This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 10 International Business – Quiz 38 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 10 International Business Quiz 38 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The first phase of globalization started around 1870 and ended with what? A) World War 1. B) The establishment of GAAP. C) The Cold War. D) World War 2. Show Answer Correct Answer: A) World War 1. 2. Which of the following terms refers to the unit cost reductions associated with large sized outputs? A) Economies of scale. B) Diminishing marginal returns. C) Constant marginal returns. D) Absolute advantage of production. Show Answer Correct Answer: A) Economies of scale. 3. Walt Disney permits a German clothing manufacturer to market children's pajamas embroidered with Mickey Mouse in return for a percentage of company sales. This is an example of ..... A) Piracy. B) Licensing. C) Leasing. D) Franchising. Show Answer Correct Answer: B) Licensing. 4. Impact of globalization are A) Rapid growth. B) New technology. C) Opportunity to go global. D) All the above. Show Answer Correct Answer: D) All the above. 5. Investment made by multinational corporations (MNCs) is called ..... A) Globalization. B) Privatization. C) Foreign market. D) Domestic market. Show Answer Correct Answer: C) Foreign market. 6. Work-at-home options are a big part of many company benefit lists these days, or they may be an attractive part of the actual job description. You can experiment with the idea without jumping in company-wide, and possibly save money on office space and associated expenses. You'll still expect high productivity, of course.THIS IS ..... ? A) Health Options. B) Productivity over presence. C) Enrichment. D) None of the above. Show Answer Correct Answer: B) Productivity over presence. 7. Identify the problems of International Business A) To spread business risk. B) Foreign Exchange. C) Legal Formalities. D) Utilization of resources. Show Answer Correct Answer: C) Legal Formalities. 8. What are the features of a free market? A) Little or no government control. B) It is based on the laws of supply and demand. C) Voluntary exchange. D) All of the above. Show Answer Correct Answer: D) All of the above. 9. Why do governments establish international trade policies and agreements? A) To restrict domestic industries. B) To protect domestic industries and promote exports. C) To discourage exports. D) To promote unfair competition. Show Answer Correct Answer: B) To protect domestic industries and promote exports. 10. This country is known for having the largest international tourist arrivals. A) France. B) Switzerland. C) Spain. D) None of the above. Show Answer Correct Answer: A) France. 11. Knickerbocker's theory suggests that much FDI is explained by imitative behavior by rival firms in an ..... industry A) Oligopolistic. B) Monopolistic. C) Plastic. D) Perfectly competitive. Show Answer Correct Answer: A) Oligopolistic. 12. What is the term for the process of customizing products and marketing strategies to suit the unique preferences and needs of consumers in different countries? A) Globalization. B) Standardization. C) Localization. D) Homogenization. Show Answer Correct Answer: C) Localization. 13. Absolute advantage theory was proposed by ..... in 1776. A) John Dunning. B) David Ricardo. C) Adam Smith. D) Karl Marx. Show Answer Correct Answer: C) Adam Smith. 14. Why might a company choose to diversify its operations internationally? A) To reduce dependence on a single market. B) To increase political risk. C) To complicate their supply chain. D) To avoid learning about other cultures. Show Answer Correct Answer: A) To reduce dependence on a single market. 15. Stability strategy is a ..... strategy A) Functional level. B) Business level. C) Strategic level. D) Corporate level. Show Answer Correct Answer: D) Corporate level. 16. What is one of the macro-scale factors driving globalization? A) Increased tariffs. B) Reduced international cooperation. C) Elimination of trade barriers. D) Decreased technology use. Show Answer Correct Answer: C) Elimination of trade barriers. 17. The economic environment in international business includes all of the following EXCEPT: A) Exchange rates. B) Inflation rates. C) Cultural traditions. D) Economic policies. Show Answer Correct Answer: C) Cultural traditions. 18. Which international organization is primarily responsible for providing financial assistance to developing countries? A) IMF. B) UNCTAD. C) World Bank. D) WTO. Show Answer Correct Answer: C) World Bank. 19. Which of the following refers to the potential negative impacts that arise from differences in cultural practices and values? A) Cultural Risk. B) Strategic Planning. C) Cultural Compatible Resources Deployment. D) Cultural Awareness. Show Answer Correct Answer: A) Cultural Risk. 20. Which is not a benefit of a joint venture? A) Sharing raw materials. B) Sharing profits. C) Sharing shipping facilities. D) Sharing production facilities. Show Answer Correct Answer: B) Sharing profits. 21. How does FDI contribute to economic growth in Canada? A) By reducing technology transfer. B) By decreasing productivity. C) By increasing competition. D) By limiting foreign investment. Show Answer Correct Answer: C) By increasing competition. 22. Political risk in international business refers to: A) Risk from exchange rate fluctuations. B) Risk arising from changes in government policies. C) Risk of losing customers due to competition. D) Risk of natural disasters. Show Answer Correct Answer: B) Risk arising from changes in government policies. 23. Which strategy of international business is applied when both pressure for local responsiveness and reducing cost are low? A) International Strategy. B) Transnational strategy. C) Global standardization strategy. D) Localization strategy. Show Answer Correct Answer: A) International Strategy. 24. Cryptocurrency or virtual currency is- A) A form of physical currency used in online transactions. B) A type of currency that is regulated by a government. C) A digital currency that is only used for gaming purposes. D) A type of digital currency that uses cryptography and operates independently of a central authority. Show Answer Correct Answer: D) A type of digital currency that uses cryptography and operates independently of a central authority. 25. What is the definition of licensing? A) Selling the right to use some type of intangible property. B) The right to use a company's processes and/or business name. C) An agreement between two or more companies to share a business project. D) A tax that a government places on certain imported products. Show Answer Correct Answer: A) Selling the right to use some type of intangible property. 26. Which of the following is a characteristic of less-developed countries (LDCs)? A) High per-capita income. B) More economically advanced. C) Potentially huge & profitable markets. D) Predominantly service-based economies. Show Answer Correct Answer: C) Potentially huge & profitable markets. 27. The use of trade barriers to protect a nation's industries from foreign competition A) Protectionism. B) Quotas. C) NAFTA. D) Balance of trade. Show Answer Correct Answer: A) Protectionism. 28. The term special economic zone can include A) Free trade zone. B) Export processing zones. C) Both the above. D) None of them. Show Answer Correct Answer: C) Both the above. 29. Perkembangan yang begitu masif terhadap teknologi menyebabkan munculnya ..... dimana perusahaan jasa keuangan dapat melaksanakan perdagangan selama 24 jam penuh. A) Electronic International Capital Market. B) Integrated International Capital Market. C) Digital International Capital Market. D) Advanced International Capital Market. Show Answer Correct Answer: B) Integrated International Capital Market. 30. It is rude to write on a Japanese business card. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 31. Which of the following is an example of regional economic integration? A) The European Union. B) The British Commonwealth. C) The Cingular and AT&T merger. D) The Commonwealth of Independent States. Show Answer Correct Answer: A) The European Union. 32. Which trade theory suggests that a country should specialize in producing and exporting goods that it can produce more efficiently and import goods that it cannot produce as efficiently? A) Balance of Trade. B) Opportunity Cost. C) Absolute Advantage. D) Comparative Advantage. Show Answer Correct Answer: D) Comparative Advantage. 33. What does globalization in marketing aim to achieve? A) Localized product development. B) Standardized products and marketing worldwide. C) Ignoring global trends. D) Unique marketing for each country. Show Answer Correct Answer: B) Standardized products and marketing worldwide. 34. "Soundtrack of your ride" is partnership between ..... A) Ikea and Lego. B) Uber and Spotify. C) Tata and Nestle. D) None of the above. Show Answer Correct Answer: B) Uber and Spotify. 35. What are Structural Reforms? A) Recommending structural changes in domestic economies to increase competitiveness, boost productivity, and foster innovation. B) Implementing only monetary policies to control inflation. C) Focusing solely on increasing government spending. D) Reducing taxes for large corporations without any other changes. Show Answer Correct Answer: A) Recommending structural changes in domestic economies to increase competitiveness, boost productivity, and foster innovation. 36. Formal trade barriers are culture, traditions, and religion of a country. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 37. Which institution provides temporary financial assistance to countries with balance of payments problems? A) World Trade Organization (WTO). B) Basel Committee. C) International Monetary Fund (IMF). D) Kyoto Protocol. Show Answer Correct Answer: C) International Monetary Fund (IMF). 38. It is polite to wear a face mask in Japan if you are sick? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 39. Tariffs, quotas, and boycotts are examples of A) Trade Barriers. B) Non of these. C) Political Unrest. D) Civil Unrest. Show Answer Correct Answer: A) Trade Barriers. 40. International business refers to the trade of ..... A) Goods. B) Service. C) Technology. D) All the above. Show Answer Correct Answer: D) All the above. 41. What is the primary goal of a company making an FDI? A) To gain a controlling interest. B) To reduce foreign taxes. C) To sell foreign assets. D) To acquire foreign debt. Show Answer Correct Answer: A) To gain a controlling interest. 42. How does International Business effect you as a consumer? A) Income of the consumer. B) The prices of consumer goods that are produced and sold in the domestic market. C) The economy of the country. D) Purchasing Power of the consumer. Show Answer Correct Answer: B) The prices of consumer goods that are produced and sold in the domestic market. 43. Which of the following is NOT one of the three basic decisions a firm must make when expanding internationally? A) On what scale to enter those markets. B) When to exit the market. C) Which markets to enter. D) When to enter those markets. Show Answer Correct Answer: B) When to exit the market. 44. Under which of the following is the tasks relating to export/import of goods are carried out by middlemen? A) Direct export/import. B) Indirect export/import. C) All the above. D) None of the above. Show Answer Correct Answer: B) Indirect export/import. 45. According to Smith, international trade is A) Win-win game. B) 0-sum game. C) All the above. D) None of the above. Show Answer Correct Answer: A) Win-win game. 46. In a democratic political system, citizens have the right to elect their leaders and influence government policies. A) Power is held by a single leader. B) The media is controlled by the government. C) Opposition parties are banned. D) Citizens can vote and participate in decision-making. Show Answer Correct Answer: D) Citizens can vote and participate in decision-making. 47. What factors have influenced the level of economic freedom in Singapore? A) The government's significant engagement in public housing and healthcare. B) A compact yet effective government. C) Strong protection of property rights. D) All of the above. Show Answer Correct Answer: D) All of the above. 48. Name one source of finance for international trade and investment. A) Domestic retail banking for local shopping. B) Personal savings for household expenses. C) Export financing, foreign direct investment (FDI), or international capital markets. D) Local grocery store sales. Show Answer Correct Answer: C) Export financing, foreign direct investment (FDI), or international capital markets. 49. India is not associated with ..... A) SAARC. B) NAFTA. C) BRICS. D) None of these. Show Answer Correct Answer: B) NAFTA. 50. An example of global dependency is when products are produced and used in the same country. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 51. Avoidance of legal barriers and import tarrifs A) Benefits. B) Limitations. C) All the above. D) None of the above. Show Answer Correct Answer: A) Benefits. 52. Mengapa Tarif disebut hanya menguntungkan produsen? A) Karena tarif mengurangi pajak yang dibebankan pemerintah kepada produsen (karena pemerintah sudah diuntungkan oleh tarif). B) Karena tarif mengurangi biaya produksi produsen dalam negeri. C) Karena Tarif akan menjadi penambah permintaan produk luar negeri. D) Karena tarif mengurangi permintaan produk dengan menaikkan harga barang yang dibeli konsumen. Show Answer Correct Answer: D) Karena tarif mengurangi permintaan produk dengan menaikkan harga barang yang dibeli konsumen. 53. North American Free Trade Agreement (NAFTA) promotes the movement of goods between participating countries without restrictive: A) A imports or exports. B) B imports and trade. C) C tariffs or quotas. D) D domestic and offshore. Show Answer Correct Answer: C) C tariffs or quotas. 54. The system or process of converting one national currency into another and transferring money from one country to another is A) Currency Exchange. B) Exchange Control. C) Exchange Rate. D) Foreign Exchange. Show Answer Correct Answer: D) Foreign Exchange. 55. Which of the following best defines culture in the context of international business? A) A set of formal business practices followed by a company. B) The shared values, beliefs, customs, and behaviours of a group of people. C) The financial systems and economic conditions of a country. D) The technological advancements used in a business. Show Answer Correct Answer: B) The shared values, beliefs, customs, and behaviours of a group of people. 56. When export is greater than import, the balance of trade is A) Favourable. B) Adverse. C) Equilibrium. D) None of these. Show Answer Correct Answer: A) Favourable. 57. What is 'Market Receptivity' used to measure? A) Cultural differences. B) Competitor analysis. C) Market size. D) Market potential. Show Answer Correct Answer: D) Market potential. 58. Which of the following is not factors supporting the boom in the demand for technology? A) Changes in leisure, entertainment and consumption preferences. B) Increase in teleworking or hybrid working environments. C) US friendly policy on technology. D) Digitization in sectors such as education and health. Show Answer Correct Answer: C) US friendly policy on technology. 59. Letter of credit is issued by: A) Importer. B) Banker of Importer. C) Customs Officer. D) None of these. Show Answer Correct Answer: B) Banker of Importer. 60. What is an International Market Entry Mode? A) A strategy or method through which companies enter foreign markets, such as exporting, licensing, franchising, joint ventures, and foreign direct investment (FDI). B) A network of entities involved in the production and distribution of goods and services. C) Communication between people from different cultures. D) An investment made by a company in one country in commercial interests located in another country. Show Answer Correct Answer: A) A strategy or method through which companies enter foreign markets, such as exporting, licensing, franchising, joint ventures, and foreign direct investment (FDI). ← PreviousNext →Related QuizzesCommerce QuizzesClass 11 QuizzesClass 11 Business Studies Chapter 10 International Business Quiz 1Class 11 Business Studies Chapter 10 International Business Quiz 2Class 11 Business Studies Chapter 10 International Business Quiz 3Class 11 Business Studies Chapter 10 International Business Quiz 4Class 11 Business Studies Chapter 10 International Business Quiz 5Class 11 Business Studies Chapter 10 International Business Quiz 6Class 11 Business Studies Chapter 10 International Business Quiz 7Class 11 Business Studies Chapter 10 International Business Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books