Question 1

_________________________ are imposed on subsidized products imported into the country.

Accepted Answer

The answer of _________________________ are imposed on subsidized products imported...

Question 2

When the World Trade Organization determines that price discrimination did indeed occur and that a local industry was injured by the dumping activity, governments are entitled to impose _________________________ on the merchandise.

Accepted Answer

The answer of When the World Trade Organization determines that...

Question 3

Countertrade is typically handled by countertrade brokers, known in the trade as ______________________________.

Accepted Answer

The answer of Countertrade is typically handled by countertrade brokers,...

Question 4

_________________________ is currency that is accepted for payment by any international seller.

Accepted Answer

The answer of _________________________ is currency that is accepted for...

Question 5

_________________________ is a pricing strategy used to repatriate profits.

Accepted Answer

The answer of _________________________ is a pricing strategy used to...

Question 6

____________________ involves payment in products and in cash, usually in a mutually agreed upon convertible currency.

Accepted Answer

The answer of ____________________ involves payment in products and in...

Question 7

In a clearing agreement, when an imbalance occurs and one country owes money to the other, _________________________ are paid in an agreed upon hard currency.

Accepted Answer

The answer of In a clearing agreement, when an imbalance...

Question 8

_________________________ is currency that is kept at a high artificial exchange rate, is typically overvalued, and is controlled by the national government.

Accepted Answer

The answer of _________________________ is currency that is kept at...

Question 9

____________________ involves selling a product to a buyer and agreeing to accept, in return for payment, products from the buyer's firm or from the trade agency/institution of the buyer.

Accepted Answer

The answer of ____________________ involves selling a product to a...

Question 10

In a(n) _________________________, a third party, usually a barter agent or some other type of broker, creates accounts that represent trade credits for the respective parties, and companies trade in and out as necessary.

Accepted Answer

The answer of In a(n) _________________________, a third party, usually...

Question 11

Companies can and often do price themselves out of the market in certain countries. To avoid this, they must shift production to a ____________________, ____________________ country.

Accepted Answer

The answer of Companies can and often do price themselves...

Question 12

Governments defend the payment of subsidies to developing industries under the _________________________ argument.

Accepted Answer

The answer of Governments defend the payment of subsidies to...

Question 13

_________________________ involves buying a party's position in a countertrade exchange for hard currency and selling it to another customer.

Accepted Answer

The answer of _________________________ involves buying a party's position in...

Question 14

Diverting products purchased in a low-price market to other markets by means of a distribution system not authorized by the manufacturer is known as a(n) ____________________ market.

Accepted Answer

The answer of Diverting products purchased in a low-price market...

Question 15

_________________________ involves two exchanges that are paid for in cash. This involves two parallel contracts.

Accepted Answer

The answer of _________________________ involves two exchanges that are paid...

Question 16

Diverting products purchased in a low-price market to other, higher-priced, markets by means of a distribution system not authorized by the manufacturer results in the creation of _________________________.

Accepted Answer

The answer of Diverting products purchased in a low-price market...

Question 17

A typical example of ____________________ involves a foreign company that enjoys high prices and high profits at home as a result of trade barriers against imports. The company uses those profits to sell at lower prices in foreign markets in order to build market share and suppress the profitability of competitors with open home markets.

Accepted Answer

The answer of A typical example of ____________________ involves a...

Question 18

Fluctuating _________________________ provide both challenges and opportunities to firms. Companies ignoring these fluctuations could find that their profits eroding during the time lapsed between contract negotiations and the actual product delivery.

Accepted Answer

The answer of Fluctuating _________________________ provide both challenges and opportunities...

Question 19

____________________ involves a simple, non-monetized exchange of goods and/or services between two parties.

Accepted Answer

The answer of ____________________ involves a simple, non-monetized exchange of...

Question 20

Multinational companies are affected by local government ____________________ to local manufacturers, in particular, to producers of agricultural products and to exporting firms.

Accepted Answer

The answer of Multinational companies are affected by local government...

Quiz 16: International Pricing Strategy