International Business Concepts Quiz

Unit 1: Need to Study

• Balance of trade: Difference between a country's exports and imports.
• Globalization: Growing connections between economies, cultures, and global trade.
• Trade deficit: Importing more than exporting.
• Trade surplus: Exporting more than importing.
• Populism: Political focus on ordinary people's needs and concerns.
• Portfolio investment: Investment in foreign stocks, bonds, or other financial assets.
• Business: Profit-oriented activities involving selling goods or services.
• Branch plant: Foreign-owned factory or office in another country.
• Domestic business: Business operating within its home country.
• Domestic market: Customers and businesses buying goods/services within a country.
• Exports: Goods/services sold to other countries.
• Foreign direct investment (FDI): Company investment and ownership of businesses in another country.
• Foreign markets: International locations for buying/selling goods/services.
• Imports: Goods/services bought from other countries.
• Interdependence: Countries relying on each other for goods, services, or resources.
• International business: Trade/business between different countries.
• Tariff: Tax on imported goods.
• Trade: Exchange of goods/services between people or countries.
• Trading partner: Country/entity trading with another.
• Transaction: Exchange of goods, services or money.

Unit 2: Licensing, Floating Rates, and Currency

• Licensing agreement: Contract allowing use of a company's brand or technology.
• Floating rate: Exchange rate changing based on market supply and demand.
• Currency devaluation: Lowering a currency's value compared to others.
• Currency speculation: Trading currency based on predicted value changes (Forex).
• Exchange rate: Value of one currency relative to another.
• Hard currencies: Stable, widely accepted currencies (e.g., USD, Euro).
• Inflation: Increase in prices over time reducing money's purchasing power.
• Trade embargo: Banning trade with a specific country.
• Trade quota: Limit on the amount of a good that can be imported/exported.
• Trade sanctions: Penalties imposed on a country's trade to enforce policies.
• World Trade Organization (WTO): Organization promoting global trade and resolving disputes.

Unit 3: Competitive Advantage, Capital Markets, and Human Development

• Competitive advantage: Making a product cheaper than others.
• Capital markets: Places for buying/selling financial assets (e.g., stocks, bonds).
• Human Development Index (HDI): Measuring a country's quality of life (e.g., health, education, income).
• Productivity: Efficiency of producing goods/services.
• Telecommuting: Working remotely, usually from home.

Unit 4: Commodities, Counter Cultures, and Cultural Dimensions

• Commodity: Basic good or raw material (e.g., agricultural product).
• Counter culture: Group opposing mainstream culture's norms.
• Cultural dimension: Comparing cultural differences across various cultures.
• Cultural intelligence: Adaptability to work across cultures.
• Cultural norm: Shared expectation of behaviour in a culture.
• Culture: Shared values, beliefs, customs of a group of people.

Unit 5: Absolute Advantage, Economic Systems, and Fiscal Policies

• Absolute advantage: Ability to produce more of a good or service.
• Autocracy: One-person government with absolute power.
• Business Cycle: Economy's growth/decline patterns (e.g., peak, recession, depression, recovery).
• Centrally planned economy: Government controls economic decisions (e.g., Communism).
• Circular flow model: Diagram showing money, goods, services, and resources flow in an economy.
• Comparative advantage: Ability to produce a good or service at a lower opportunity cost.
• Democracy: Power to the people (voting).
• Developed economies: High per capita income/strong GDP.
• Developing economies: Economies transitioning from Communism to Capitalism.
• Economic system: How a society organizes production and distribution of goods/services.
• Economies in Transition: Movement to market-oriented systems from Communist systems.
• Fiscal policy: Government decisions on taxation to manage the economy.
• Gross Domestic Product (GDP): Total value of all goods/services produced in a country.
• Lobbying: Influencing policymakers or legislation.
• Market economy: Capitalism; private sector dominates economic activity.
• Mixed economy: Combination of capitalism and communism.
• Monetary policy: Actions of a central bank controlling money supply and interest rates.
• Opportunity cost: Value of the next best alternative forgone.

Unit 6: Trade Organizations, Agreements, and Ethical Considerations

• Cartel: Businesses/countries cooperating to control prices/production.
• Euro: Single currency of many European Union countries.
• Paris Agreement: Global treaty to reduce greenhouse gas emissions.
• Trade organizations: Groups promoting and regulating international trade.
• TFWP (Temporary Foreign Worker Program): Allowing temporary labor shortages.
• Trade agreements: Treaties reducing trade barriers.
• Business ethics: Principles governing right/wrong behavior in business.
• Corporate corruption: Illegal/unethical actions by companies for profit.
• Corporate social responsibility (CSR): Company efforts for positive social and environmental impact.
• Cultural relativism: Ethics based on cultural norms.
• Dumping: Selling goods below cost in foreign markets.
• Ethical dilemma: Situation where choosing between two options challenges ethical principles.
• Ethical imperialism: Imposing one's own ethical standards on other cultures.
• Microcredit: Small loans to low-income individuals.
• NGO (Non-governmental organization): Independent groups for social/environmental causes.
• Pollution: Release of harmful substances into the environment.
• Predatory dumping: Eliminating competition through extremely low pricing.
• Resource depletion: Overuse of natural resources.
• Stakeholder: Anyone affected by a company's actions (e.g., employees, customers).
• Subsidizing: Government financial support, reducing costs.
• Sweatshops: Workplaces with poor conditions, low wages, and exploitative practices.

Unit 7: Acquisition Strategy and B2B/B2C Transactions

• Acquisition strategy: Plan for company growth via buying other companies.
• Business to business (B2B): Transactions between businesses.
• Business to consumer (B2C): Transactions between businesses and consumers.

Unit 8: Marketing Strategies, Data, and Customers

• Centralized marketing strategy: Marketing decisions by a central team.
• Clickstream data: Tracking online user activity.
• Decentralized marketing strategy: Local or regional marketing teams.
• Demographics: Statistical information about a population (e.g., age, income).
• Discount pricing: Lower than usual prices to attract customers.
• Discretionary income: Money left after essential expenses.
• E-business: Online business activities.
• Economies of scale: Cost advantages from increased production.
• Ethnocentrism: Belief in one's own culture's superiority.
• Four Ps of marketing: Product, price, place, and promotion.
• Influencers: People with large online followings promoting products.
• Market research: Gathering and analyzing data about markets and customers.
• Marketing: Activities promoting/selling goods/services.
• Mark-up: Difference between product cost and selling price.
• Maslow's hierarchy of needs: Theory of human needs (basic needs first).
• Penetration pricing: Low initial price to gain market share.
• Premium pricing: High price reflecting quality/exclusivity.
• Price skimming: High initial price, then gradually lowered to attract more customers.
• Primary research: Collecting original data.
• Psychological pricing: Using numbers to influence customer perception (e.g., $9.99).
• Secondary research: Analyzing existing data.
• Target market: Specific group of customers a company aims for.
• Thorndike's law of effect: Behavior followed by satisfying results is repeated.
• Trade show: Event showcasing products/services.
• Two C's of marketing: Customer and cost considerations.
• Vending machine: Automated product dispensing system.

Test your knowledge on key international business concepts with this quiz. Topics include the World Trade Organization, competitive advantage, foreign subsidiaries, and economic indicators like the Human Development Index. Challenge yourself and see how well you understand global economic principles!