BUS 508 Chapter 4 Quiz

BUS 508 Chapter 4 Quiz

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BUS 508 Chapter 4 Quiz

1.      ________ is the second most widely spoken language in the world, followed by Hindustani, Spanish, Russian, and Arabic.

2.      The ________ is the rate at which its currency can be exchanged for the currencies of other nations.

3.      A ________ is a barter agreement whereby trade between two or more nations involves payment made in the form of local products instead of currency.

4.      Nontariff, or administrative, trade barriers restrict imports in more subtle ways than tariffs.

5.      ________ are foreign-made products purchased by domestic consumers.

6.      To regulate international commerce, the United States and many other countries have ratified treaties and signed agreements that dictate the conduct of international business and protect some of its activities.

7.      A nation cannot develop a comparative advantage if it can supply its products more efficiently and at a lower price than it can supply other goods, compared with the outputs of other countries.

8.      English is the third most widely spoken language in the world, followed by Spanish, Hindi, Arabic, and Bengali.

9.      A country has an ________ in making a product for which it can maintain a monopoly or that it can produce at a lower cost than any competitor.

10.  ________ refers to basic systems of communication, transportation, and energy facilities in a country.

11.  A key disadvantage of subcontracting is that companies cannot always control their subcontractors’ business practices.

12.  A company has an ________ in making a product for which it can maintain a monopoly or that it can produce at a lower cost than any competitor.

13.  A ________ is an international agreement that involves hiring local companies to produce, distribute, or sell goods or services in a specific country or geographical region.

14.  ________ imposes a total ban on importing a specified product or even a total halt to trading with a particular country.

15.  Some laws protect the rights of foreign companies to compete in the United States.

16.  In a ________, one firm allows another to produce or sell its product, or use its trademark, patent, or manufacturing processes, in a specific geographical area.

17.  A devalued currency may make a nation more desirable as an export destination because of reduced demand in that market.

18.  All businesses encounter barriers in their operations, whether they sell only to local customers or trade in international markets.

19.  An important factor in any international business investment is the stability of the political climate.

20.  International trade is vital to a nation and its business because it boosts economic growth by providing a market for its products and access to needed resources.

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