Question 1

A reliable banking system, a strong stock market, and a government that discourages corruption while encouraging investment and competition are all conducive to economic growth.

Accepted Answer

A reliable banking system, a strong stock market, and a government that discourages corruption while encouraging investment and competition are all important factors that can contribute to economic growth. A reliable banking system helps facilitate financial transactions, while a strong stock market can attract investment and provide a means for companies to raise capital. A government that discourages corruption can help ensure that businesses are able to operate fairly and that institutions remain stable over time. Encouraging investment and competition can also help drive innovation and productivity, which are important drivers of economic growth over the long term.

Question 2

All of the following are conducive to economic growth except _____.
A) a reliable banking system
B) an unfavorable balance of trade and payments
C) a strong stock market and a government that discourages corruption
D) government policies that encourage investment and competition

Accepted Answer

An unfavorable balance of trade and payments would actually hinder economic growth as it means that a country is importing more than it is exporting, which can lead to a decrease in GDP and economic activity. The other options - a reliable banking system, a strong stock market and a government that discourages corruption, and government policies that encourage investment and competition - are all factors that typically contribute to economic growth.

Question 3

In a _____ culture, the numerous interlocking personal and family connections that hold people together have an effect on almost all interactions.
A) low-context
B) high-context
C) contextually saturated
D) homogeneous

Accepted Answer

In a high-context culture, relationships and family connections have a significant impact on social interactions and communication. This is in contrast to a low-context culture where relationships are less important and communication is more direct and explicit. Contextually saturated and homogeneous do not accurately describe the impact of personal and family connections on interactions.

Question 4

When Whitlock Clothiers began overseas operations, top management had to learn to appreciate the _____ environments of other countries-that is, other people's systems of shared beliefs, values, customs, and behaviors.
A) social
B) political
C) legal
D) cultural

Accepted Answer

The term "shared beliefs, values, customs, and behaviors" refers to the culture of a country. Therefore, the answer is cultural (option D). The other options (social, political, and legal) are also important factors to consider when operating overseas, but in this specific scenario, the emphasis is on understanding and appreciating cultural differences.

Question 5

The Foreign Corrupt Practices Act, which prohibits the distribution of bribes, can put American businesspeople at a competitive disadvantage.

Accepted Answer

The Foreign Corrupt Practices Act can put American businesspeople at a competitive disadvantage as it prohibits the distribution of bribes, which may be a common business practice in some countries. This may make it harder for American businesses to operate in those countries and compete with local companies who engage in bribery.

Question 6

When researching global business opportunities, firms must grasp the cultural, legal. economic, and _____ differences between the home country and the host country.
A) linguistic
B) political
C) religious
D) hygienic

Accepted Answer

When researching global business opportunities, firms must grasp the cultural, legal, and economic differences between the home country and the host country. Political differences can have a significant impact on the success of a foreign investment. Political stability, government policies, and regulations can affect the ease of doing business, as well as the profitability of a venture. Therefore, it is important to research and understand the political differences between the two countries before making a decision to invest.

Question 7

Although different countries have different communication styles, virtually all cultures share a basic core of expression values.

Accepted Answer

The answer of Although different countries have different communication styles,...

Question 8

Companies doing international business often face a smorgasbord of inconsistent laws and regulations.

Accepted Answer

This is true as each country has their own laws and regulations that need to be followed when conducting business within their borders, leading to inconsistencies between different countries.

Question 9

In communicating with other countries or cultures, it's valuable to understand all of the following except _____.
A) the fact that different cultures have different communication styles
B) certain subtle differences between cultures
C) that cultural stereotypes shouldn't dictate interactions
D) English, which is the prevalent language of business

Accepted Answer

While English is a widely used language in international business, it is not necessary to understand all aspects of communication with other countries or cultures. Understanding communication styles, subtle differences, and cultural stereotypes can greatly improve cross-cultural interactions.

Question 10

In many countries, American firms may be at a disadvantage in competing with local companies because only the educated classes speak English.

Accepted Answer

If only the educated classes in a country speak English, American firms may have difficulty communicating and establishing relationships with the general population and workforce, giving the advantage to local companies.

Question 11

Ben Franklin's adage "Time is money" is now an accepted principle _____.
A) in the United States
B) in Englishspeaking countries
C) in the Western world
D) around the world

Accepted Answer

The answer of Ben Franklin's adage "Time is money" is...

Question 12

If the U.S. dollar goes down relative to a foreign currency, foreign buyers pay more for American goods and services.

Accepted Answer

When the U.S. dollar weakens relative to a foreign currency, it means that the foreign currency can buy more dollars than before. This makes American goods and services cheaper for foreign buyers, not more expensive.

Question 13

If a foreign currency _____ relative to the U.S. dollar, Americans must pay more for goods and services bought from sellers in the country that issues the currency.
A) goes up
B) goes down
C) varies
D) is unstable

Accepted Answer

When a foreign currency goes up relative to the U.S. dollar, it becomes more expensive for Americans to purchase goods and services from the country that issues the currency. This means that Americans must exchange more dollars for the foreign currency in order to make purchases.

Question 14

The _____ prohibit(s) the distribution of bribes and other favors among American businesspeople conducting business with foreign officials and businesspeople.
A) Foreign Corrupt Practices Act
B) Anti-Bribery Act
C) Ten Commandments
D) SarbanesOxley principles

Accepted Answer

The Foreign Corrupt Practices Act prohibits the distribution of bribes and other favors among American businesspeople conducting business with foreign officials and businesspeople.

Question 15

In high-context cultures, business-people don't need to know much about the personal life of a person in order to deal with him or her in a business setting.

Accepted Answer

In high-context cultures, relationships are highly valued and personal connections are important in business dealings. Knowing something about a person's personal life can help establish trust and build rapport.

Question 16

According to some experts, American businesspeople are at a competitive disadvantage when they're prohibited from giving bribes or undercover payments to foreign officials or businesspeople.

Accepted Answer

Some experts argue that American businesspeople are at a competitive disadvantage in regions where bribes and undercover payments are a common practice for securing business deals, as U.S. laws, such as the Foreign Corrupt Practices Act (FCPA), prohibit such activities.

Question 17

In many countries, American firms may be at a disadvantage in communicating with the general public because only ____ speak English.
A) military personnel
B) the wealthy
C) the educated classes
D) other businesspeople

Accepted Answer

Generally, the educated classes are the ones who speak English in many countries. This may create a communication disadvantage for American firms who wish to communicate with the general public.

Question 18

According to the independent German organization, Transparency International, Canada boasts the world's lowest level of business corruption.

Accepted Answer

Transparency International's Corruption Perceptions Index ranks countries based on perceived levels of public sector corruption, and while Canada is often ranked as having low corruption, it is not ranked as the country with the lowest level of business corruption.

Question 19

What's the international language of business
A) Spanish
B) English
C) Japanese
D) Chinese

Accepted Answer

English is considered the international language of business because it is widely spoken and understood by people all over the world. It is the language of global trade and commerce, and is used in international organizations such as the United Nations and the World Economic Forum. While Spanish, Japanese, and Chinese are important languages in certain markets, they are not as universally recognized in the business world as English.

Question 20

If a foreign currency _____ relative to the U.S. dollar, Americans will pay less for goods and services bought from sellers in the country that issues the currency.
A) goes up
B) goes down
C) varies
D) is unstable

Accepted Answer

If a foreign currency goes down relative to the U.S. dollar, it is weaker and it takes fewer dollars to purchase goods and services from that country. Americans will therefore pay less for those goods and services.

Quiz 3: Business in a Global Environment

A reliable banking system, a strong stock market, and a government that discourages corruption while encouraging investment and competition are all conducive to economic growth.

All of the following are conducive to economic growth except _____.

In a _____ culture, the numerous interlocking personal and family connections that hold people together have an effect on almost all interactions.

When Whitlock Clothiers began overseas operations, top management had to learn to appreciate the _____ environments of other countries-that is, other people's systems of shared beliefs, values, customs, and behaviors.

The Foreign Corrupt Practices Act, which prohibits the distribution of bribes, can put American businesspeople at a competitive disadvantage.

When researching global business opportunities, firms must grasp the cultural, legal. economic, and _____ differences between the home country and the host country.

Although different countries have different communication styles, virtually all cultures share a basic core of expression values.

Companies doing international business often face a smorgasbord of inconsistent laws and regulations.

In communicating with other countries or cultures, it's valuable to understand all of the following except _____.

In many countries, American firms may be at a disadvantage in competing with local companies because only the educated classes speak English.

Ben Franklin's adage "Time is money" is now an accepted principle _____.

If the U.S. dollar goes down relative to a foreign currency, foreign buyers pay more for American goods and services.

If a foreign currency _____ relative to the U.S. dollar, Americans must pay more for goods and services bought from sellers in the country that issues the currency.

The _____ prohibit(s) the distribution of bribes and other favors among American businesspeople conducting business with foreign officials and businesspeople.

In high-context cultures, business-people don't need to know much about the personal life of a person in order to deal with him or her in a business setting.

According to some experts, American businesspeople are at a competitive disadvantage when they're prohibited from giving bribes or undercover payments to foreign officials or businesspeople.

In many countries, American firms may be at a disadvantage in communicating with the general public because only ____ speak English.

According to the independent German organization, Transparency International, Canada boasts the world's lowest level of business corruption.

What's the international language of business

If a foreign currency _____ relative to the U.S. dollar, Americans will pay less for goods and services bought from sellers in the country that issues the currency.