Comparative Business Systems
Mock Exam
Course Introduction
Comparative Business Systems explores the diverse ways in which businesses are organized and operate across various countries and regions. The course examines how historical, cultural, political, and economic factors influence business practices, management structures, and organizational behavior. Students will analyze different models such as Anglo-American, European, Asian, and emerging market systems, and compare their approaches to corporate governance, labor relations, finance, and innovation. Emphasis is placed on understanding the impact of globalization and the challenges of operating in a globalized business environment, equipping students with the analytical tools to assess and navigate international business landscapes.
Recommended Textbook
International Business The Challenges of Globalization 7th Global Edition by John Wild
Available Study Resources on Quizplus
16 Chapters
1669 Verified Questions
1669 Flashcards
Source URL: https://quizplus.com/study-set/2105 Page 2
Chapter 1: Globalization
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/41907
Sample Questions
Q1) ________ is the trend toward greater economic,cultural,political,and technological interdependence among national institutions and economies.
A)Privatization
B)Heterogenization
C)Globalization
D)Decentralization
Answer: C
Q2) The ________ replaced the institution of GATT while retaining all of the former GATT agreements.
A)World Trade Organization
B)Federation of International Trade Association
C)Commonwealth of Nations
D)International Monetary Fund
Answer: A
Q3) Flexible labor markets allow workers to be redeployed rapidly to sectors of the economy where they are highly valued.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: Cross-Cultural Business
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/41908
Sample Questions
Q1) The first step in analyzing a nation's potential for international business activity is to examine its business climate.
A)True
B)False
Answer: True
Q2) ________ is increasing the pace of both cultural diffusion and cultural change.
A)Collectivism
B)Enculturation
C)Fundamentalism
D)Globalization
Answer: D
Q3) ________ cultures value hard work and promote entrepreneurial risk taking.
A)Short-term oriented
B)High uncertainty avoidance
C)Individualist
D)Collectivist
Answer: C
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: Politics, Law, and Business Ethics
Available Study Resources on Quizplus for this Chatper
102 Verified Questions
102 Flashcards
Source URL: https://quizplus.com/quiz/41909
Sample Questions
Q1) Susan is worried that San Tarino's demand that she must use locally available raw material and employ local workers might interfere with the quality and efficiency of her business.San Tarino,on the other hand,views this as a way to foster local business activity and lessen regional unemployment.What are these laws called?
A)local content requirements
B)antitrust laws
C)nationalization laws
D)internalization policies
Answer: A
Q2) Which of the following statements is true of Paribo,a democratic nation whose legal system is based on civil law?
A)The law is based on religious teachings and is enforced by the country's religious leaders.
B)The law is flexible and its interpretations differ with situations.
C)The law is based on a detailed set of written rules that constitute a legal code.
D)The law is interpreted on the basis of tradition,precedent and usage.
Answer: C
To view all questions and flashcards with answers, click on the resource link above.
Chapter 4: Economics and Emerging Markets
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/41910
Sample Questions
Q1) The government maintains control over the banking industry in a country.Which of the following is most likely true if the country has a mixed economy?
A)Businesses in most economic sectors of the country are privately owned.
B)The government considers banking sector as important to national security.
C)The country has never experienced threats against its long-term stability.
D)The government views banking as more important than manufacturing.
Q2) Which of the following statements is most accurate regarding the element of free choice when market economies are compared with centrally planned economies?
A)Consumers have free choice in both types of economies.
B)Free choice exists in market economies,but choices are restricted in planned economies.
C)Planned economies allow for greater free choice than do market economies.
D)Consumers do not have free choice in either of these economies.
Q3) Incentives and rewards for individual business initiatives are an important aspect of collectivist cultures.
A)True
B)False
Q4) Describe the three main types of economic systems.
To view all questions and flashcards with answers, click on the resource link above.
Page 6
Chapter 5: International Trade
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/41911
Sample Questions
Q1) Country A produces a ton of coffee using one unit of resources.Country B produces two tons of coffee using one unit of resources.Which of the following is true regarding Country A and Country B?
A)Country A has an absolute advantage in producing coffee.
B)Country B has an absolute advantage in producing coffee.
C)Neither Country A nor Country B has an absolute advantage in producing coffee.
D)Both Country A and Country B have an absolute advantage in producing coffee.
Q2) In the ________ of the international product life cycle,competition from other companies selling similar products pressures companies to lower prices in order to maintain sales levels.
A)product decline stage
B)new product stage
C)maturing product stage
D)standardized product stage
Q3) Factor proportions theory states that a country will produce and export those goods that require resources abundantly available within the country.
A)True
B)False
Q4) Discuss the factor proportions theory and describe the evidence on this theory.
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Business-Government Trade Relations
Available Study Resources on Quizplus for this Chatper
108 Verified Questions
108 Flashcards
Source URL: https://quizplus.com/quiz/41912
Sample Questions
Q1) Industries considered essential to national security often receive government-sponsored protection.
A)True
B)False
Q2) Purposely understaffing customs offices to cause time delays,requiring special licenses that take a long time to obtain,and requiring air carriers to land at inconvenient airports are all examples of ________.
A)local content requirements
B)import quotas
C)administrative delays
D)voluntary export restraints
Q3) The belief that Freeland's emerging industries need protection from international competition during their development phase is an example of ________.
A)a local content requirement
B)a normal trade relation
C)the infant industry argument
D)the political motive of Freeland
Q4) Write a short note on the World Trade Organization and its influence on the environment.
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Foreign Direct Investment
Available Study Resources on Quizplus for this Chatper
104 Verified Questions
104 Flashcards
Source URL: https://quizplus.com/quiz/41913
Sample Questions
Q1) Describe any three management issues involved in foreign direct investment decisions.
Q2) Increasing globalization is causing a growing number of international companies from emerging markets to undertake FDI.
A)True
B)False
Q3) The ________ theory states that when an aspect of the market makes a transaction less efficient than it could be,a company will undertake foreign direct investment to internalize the transaction and thereby remove the efficiency-reducing aspect.
A)market power
B)eclectic
C)international product life cycle
D)market imperfections
Q4) Home nations discourage foreign direct investment outflows because it ________.
A)discourages cooperation between countries
B)replaces jobs in the home nation
C)fails to protect the "sunset" industries in the home nation
D)decreases long-term competitiveness of companies
Q5) What two factors propel growth in foreign direct investment?
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Regional Economic Integration
Available Study Resources on Quizplus for this Chatper
112 Verified Questions
112 Flashcards
Source URL: https://quizplus.com/quiz/41914
Sample Questions
Q1) Which of the following is true of trade diversion?
A)It increases the purchasing power of consumers.
B)It increases the level of trade between nonmember nations.
C)It generally increases the prices of products in a nation.
D)It guarantees consumers a wider selection of goods.
Q2) Which of the following would the government of Zucoland most likely experience as a benefit of joining the trading bloc?
A)increased national sovereignty
B)increased military security
C)trade diversion
D)higher-wage employment
Q3) The North American Free Trade Agreement membership includes Canada,Mexico,and the United States.
A)True
B)False
Q4) Describe the Association of Southeast Asian Nations (ASEAN).
Q5) Trade agreements allow competitors from other nations to enter the domestic market.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: International Financial Markets
Available Study Resources on Quizplus for this Chatper
109 Verified Questions
109 Flashcards
Source URL: https://quizplus.com/quiz/41915
Sample Questions
Q1) What is the role of debt in national capital markets,and what form does company debt normally take? Describe the different types of international bonds.
Q2) Explain the function of spot rates and the spot market.
Q3) The London Interbank Bid Rate (LIBID)is the interest rate that London banks charge other large banks for borrowing Eurocurrency.
A)True
B)False
Q4) Bonds sold outside the borrower's country and denominated in the currency of the country in which they are sold are called ________.
A)municipal bonds
B)foreign bonds
C)Eurobonds
D)domestic bonds
Q5) If an individual is traveling to another country and wants to exchange currencies at his bank before departing,he will be quoted the spot rate since he is exchanging on the spot.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 11
Chapter 10: International Money System
Available Study Resources on Quizplus for this Chatper
107 Verified Questions
107 Flashcards
Source URL: https://quizplus.com/quiz/41916
Sample Questions
Q1) Technical analysis employs charts of past trends in currency prices and other factors to forecast exchange rates.
A)True
B)False
Q2) Discuss the challenges involved in forecasting exchange rates.
Q3) A system in which currencies float against one another,with governments intervening to stabilize their currencies at particular target exchange rates is called a
A)managed float system
B)linked exchange rate system
C)free float system
D)fixed exchange-rate system
Q4) Differentiate between efficient and inefficient market views and discuss the implications of the two schools of thought for companies.
Q5) Purchasing power parity does not hold for single products,it is meaningful only when applied to a basket of goods.
A)True
B)False
Q6) Briefly describe how exchange rates influence business activities.
Page 12
To view all questions and flashcards with answers, click on the resource link above.
Chapter 11: International Strategy and Organization
Available Study Resources on Quizplus for this Chatper
112 Verified Questions
112 Flashcards
Source URL: https://quizplus.com/quiz/41917
Sample Questions
Q1) A negative aspect of a low-cost leadership strategy is low customer loyalty.
A)True
B)False
Q2) A main goal of the global product structure is to bring together geographic and product area managers in joint decision making.
A)True
B)False
Q3) ________ is the process of identifying and selecting an organization's objectives and deciding how the organization will achieve those objectives.
A)Stratification
B)Planning
C)Economic transition
D)Value chain analysis
Q4) An international area structure separates domestic from international business activities by creating a separate international division with its own manager.
A)True
B)False
Q5) Explain how a global strategy complements a corporate growth strategy.
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 12: Analyzing International Opportunities
Available Study Resources on Quizplus for this Chatper
106 Verified Questions
106 Flashcards
Source URL: https://quizplus.com/quiz/41918
Sample Questions
Q1) An exhibition at which members of an industry showcase their latest products,study activities of rivals,and examine recent trends and opportunities is called a(n)________.
A)focus group
B)trade show
C)environmental survey
D)field research
Q2) Discuss the importance of field trips in last stage of the market-screening process.How do trade shows and trade missions help companies conducting primary international research?
Q3) Assessing potential in emerging markets by ranking locations using market-potential indicators is useful only for companies involved in exporting.
A)True
B)False
Q4) To estimate an emerging market's openness,Matt could analyze its ________.
A)market receptivity
B)differentiation strategy
C)commercial infrastructure
D)country risk
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: Selecting and Managing Entry Modes
Available Study Resources on Quizplus for this Chatper
106 Verified Questions
106 Flashcards
Source URL: https://quizplus.com/quiz/41919
Sample Questions
Q1) Which of the following statements is true of licensing?
A)Licensing restricts finances needed for international expansion.
B)Cross licensing grants a company the right to use a property but does not grant it sole access to a market.
C)A major advantage of licensing is that it is the least risky method of international expansion.
D)Licensing increases the likelihood that a licensor's product will appear on the black market.
Q2) A document ordering the importer to pay the exporter a specified sum of money at a specified time is called a ________.
A)bill of lading
B)letter of credit
C)bill of exchange
D)management contract
Q3) What is countertrade? Explain the concept of buyback as a type of countertrade,and discuss buyback as a joint venture configuration.
Q4) Why would an exporter use a sales representative or a distributor? Why would the exporter be reluctant to offer an open account payment method?
To view all questions and flashcards with answers, click on the resource link above.
Page 15
Chapter 14: Developing and Marketing Products
Available Study Resources on Quizplus for this Chatper
103 Verified Questions
103 Flashcards
Source URL: https://quizplus.com/quiz/41920
Sample Questions
Q1) Upper or lower limits placed on the prices of products sold within a country are known as ________.
A)price controls
B)transfer prices
C)price escalators
D)arm's length prices
Q2) Firms that standardize their advertising usually control campaigns from the home office.
A)True
B)False
Q3) The term ________ refers to a company's efforts to reach distribution channels and target customers through communications such as personal selling,advertising,public relations,and direct marketing.
A)social marketing
B)viral marketing
C)promotion mix
D)positioning
Q4) A brand name can function as a legal property.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 15: Managing International Operations
Available Study Resources on Quizplus for this Chatper
99 Verified Questions
99 Flashcards
Source URL: https://quizplus.com/quiz/41921
Sample Questions
Q1) A company often undertakes in-house production when it can manufacture a product for less than it must pay another business to produce it.
A)True
B)False
Q2) Availability of energy is an important aspect of the business environment necessary for facilities location planning.
A)True
B)False
Q3) Deciding the spatial arrangement of production processes within production units is called ________.
A)facilities layout planning
B)capacity planning
C)process planning
D)location economies
Q4) Companies make products rather than buy them in order to reduce total costs.
A)True
B)False
Q5) Explain the concept of capital structure as it applies to a company with international operations.
To view all questions and flashcards with answers, click on the resource link above. Page 17
Chapter 16: Hiring and Managing Employees
Available Study Resources on Quizplus for this Chatper
101 Verified Questions
101 Flashcards
Source URL: https://quizplus.com/quiz/41922
Sample Questions
Q1) Describe the differences between human resource management in a domestic setting and an international setting,and explain the three phases of human resources planning.
Q2) Which of the following is the correct order of the different methods of cultural training from the least advanced to the most advanced?
A)environmental briefings;language training;cultural orientations
B)cultural orientations;field experience;language training
C)cultural assimilation;language training;field experience
D)sensitivity training;cultural orientations;field experience
Q3) The process of identifying and attracting a qualified pool of applicants for vacant positions is called selection.
A)True
B)False
Q4) What challenges do international labor unions face as they try to accomplish their objectives?
Q5) Guerrilla linguistics is often used in the cultural assimilation stage.
A)True
B)False
Q6) What factors influence the wages of nonmanagerial workers?
To view all questions and flashcards with answers, click on the resource link above. Page 18