International Business Overview

<p>Limited growth prospects (A)</p> Signup and view all the answers

<p>Need to grow and diversify (C)</p> Signup and view all the answers

<p>Various strategies for entering foreign markets (B)</p> Signup and view all the answers

<p>Increased utilization of production capabilities (D)</p> Signup and view all the answers

<p>Seeking international markets for growth (A)</p> Signup and view all the answers

<p>Passing through customs after arrival (B)</p> Signup and view all the answers

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

<p>A delivery order (D)</p> Signup and view all the answers

<p>Pay the freight charges (D)</p> Signup and view all the answers

<p>They help complete customs formalities (A)</p> Signup and view all the answers

<p>The acceptance of the bill of exchange by the importer (C)</p> Signup and view all the answers

<p>It requires multiple forms to be filled (A)</p> Signup and view all the answers

<p>A confirmation for the release of goods (A)</p> Signup and view all the answers

<p>International firms lack insight into local customer needs. (B)</p> Signup and view all the answers

<p>Diverse stakeholder aspirations (D)</p> Signup and view all the answers

<p>Engaging in exports and imports. (B)</p> Signup and view all the answers

<p>Outsourcing specific production needs. (D)</p> Signup and view all the answers

<p>It results in different tastes and purchase behaviors. (B)</p> Signup and view all the answers

<p>Requires investment in local production facilities. (D)</p> Signup and view all the answers

<p>Legal restrictions and socio-cultural differences. (B)</p> Signup and view all the answers

<p>It allows for better understanding of local markets. (B)</p> Signup and view all the answers

<p>To address socio-cultural differences. (D)</p> Signup and view all the answers

<p>Price sensitivity towards less expensive products. (A)</p> Signup and view all the answers

<p>It allows for flexibility without major investments. (A)</p> Signup and view all the answers

<p>They engage in contract manufacturing in developing countries. (C)</p> Signup and view all the answers

<p>Factors of production (C)</p> Signup and view all the answers

<p>Variations in socio-cultural and economic environments. (B)</p> Signup and view all the answers

<p>Exporting involves selling goods produced overseas. (A)</p> Signup and view all the answers

<p>To levy charges for port authority services (B)</p> Signup and view all the answers

<p>Consumers have identical preferences across countries. (A)</p> Signup and view all the answers

<p>Application to import (C)</p> Signup and view all the answers

<p>To assess customs import duty (B)</p> Signup and view all the answers

<p>Port trust dues receipt (A)</p> Signup and view all the answers

<p>Quality, grade, design, and mode of payment (B)</p> Signup and view all the answers

<p>The quantity, quality, and nature of packing for goods (D)</p> Signup and view all the answers

<p>They examine the goods physically (D)</p> Signup and view all the answers

<p>It guarantees payment from the importer's bank to the exporter (D)</p> Signup and view all the answers

<p>International trade of goods (A)</p> Signup and view all the answers

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

<p>Growth in international trade of services (A)</p> Signup and view all the answers

<p>Some countries can produce select goods more efficiently (B)</p> Signup and view all the answers

<p>Better access to foreign customers (B)</p> Signup and view all the answers

<p>Variations in production capabilities (A)</p> Signup and view all the answers

<p>Labor union agreements (D)</p> Signup and view all the answers

<p>It affects production costs and efficiency (D)</p> Signup and view all the answers

Activities related to producing and trading goods and services across national borders, including trade, foreign investment, and overseas production.

Buying and selling goods and services across international borders.

Resources needed to produce goods and services; includes resources like labor, capital, raw materials, and intellectual property.

Different countries have varying access to natural resources, labor, technology, and other production factors.

A country's ability to produce a good or service at a lower opportunity cost than another country.

Companies investing in businesses or assets in other countries.

Producing goods and services in a foreign country, often to serve local markets more effectively.

The amount of output produced by each worker in a given period of time.

Managing international business operations is more complex due to varied political, social, cultural and economic conditions across different countries.

Consistency in a company's values and behaviours is crucial for effective decision-making in international business.

International businesses need to consider the diverse values and aspirations of stakeholders from various nations.

The movement of factors like labor and capital between countries is less common compared to within a single country.

Customers in different countries have various tastes, cultures, and preferences that affect their buying habits

Consumers in developing countries often prioritize low prices due to lower incomes.

Companies must adapt their marketing and business strategies to cater to different international markets.

International decision-making is made harder by the necessity to consider multiple cultures and stakeholder needs.

When domestic prices are lower, companies can sell goods in countries with higher prices, earning more profits.

Companies with excess production capacity can sell goods to international markets, increasing their output and profitability.

When a company produces on a larger scale, it reduces its per-unit production cost, increasing profit margins.

When a company faces limited demand for its products in its own country, it can explore new markets for growth.

Companies expand beyond domestic markets to increase their growth potential and reach a larger consumer base.

Difficult business environments domestically can be overcome by tapping into international markets.

Expanding internationally is often a part of a company's strategic plan to achieve growth, competitiveness, and diversification.

Companies engage in international business to gain a competitive edge, diversify, and achieve strategic goals.

A bill of exchange accompanied by documents like invoices, bills of lading, and certificates of origin, used in international trade for payment and document transfer.

A type of documentary bill of exchange where the importer pays the bank before receiving documents, thus ensuring payment for goods.

A type of documentary bill of exchange where the importer accepts the bill, promising to pay later, before receiving documents.

The process of the importer accepting the bill of exchange and receiving the import documents from the bank.

A document issued by the shipping company, allowing the importer to take delivery of goods from the port.

The shipping company's signature on the back of the bill of lading, authorizing the importer to receive the goods.

The process of inspecting and releasing imported goods through customs officials after they cross national borders.

A specialized agent who handles customs formalities, logistics, and insurance for importers.

A type of international business where a company contracts local producers in foreign countries to manufacture components or products according to its specifications.

Another name for contract manufacturing, where a company hires outside companies to perform specific tasks like production.

Allows international companies to produce large quantities without needing their own factories. It also helps them avoid the risk and expense of setting up foreign production facilities.

Provides job opportunities and economic growth in foreign countries. Local producers gain experience and expertise in manufacturing.

Exporting/importing firms can be at a disadvantage compared to local firms because they are further away from customers and may not understand local needs as well.

Companies often start with exporting/importing to gain experience and knowledge of foreign markets before investing in more complex operations.

They contract manufacturing in developing countries to produce components or products, allowing them to leverage lower production costs.

It allows companies to scale up production without needing to invest in their own factories, lowering costs and risks.

A document filled by an importer to declare the goods being imported for customs duty assessment.

A written request from an importer to an exporter, seeking information about prices and export conditions for specific goods.

A document providing detailed information about the goods to be exported, including quality, price, and terms of export.

A document placed by an importer to an exporter, specifying the quantity, quality, price, and other conditions for imported goods.

A guarantee issued by an importer's bank to an exporter's bank, assuring payment for the goods up to a certain amount.

Charges levied by port authorities on imported goods for the services they provide.

Charges levied for handling and processing imported goods at the port, payable by the importer.

Fees charged by the port trust for the services provided to importers, including dock facilities and inspection.