International Business Management Set 1 MCQs

Q1 | Trade between two countries can be useful if cost ratios of goods are:

Undetermined

Decreasing

Equal

Different

Q2 | The term Euro Currency market refers to

The international foreign exchange market

The market where the borrowing and lending of currencies take place outside the country of issue

The countries which have adopted Euro as their currency

The market in which Euro is exchanged for other currencies

Q3 | Which of the following theories suggests that firms seek to penetrate new markets over time?

Imperfect Market Theory

Product cycle theory

Theory of Comparative Advantage

None of the above

Q4 | Dumping refers to:

Reducing tariffs

Sale of goods abroad at low a price, below their cost and price in home market

Buying goods at low prices abroad and selling at higher prices locally

Expensive goods selling for low prices

Q5 | International trade and domestic trade differ because of:

Different government policies

Immobility of factors

Trade restrictions

All of the above

Q6 | The margin for a currency future should be maintained with the clearing house by

The seller

The buyer

Either the buyer or the seller as per the agreement between them

Both the buyer and the seller

Q7 | The following statement with respect to currency option is wrong

Foreign currency- Rupee option is available in India

An American option can be executed on any day during its currency

Put option gives the buyer the right to sell the foreign currency

Call option will be used by exporters

Q8 | Govt. policy about exports and imports is called:

Commercial policy

Fiscal policy

Monetary policy

Finance policy

Q9 | Which of the following is international trade:

Trade between countries

Trade between regions

Trade between provinces

Both (b) and (c)

Q10 | Market in which currencies buy and sell and their prices settle on is called the

International bond market

International capital market

Foreign exchange market

Eurocurrency market

Q11 | ___ Companies are registered in one country, doing business in others.

Transnational

Multinational

Off-shore

International

Q12 | The difference between interest rates in Russia and Switzerland stands for about ___per annum.

10%

5%

28%

40%

Q13 | It refers to the assumptions, values, and practices of people in the West and some elites in Non-Western cultures.

Universal Culture

Global culture

Organizational culture

All of the above

Q14 | ___ means the high adaptation of managerial practices to a given culture, and, therefore, high effectiveness.

Fitness for use

High fit

Fit and Fine

Substitution

Q15 | Erez and Gati proposed that the general model of multi-level analysis could be adopted for understanding the dynamics of ___.

Culture

Cultural Change

Multi-Level analysis

Both a and b

Q16 | State whether it is true or not: “Around the World, wherever you are, get what you want-fast from our family of Web sites.”

FALSE

TRUE

Incomplete

Cannot say

Q17 | ___ has become a world-leading marketer of toys.

California

UAE

Japan

China

Q18 | The main benefits for industrial countries would come from the liberalization of their___ market.

Mine

Agriculture

Domestic

National

Q19 | The non-tariff barriers are:

Product standards

Proliferation

Both a and b

Product adaptation

Q20 | What is meant by the phrase CSR?

Corporate Social Responsibility

Company Social Responsibility

Corporate Society Responsibility

Company Society Responsibility

Q21 | What does Milton Friedman believe to be the sole responsibility of business?

The only social responsibility of business is to its shareholders

Managers should act in ways that balance the interest of society and shareholders

The primary responsibility organizations have is to its employees

The primary responsibility organizations have is to its stakeholder

Q22 | What is the enlightened self-interest model of CSR?

That it is in an organization's own best interest to put itself first rather than its ethics

That it is in an organization's best interest to consider what a shareholder would want

That it is in an organization's own best interest to act in an ethical way

That it is in an organization's own best interest to follow the legislation and abide by the law.

Q23 | What does the importance of ethical behaviour, integrity and trust call into question?

The extent to which managers should attempt to change the underlying beliefs and values of individual followers

Who does what

What we do next

None of these

Q24 | Which of the following would most effectively act as the primary objective of a business organisation?

To make a profit

To procure resources

To communicate with shareholders

To mediate between the organisation and the environment

Q25 | Which of the following does the term Corporate Social Responsibility relate to?

Ethical conduct

Environmental practice

Community investment

All of the above