3.Identify a factor that doesnt play an important role in attracting FDI
Language
Laws, rules and regulations
Cost of resources
Infrastructure related factors
Correct Answer :
A. Language
Related Questions
India is an
Emerging economy
Developed economy
Less developed economy
None of these
The following statement with respect to culture is false
Culture is enduring.
Culture is changing.
Culture is evolved among the members of a society.
Culture is determined by national boundaries.
The essential feature of FDI is
Investment of a very high value.
Investment in shares.
Investors influence on the management of the enterprise.
Investment of low value.
In international business cheaper alternatives to litigation is/ are
Conciliation.
Arbitration.
Negotiations.
Conciliation and arbitration.
Countries/ regions with huge market size will attract
Market seeking FDI.
Efficiency seeking FDI.
Vertical FDI.
Created assets seeking FDI.
International business does not result in the following
Innovation is encouraged.
International cooperation is encouraged.
Imports are rendered cheap.
Consumption is minimized.
Which of these is/are the characteristic of a licensing agreement
The licensor might provide access to some of its patents or trademarks
The licensor might provide access to technology
It might be used to avoid the risks of foreign involvement
All of the above
Power distance Index (PDI) of 77 compared to a world average of 56.5 for India indicates
High level of inequality of power and wealth within the society
Low level of inequality of power and wealth within the society
High level of Political corruption
Low level of Human development Index
Monetary policy relates to controlling
money supply.
money supply and interest rate.
money supply, interest rate and exchange rate.
credit creation by banks.
A Most Favoured nation status doesnt necessarily refer to
Same and equal economic treatment
Non-discriminatory treatment
Same tariff rates applicable
Uniform civil code
CISF pricing includes the following
Commission is paid to the agent involved in the transaction
Cost of the goods exported
Freight & Insurance charges for the goods exported
All of the above
Theory of Mercantilism propagates
Encourage imports and exports
Encourage exports and discourage imports
Discourage imports
None of these
By having business in different countries, a firm reduces
credit risk.
political risk.
financial risk.
business risk.
General electric follows ___________ as its international operational strategy
GLOBAL
TRANSNATIONAL
INTERNATIONAL
MULTI-DOMESTIC
Which is the right sequence of a stages of Internationalization
Domestic, Transnational, Global, International, Multinational
Domestic, International, Multinational, Global, Transnational
Domestic, Multinational, International, Transnational, Global
Domestic, International, Transnational, Multinational, Global
Lower power distance countries are characterized by
relationships based on equality and informality.
authority being accepted without question.
managers being paternalistic.
tall organizations structure.
The stage indicating highest level of economic growth is
age of mass consumption.
age of mass production.
maturity.
drive to maturity.
Factor of Interdependence in Multi-domestic strategy is
Low
Moderate
High
Very High
Business across several countries with some decentralization of management decision making to subsidiaries is
Global business.
Multinational business.
Transnational business.
Multi-regional business.
According to economic growth model of Rostow, passage of a country through the stages is
in the order specified.
in any order.
in the order specified, but certain stages may be skipped.
automatic.
Trade Related Investment Measures (TRIMS) doesnt apply for
Measures that affect trade in goods.
Measures that lead to restrictions on quantities.
Discouraging measures that limit a companys imports.
Discouraging measures that limit a companys exports.
9.The theory of Comparative cost advantage is given by
Porter
Adam Smith
Varnoon
D. Richardo
Quantitative restrictions refer to limit set by countries to curb
Imports
Exports
Imports and Exports
All of the above
Porter suggests the following reasons for one nation being more competitive than another
Ability to speak English; developed network of supporting industries; absence of competition; and low labour cost.
Abundant natural resources; skilled labour force; temperate climate; and democracy.
Factor conditions; demand conditions; related and supporting industries; and firm strategy, industry strategy and rivalry.
Strong sporting ethos; emphasis on individual achievement; strong national party in power; large home market.
Which of the following is an advantage of turnkey projects?
Can earn a return on knowledge asset
Will not create a competitor
Tight control of operations
All the above
The basic objective of export Promotion Council is to promote and develop the Exports of the
Particular products of country
Only attractive projects of the country
Only services industry products of the country
Overall exports of the country.
For the society, religion has no influence on
holidays.
language.
role of women.
marketing practices.
A firm investing in a foreign country to distribute the products there in creation of
Asset seeking FDI.
Backward vertical FDI.
Forward vertical FDI.
Distribution FDI.
The country that attract the largest FDI inflow is
USA
INDIA
CHINA
BRAZIL
When the exporter, expects the importer, to make the payment immediately upon the draft being presented to him is called.
Sight Draft.
Usance Draft
Demand draft
Pay Note