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

doubles and its cost of production falls every 18 months.
A. Brennan’s Theorem
B. Bailey’s Law
C. Moore’s Law
D. Ivan’s Law
Ans: C
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: Drivers of Globalisation
38. With the technological advances in transport and ICT, it is no longer necessary to produce
goods close to where they are consumed, resulting in a rapid increase in trade and ______.
A. FDI
B. services
C. manufacturing
D. agriculture
Ans: A
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: Drivers of Globalisation
39. Due to containerisation and other developments in transport technology, the transport costs
associated with the globalisation of production have:
A. remained the same.
B. increased dramatically.
C. declined.
D. increased slightly.
Ans: C
Blooms: Comprehension
Difficulty: Medium
Learning Objective: 1.1 Explain the process and drivers of globalisation and the opportunities and challenges it creates for business.
Topic: Drivers of Globalisation
40. When tasks that were previously performed in-house are now purchased from another
company, this is referred to as:
A. outsourcing.
B. offshoring.
C. globalisation.
D. WTO.
Ans: A
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
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
41. One concern of critics of globalisation is that a global economy shifts economic power away
from ____________________ and towards ________________.
A. the proletariat; the bourgeoisie
B. national governments; supranational organisations
C. the West; the East
D. the East; the West
Ans: B
Blooms: Knowledge
Difficulty: Hard
Learning Objective: 1.4 Debate the impact of globalisation on issues such as job security, income inequality and the environment.
Topic: The Globalisation Debate
42. Which of the following is not a reason why some of the world’s poorest countries have
suffered from economic stagnation?
A. Democratic governments.
B. Economic policies that destroy rather than facilitate the creation of wealth.
C. Weak protection of property rights.
D. War.
Ans: A
Blooms: Evaluation
Difficulty: Hard
Learning Objective: 1.4 Debate the impact of globalisation on issues such as job security, income inequality and the environment.
Topic: The Globalisation Debate
43. To ______________________ is the minimum that a firm has to do to engage in
international business.
A. export or import
B. invest directly in operations in another country
C. establish joint ventures or strategic alliances with companies in other countries
D. license products to companies in other countries
Ans: A
Blooms: Comprehension
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?
44. Any firm that engages in international trade or investment is referred to as:
A. a multinational.
B. a franchise.
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Hill (2019), Global Business Today 5e, McGraw-Hill Education (Australia)
Chapter 01 Testbank
C. a conglomerate.
D. an international business.
Ans: D
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?
45. Managing an international business is different from managing a purely domestic business,
for all of the following reasons except:
A. countries are different.
B. international transactions involve converting money into different currencies.
C. the range of problems confronted by a manager in an international business is narrower than
those confronted by a manager in a domestic business.
D. an international business must find ways to work within the limits imposed by government
intervention in the international trade and investment system.
Ans: C
Blooms: Evaluation
Difficulty: Medium
Learning Objective: 1.5 Compare how the management of international business differs from the management of domestic