1. The _______ organization has evolved from management's attempt to mesh product and regional and functional expertise while maintaining clear lines of authority.
A. global
B. matrix
C. functional
D. hybrid
2. Which of the following is the least costly for a buyer of exported goods?
A. Cash in advance
B. Bank collection time draft
C. Irrevocable letter of credit
D. Open account
3. LASH and RO-RO are
A. innovative material-handling methods.
B. Panamax ships.
C. barges used in materials handling.
D. kinds of containerization.
4. Licensing has become a more profitable venture for international companies because
A. the agreements eliminate competition in foreign sales.
B. technology has provided the means to ensure accurate reproduction of products.
C. consumers are wiser and won't accept cheap copies.
D. the federal government pressed foreign governments to enforce patent laws.
5. The term tactical plans refers to
A. scenarios presented as comprehensive future strategies.
B. detailed, short-term operational plans.
C. broad operational plans on which strategic plans are based.
D. long-term strategies that address best- and worst-case scenarios.
6. Organizational _______ is a process dealing with how a company should be organized for integration, efficiency, and effectiveness.
A. division
B. functions
C. competitiveness
D. design
7. Credit information is available for new exporters through all of the following except
A. the FCIB (Finance, Credit, and International Business Association).
B. Dun & Bradstreet.
C. the SBA (Small Business Administration).
D. the exporter's bank.
8. On a consignment sale, the payment risk is
A. carried by the seller.
B. assumed to be equally shared.
C. assumed by the buyer.
D. covered by insurance.
9. The McDonald's, Kentucky Fried Chicken, or Subway in your area is an example of a
A. joint venture.
B. strategic alliance.
C. licensed product.
D. franchise.
10. A partnership between competitors, customers, or suppliers is called a/an
A. strategic alliance.
B. merger.
C. affiliation.
D. growth triangle.
11. The Conformité Européenne is a type of
A. export license.
B. certificate or origin.
C. consular invoice.
D. inspection certificate.
12. When new exporters need to quote terms of sale that differ from those used in domestic markets, they must be familiar with
A. Incoterms.
B. ETC.
C. the FCIB.
D. Dun & Bradstreet.
13. By the end of 2010, Kraft Foods had become America's
A. the largest US employer overseas.
B. largest branded-food and beverage company with headquarters in North America.
C. bigger than the Nestle Corporation.
D. the second-largest branded-food company headquartered in Brazil.
14. The common characteristic of multinationals that are organized by function at the upper level is a narrow
A. and highly integrated product mix.
B. variation of prices in the product mix.
C. research and development effort.
D. and highly integrated customer list.
15. Manufacturers that sell products from other companies in foreign markets along with their own are referred to as
A. commission agents.
B. export merchants.
C. resident buyers.
D. cooperative exporters.
16. A _______ strategy is often used where there's a strong pressure to reduce costs and limited pressure to adapt products for local markets.
A. home replication
B. multidomestic
C. global
D. transnational
17. One disadvantage of indirect exporting is that
A. large cash outlays are required.
B. the firm gains little experience from transactions.
C. licensing and red tape can delay completion of shipments.
D. it's difficult to find the right agent for a firm's product.
18. The term for what people are doing when they put forth less effort while members of a group is
A. catatonia.
B. groupthink.
C. individualism.
D. social loafing.
19. Foreign direct investment (FDI) includes all of the following except
A. wholly owned subsidiary.
B. management contract.
C. strategic alliance.
D. joint venture.
20. Which of the following is the most risky for an exporter?
A. Cash in advance
B. Bank collection time draft
C. Open account
D. Irrevocable letter of credit
A. global
B. matrix
C. functional
D. hybrid
2. Which of the following is the least costly for a buyer of exported goods?
A. Cash in advance
B. Bank collection time draft
C. Irrevocable letter of credit
D. Open account
3. LASH and RO-RO are
A. innovative material-handling methods.
B. Panamax ships.
C. barges used in materials handling.
D. kinds of containerization.
4. Licensing has become a more profitable venture for international companies because
A. the agreements eliminate competition in foreign sales.
B. technology has provided the means to ensure accurate reproduction of products.
C. consumers are wiser and won't accept cheap copies.
D. the federal government pressed foreign governments to enforce patent laws.
5. The term tactical plans refers to
A. scenarios presented as comprehensive future strategies.
B. detailed, short-term operational plans.
C. broad operational plans on which strategic plans are based.
D. long-term strategies that address best- and worst-case scenarios.
6. Organizational _______ is a process dealing with how a company should be organized for integration, efficiency, and effectiveness.
A. division
B. functions
C. competitiveness
D. design
7. Credit information is available for new exporters through all of the following except
A. the FCIB (Finance, Credit, and International Business Association).
B. Dun & Bradstreet.
C. the SBA (Small Business Administration).
D. the exporter's bank.
8. On a consignment sale, the payment risk is
A. carried by the seller.
B. assumed to be equally shared.
C. assumed by the buyer.
D. covered by insurance.
9. The McDonald's, Kentucky Fried Chicken, or Subway in your area is an example of a
A. joint venture.
B. strategic alliance.
C. licensed product.
D. franchise.
10. A partnership between competitors, customers, or suppliers is called a/an
A. strategic alliance.
B. merger.
C. affiliation.
D. growth triangle.
11. The Conformité Européenne is a type of
A. export license.
B. certificate or origin.
C. consular invoice.
D. inspection certificate.
12. When new exporters need to quote terms of sale that differ from those used in domestic markets, they must be familiar with
A. Incoterms.
B. ETC.
C. the FCIB.
D. Dun & Bradstreet.
13. By the end of 2010, Kraft Foods had become America's
A. the largest US employer overseas.
B. largest branded-food and beverage company with headquarters in North America.
C. bigger than the Nestle Corporation.
D. the second-largest branded-food company headquartered in Brazil.
14. The common characteristic of multinationals that are organized by function at the upper level is a narrow
A. and highly integrated product mix.
B. variation of prices in the product mix.
C. research and development effort.
D. and highly integrated customer list.
15. Manufacturers that sell products from other companies in foreign markets along with their own are referred to as
A. commission agents.
B. export merchants.
C. resident buyers.
D. cooperative exporters.
16. A _______ strategy is often used where there's a strong pressure to reduce costs and limited pressure to adapt products for local markets.
A. home replication
B. multidomestic
C. global
D. transnational
17. One disadvantage of indirect exporting is that
A. large cash outlays are required.
B. the firm gains little experience from transactions.
C. licensing and red tape can delay completion of shipments.
D. it's difficult to find the right agent for a firm's product.
18. The term for what people are doing when they put forth less effort while members of a group is
A. catatonia.
B. groupthink.
C. individualism.
D. social loafing.
19. Foreign direct investment (FDI) includes all of the following except
A. wholly owned subsidiary.
B. management contract.
C. strategic alliance.
D. joint venture.
20. Which of the following is the most risky for an exporter?
A. Cash in advance
B. Bank collection time draft
C. Open account
D. Irrevocable letter of credit
