D270 DAVIS MIDTERM EXAM

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D270 DAVIS MIDTERM EXAM |

QUESTIONS & ANSWERS

(VERIFIED) | LATEST UPDATE |

GRADED A+

Question 1: The broadening set of interdependent

relationships among people from different parts of the world is known as ________.

• globalization
• offshoring
• franchising
• outsourcing

CORRECT ANSWER : A

Question 2: Which of the following is NOT a likely

reason to study international business?

• Global events affect almost all companies.
• Differences among countries in physical, social, and

competitive conditions may cause companies to alter their operating methods from country to country.

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• Business conducted outside the confines of any one

country is inexplicably on the decline.

• Firms may be better able to obtain better or less

expensive resources by operating internationally.

CORRECT ANSWER : C

Question 3: In terms of international business, it is most

accurate to say that ________.

• there is a universal "best way" to conduct business
• global competition affects large companies but not

small ones

• most firms depend either on foreign markets and

supplies or compete against companies that do

• government regulation of international business has

little effect on a company's profits

CORRECT ANSWER : C

Question 4: Devon, an accounts manager at a large

electronics firm, does not have any direct international responsibilities. However, Devon would most likely

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benefit from studying international business issues so that he can ________.

• conduct better job interviews
• better understand how foreign operations affect the

company's competitive position

• supervise and evaluate subordinates who have global

assignments

• understand the legalities of importing and exporting

products overseas

CORRECT ANSWER : B

Question 5: The shifting of national borders has most

likely created which of the following situations for international business?

• It has left rural residents more isolated from

technology.

• It has complicated the understanding of behavioral

factors affecting business.

• It has increased physical barriers to exporting.

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• It has slowed communications between a company's

headquarters and foreign operations.

CORRECT ANSWER : C

Question 6: Which of the following is an indication of the

increased globalization of business since the end of World War II?

• Foreign trade has largely replaced foreign ownership

as a means of conducting international business.

• World trade has grown more rapidly than world

production.

• Globally, consumers now depend on foreign output for

more than half their consumption.

• Countries have increased their import restrictions to

counter the rising tide of imports.

CORRECT ANSWER : B

Question 7: Most of the world's goods and services are

sold ________.

• in international markets