Global Business Today: Asia-Pacific Perspective 5th edition by Charles W. L. Hill Test bank

products and services internationally and in building international sales.
A. internet
B. produce price
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
C. raw materials cost
D. service charge
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
Chapter 01 Testbank Key
1. The most global of markets is for industrial goods and materials that serve a universal need
around the world, rather than for consumer products.
Ans: True
Blooms: Knowledge
Difficulty: Easy
Learning Objective: 1.1 Explain the process and drivers of globalisation and the opportunities and challenges it creates for business.
Topic: What Is Globalisation?
2. Over the past two decades, the globalisation of markets in the services sector has overtaken
that of goods manufacturing.
Ans: False
Blooms: Comprehension
Difficulty: Easy
Learning Objective: 1.4 Debate the impact of globalisation on issues such as job security, income inequality and the environment.
Topic: The Globalisation Debate
3. Growth in China’s manufacturing sector and in its middle class is creating both opportunities
and threats for Australia’s economy.
Ans: True
Blooms: Application
Difficulty: Easy
Learning Objective: 1.4 Debate the impact of globalisation on issues such as job security, income inequality and the environment.
Topic: The Globalisation Debate
4. A firm has to become a multinational enterprise to engage in international business.
Ans: False
Blooms: Knowledge
Difficulty: Easy
Learning Objective: 1.2 Illustrate how the global economy has changed over the past 50 years.
Topic: The Changing Shape of the Global Economy
5. Offshoring is a special form of outsourcing.
Ans: True
Blooms: Knowledge
Difficulty: Medium
Learning Objective: 1.1 Explain the process and drivers of globalisation and the opportunities and challenges it creates for business.
Topic: Introduction
6. Part of Boeing’s rationale for outsourcing so much of its production to foreign suppliers is that
these suppliers are the best in the world at their particular activity.
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
Ans: True
Blooms: Knowledge
Difficulty: Easy
Learning Objective: 1.1 Explain the process and drivers of globalisation and the opportunities and challenges it creates for business.
Topic: What Is Globalisation?
7. The move towards a global economy has also been strengthened by the widespread adoption
of liberal economic policies by countries that had firmly opposed them for two generations or
more.
Ans: True
Blooms: Knowledge
Difficulty: Medium
Learning Objective: 1.3 Justify the labelling of the 21st century as the Emerging Markets Century.
Topic: The Changing Shape of the Global Economy
8. The economies like those of China and India are developing and a business that enters these
markets could grow with them.
Ans: True
Blooms: Knowledge
Difficulty: Easy
Learning Objective: 1.3 Justify the labelling of the 21st century as the Emerging Markets Century.
Topic: The Changing Shape of the Global Economy
9. Managers in an international business must deal with government restrictions on international
trade and investment.
Ans: True
Blooms: Knowledge
Difficulty: Easy
Learning Objective: 1.5 Compare how the management of international business differs from the management of domestic
business.
Topic: Managing in the Global Marketplace: What’s the Difference?
10. The Group of Eight (G8) represents the fastest-growing emerging economies (including
China and Brazil) with respect to global economic issues.
Ans: False
Blooms: Comprehension
Difficulty: Medium
Learning Objective: 1.2 Illustrate how the global economy has changed over the past 50 years.
Topic: The Changing Shape of the Global Economy
11. One of the objectives of Boeing’s outsourcing strategy was to reduce risk by:
A. replicating existing domestic products and operations in foreign locations.
B. ensuring that most key management decisions were made by foreign nationals.
C. pushing some of the risks associated with the production of the new 787 on to foreign
suppliers.
D. more women occupying key management positions in the organisation.
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
Ans: C
Blooms: Comprehension
Difficulty: Hard
Learning Objective: 1.1 Explain the process and drivers of globalisation and the opportunities and challenges it creates for business.