportation costs.

Exchange rate volatility can impact profits and create financial unpredictability.

The point where supply equals demand, balancing sellers and buyers.

Factors that shift the demand curve including expectations, number of buyers, related goods, income, and consumer confidence.

The economic problem of limited resources versus unlimited human wants.

The next best alternative given up when a decision is made.

Four key activities: production, distribution, exchange, and consumption.

Factors influencing supply such as number of sellers, production costs, technology, expectations, and taxes/subsidies.

The process of transforming inputs into finished goods.

Systematic allocation of goods and income among resource owners.

Factors of production are not easily transferable across borders due to legal, cultural, and economic barriers.

International markets exhibit diverse consumer preferences and income levels, requiring product adaptations.

International business connects nations by reducing trade barriers and aligning monetary policies.

Developed nations lead in international business due to superior technology and resources.

Countries involved in international business gain access to better goods, technology, and jobs.

Global markets are fiercely competitive, driving innovation as businesses strive for market share.

Restrictions imposed by governments that hinder the transfer of factors across borders.

Nations rely on each other economically for trade, investments, and resources.

Advances in technology improve efficiency and communication in international business.

AI, like Shoppee's use, streamlines online transactions and delivery.

Tools like Zoom enable seamless communication among international teams.

Governments impose regulations that protect domestic industries, like taxes on imports.

Business is sensitive to political, economic, and social changes, impacting operations.

Different countries have unique trade policies and currencies affecting profitability.

Groups like ASEAN reduce trade barriers between member countries.

Access to new customers and risk diversification are key benefits.