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Question
What two factors propel growth in foreign direct investment?
Answer
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Related questions
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________ are all goods and services sold abroad and sent out of a country.
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C) Gross domestic products
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Companies that pursue the low-cost leadership position also try to contain administrative costs and the costs of activities, including marketing, advertising, and distribution.
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The rise of a new international entity called the ________ suggests that any company, regardless of age, experience, and resources, can engage in international business.
A) transnational corporation
B) multinational corporation
C) born global firm
D) global firm
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A business that has direct investments (in the form of marketing or manufacturing subsidiaries) abroad in several countries is called a ________.
A) dummy corporation
B) shell corporation
C) multinational corporation
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In industries having a limited number of small firms, foreign direct investment decisions frequently resemble a "follow the leader" scenario.
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Trade in services tends to be relatively more important for the world's richest countries.
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Most of the world's merchandise trade is composed of trade in manufactured products.
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The smallest portion of the total world trade comprises trade between ________.
A) high-income and middle-income nations
B) low-income and middle-income nations
C) developed countries
D) First World member countries
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A majority of the total world merchandise trade occurs among ________.
A) middle-income and low-income economies
B) high-income economies
C) newly industrialized countries
D) emerging markets
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________ are all goods and services sold abroad and sent out of a country.
A) Net national products
B) Exports
C) Gross domestic products
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A polycentric staffing strategy can facilitate the transfer of special know-how to branch operations.
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Scenario: Swingset International Jerome Johnston, the human resource manager at the U.S.-based Swingset International, is developing an international staffing policy for the company. Jerome personally believes Swingset should send managers from the United States to manage each subsidiary. But the CEO of the company, Valerie Vermont, believes subsidiary operations ought to be managed by individuals from the host country. The approach recommended by Valerie is called ________. A) polycentric staffing B) ethnocentric staffing C) vertical integration D) horizontal integration
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What role does flexibility play in the make-or-buy decision?
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The ISO 9000 is a production technique in which inputs to the production process arrive exactly when they are needed.
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Scenario: Trader's Paradise Trader's Paradise is a global merchant that sells a variety of products. The company operates in forty-eight different countries (some developed, some developing) and some former communist countries. The company faces substantial risks given the differing conditions in foreign exchange markets. When doing business with former communist countries, Trader's Paradise insists on getting paid in a currency that can be traded freely in the foreign exchange market. The price of this currency is determined by the forces of supply and demand. Which of the following is the mode of payment illustrated in this scenario? A) soft currency B) nonconvertible currency C) local currency D) hard or convertible currency
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Which of the following is used by governments for the convertibility of currencies in their countries? A) multiple exchange rates B) countertrade C) import deposit requirements D) OTC market
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Which of the following is NOT one of the top four locations for trading foreign exchange?
A) London
B) New York
C) Tokyo
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An offshore financial center is a territory whose financial sector features very few regulations and few, if any, taxes.
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Securitization is the unbundling and repackaging of hard-to-trade financial assets into liquid financial instruments.
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Scenario: Gem Jewels Gem Jewels recently established a number of subsidiaries in various foreign countries aiming to build high levels of international business involvement in the coming years. Cultural training has to be given by the company to home-country managers assigned to work in the new subsidiaries. If Gem Jewels wants its employees to get "into the minds" of the local people, it should provide ________. A) language training B) sensitivity training C) cultural orientations D) environmental briefings
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Which of the following training approaches involve employees visiting another culture, walking the streets of its cities and villages, and becoming absorbed by the culture for a short time?
A) language training
B) field experience
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________ teaches an expatriate a culture's values, attitudes, manners, and customs.
A) Cultural assimilation
B) Cultural orientation
C) Language training
D) Cultural environmentalism
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Which of the following constitutes the most basic level of training to prepare managers for international assignments?
A) environmental briefings
B) language training
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Explain why a person's ability to bridge cultural differences must be considered during "selection" for international assignments. How can e-Training help in bridging cultural differences?
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Companies typically recruit locally for non-managerial positions.
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The process of reducing the size of an organization's workforce is called decruitment.
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Scenario: You're Hired! Erica Els has just been promoted as vice president of human resources for Hudson Foods, a U.S.-based international frozen food corporation. Erica's first task is to staff the company's European subsidiary. One challenge facing Hudson Foods as it expands into Europe is getting through all the bureaucratic and legal regulations surrounding the food industry. Erica plans to hire a manager to ensure that this challenge is overcome. Who among the following will Erica most likely recruit for this position? A) a local manager with strong government contacts B) an experienced manager from the Hudson Foods U.S. headquarters C) a native of the target market who is a recent U.S. college graduate D) a candidate from the U.S. with extensive management experience in the frozen food industry
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John has been transferred to an office in Japan for a year. In his first few weeks, he began to feel confused and rejected as well as a sort of mourning for home. John is experiencing ________.
A) expatriate failure
B) repatriation
C) acculturation
D) culture shock
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________ is a psychological phenomenon that may lead to feelings of fear, helplessness, irritability, and disorientation.
A) Expatriate failure
B) Repatriation
C) Culture shock
D) Depression
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Companies typically recruit ________ to train individuals placed in more demanding non-managerial positions at foreign branches.
A) workers from the local market
B) recent college graduates from the host country
C) qualified third-party nationals
D) specialists from the home country