According to this theory the holdings of a countrys treasure primarily in the form of gold constituted its wealth.
Gold Theory
Ricardo Theory
Mercantilism
H .O. THEORY
Correct Answer :
C. Mercantilism
Related Questions
The world trade organization was formed in the year _________ with GATT as it basis.
1992
1993
1995
1994
General Agreement on Trade in Services will not be applicable to
Services supplied from one country to another cross border supply
Transaction of goods across the border Export Import
Individuals traveling from own country to supply services in another presence of natural persons.
Consumers/firms making use of a service in another country consumption abroad.
The Theory of Relative Factor Endowments is given by
Ohilin-Hecksher
FY Taylor
Richardo
Porter
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.
Analysing the business environment best assists in
Identifying key competitive forces; identifying competitive position; identifying key opportunities, threats, strengths and weaknesses.
Auditing macro environmental influences; identifying key competitive forces; identifying competitive position; identifying key opportunities and threats.
Auditing external and organisational factors; identifying key competitive forces; identifying competitive position; identifying key opportunities and threats.
Assessing historical trends; auditing environmental dangers; identifying strategic capabilities; identifying competitive position.
Wholly owned subsidiary can be set up
as a Greenfield venture.
to acquire an existing firm.
to have products marketed overseas.
to have management is overseas.
The first phase of globalization started around 1870 and ended with …
The World War I
The World War II
The Establishment of GATT
In 1913 when GDP was high
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 disadvantages of Greenfield FDI as compared to acquisition is
Profit will be less.
Size of investment will be high.
Lesser control in management.
Delay in establishment.
Social mobility is measured by
The extent to which an individual can move the strata to which he/she belongs.
The promptness with which an individual accepts foreign assignments.
The extent to which inter- caste marriage is encouraged by the society.
The extent to which the society as a whole shifts its habitat.
The country that attract the largest FDI inflow is
USA
INDIA
CHINA
BRAZIL
As a part of WTO guidelines, Agreement on Agriculture (AOA) doesnt consider
Direct payments to farmers are permitted.
Indirect assistance and support to farmers including R & D support by govt. are not permitted.
Domestic policies which directly effect on production and trade have to be cut back.
Least developed countries do not need to make any cuts.
IBRD (International Bank for Reconstruction and Development) also known as
EXIM Bank
World Bank
IMF
International Financial Bank
Non- verbal communication
includes written communication.
has no place in international business.
includes body language.
should be learnt by business managers to communicate with foreigners.
The following factor does not differentiate international business from domestic business
different currencies
product quality
product mobility
trade policies
An attribute that doesnt contribute to Porters Diamond model is
Government
Organized Trade union
Factor Conditions
Demand Conditions
0.Trade Related Investment Measures (TRIMS) doesnt apply for
Measures that lead to restrictions in quantities.
Discouraging measures that limit a companys imports
Discouraging measures that limit a companys exports.
ALL OF THE ABOVE
Scenarios are used to
Develop a long term view of strategy.
Build plausible views of different possible futures and develop a long term view of strategy.
Identify key drivers of change.
Develop a view of an environment which has a high degree of uncertainty, build plausible views of different possible futures and take a long term view of strategy.
Business across several countries with some decentralization of management decision making to subsidiaries is
Global business.
Multinational business.
Transnational business.
Multi-regional business.
Quantitative restrictions refer to limit set by countries to curb
Imports
Exports
Imports and Exports
All of the above
In relation to the PESTEL framework, which of the following statements is correct?
It assists in the assessment of organisational strengths and weaknesses.
It allows a detailed analysis of the structure of an industry.
It can be used as a checklist to understand the different environmental influences in the macro environment.
Takes an historical perspective on the main political, economic, sociocultural, technological, environmental and legal factors.
By having business in different countries, a firm reduces
credit risk.
political risk.
financial risk.
business risk.
A contract drafted under civil law differs from that drafted under common law in the following respect
It will be detailed.
It will be shorter and less specific.
It will provide less severe damages.
It will be in detail.
Professional culture refers to
Shared belief of top managers about how they should manage themselves and their employees
Shared code of ethics and other commonalities shared by members of a given group
Both (a) and (c)
None of the above
In international business cheaper alternatives to litigation is/ are
Conciliation.
Arbitration.
Negotiations.
Conciliation and arbitration.
When the transaction is of high value, complex In nature and more technical __________ method of the export sales contract is used.
Performa invoice
Purchase order
Sales contact
None of the above
General Agreement on Trade in Services will not be applicable to
Services supplied from one country to another cross border supply
Transaction of goods across the border Export Import
Individuals traveling from own country to supply services in another presence of natural persons.
Consumers/firms making use of a service in another country consumption abroad
The income level of residents in a country is indicated by
gross national income.
gross domestic product.
per capita gross national income.
per capita gross domestic product.
Typically the last step in the internationalization process is:
Licensing
Exporting
Wholly owned subsidiaries
Foreign Direct Investment
________theory states that, lack of resources often helps countries to become competitive
Competitive theory
Porters Diamond Model
Theory of Mercantilism
Product life cycle theory