This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 10 International Business – Quiz 40 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 10 International Business Quiz 40 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Fill in the blankWhat is definition of "Strategic management" ?"The management of an organization's ..... to achieve its goals and objectives" A) Resources. B) Opportunities. C) Unpredictable risks. D) Challenges. Show Answer Correct Answer: A) Resources. 2. When countries join together to eliminate duties and other trade barriers, allow companies to invest freely in each other's country, and allow workers to move freely across borders, they are said to have A) A free trade agreement. B) A common market. C) Free-Trade Zones. D) Most favored nation status. Show Answer Correct Answer: C) Free-Trade Zones. 3. What are the two major trends in the global macro environment in recent years? A) Increased trade barriers and price controls. B) Higher taxes and stricter intellectual property regulations. C) Lower trade barriers and permission for 100% foreign ownership. D) Slower growth and bans on foreign direct investment. Show Answer Correct Answer: C) Lower trade barriers and permission for 100% foreign ownership. 4. UNIT 3:ABOUT WHERE YOU WORK'dialogue'A:There are some good restaurants in Walking Street.B:What's the ..... ? A) Address. B) Basement. C) Nearby. D) None of the above. Show Answer Correct Answer: A) Address. 5. The term 'Bretton Woods Twins' refers to which pair of institutions? A) OECD and BIS. B) World Bank and WTO. C) WTO and UNCTAD. D) World Bank and IMF. Show Answer Correct Answer: D) World Bank and IMF. 6. Which of the following provides subsidies & benefits to exporter? A) IEC No. B) RCMC. C) Certificate of Origin. D) None of these. Show Answer Correct Answer: B) RCMC. 7. Silk is a product created by what type of resource? A) Labor. B) Capital. C) Land. D) None of the above. Show Answer Correct Answer: C) Land. 8. This types of decision is made based on economic logic without consideration for ethics. A) Organozational Culture. B) Decision making process. C) Personal ethics. D) Leadership. Show Answer Correct Answer: B) Decision making process. 9. Wal-Mart makes bulk purchases from its vendors and hence it is able to get better deals than its competitors. This allows Wal-Mart to offer greater discounts to its customers. In this case, Wal-Mart benefits from ..... A) Economies of scale. B) First mover advantage. C) Constant marginal returns. D) Absolute advantage of production. Show Answer Correct Answer: A) Economies of scale. 10. What distinguishes tacit collusion from explicit collusion? A) Tacit collusion involves direct negotiation, while explicit collusion is indirect. B) Tacit collusion involves indirect coordination, while explicit collusion involves direct negotiation. C) Both involve direct negotiation. D) Both involve indirect coordination. Show Answer Correct Answer: B) Tacit collusion involves indirect coordination, while explicit collusion involves direct negotiation. 11. Which method involves asking buyers questions to gather information? A) Trade Shows. B) Environmental Scanning. C) Surveys. D) Focus Groups. Show Answer Correct Answer: C) Surveys. 12. To focus on producing one thing to improve productivity is known as A) International Trade. B) Specilisation. C) Absolute Advantage. D) Supply and Demand. Show Answer Correct Answer: B) Specilisation. 13. Free trade is ..... A) The ability for countries to trade with one another with MANY restrictions. B) The ability for countries to trade with one another without restrictions. C) Countries can't trade with each other. D) The ability for countries to trade with one another with restrictions. Show Answer Correct Answer: B) The ability for countries to trade with one another without restrictions. 14. What are the two types of international distribution channels discussed in the material? A) Direct versus indirect. B) Standard versus country-specific. C) Push versus pull. D) Global versus regional. Show Answer Correct Answer: A) Direct versus indirect. 15. The Dutchman would experience that there is a weaker hierarchy in this country than in his own country. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 16. The negotiating team should not be too large, it should not exceed ( ). A) 4. B) 5. C) 6. D) None of the above. Show Answer Correct Answer: B) 5. 17. Climate and terrain are two examples of ..... conditions that influence international business. A) Geographic. B) Economic. C) Political and legal. D) Cultural and social. Show Answer Correct Answer: A) Geographic. 18. What are the implications of globalization for local businesses? A) Globalization has no impact on local businesses whatsoever. B) Globalization restricts local businesses to their regional markets. C) Globalization increases competition but also offers access to larger markets for local businesses. D) Globalization eliminates competition for local businesses. Show Answer Correct Answer: C) Globalization increases competition but also offers access to larger markets for local businesses. 19. The Foreign Exchange Regulation Act (FERA) was legislation passed in India during ..... A) 2003. B) 1983. C) 1973. D) 1993. Show Answer Correct Answer: C) 1973. 20. How does favorable geography contribute to a country's economic development? A) It limits a country's ability to engage in trade. B) It encourages trade and market-based economic growth. C) It leads to higher government control of markets. D) It reduces the need for investment in infrastructure. Show Answer Correct Answer: B) It encourages trade and market-based economic growth. 21. Corporate social responsibility (CSR) is a concept that can contribute to successful business operations by: A) Enhancing a company's reputation and building customer trust. B) Focusing solely on maximizing short-term profits. C) Ignoring environmental and social concerns. D) Reducing employee engagement and morale. Show Answer Correct Answer: A) Enhancing a company's reputation and building customer trust. 22. What is one key risk of FDI? A) Lack of access to international markets. B) Over-reliance on domestic sales. C) Political instability and regulation. D) None of the above. Show Answer Correct Answer: C) Political instability and regulation. 23. How does the EU's Single Market benefit businesses? A) By limiting access to foreign goods. B) By promoting the free flow of goods and services. C) By encouraging higher trade tariffs. D) None of the above. Show Answer Correct Answer: B) By promoting the free flow of goods and services. 24. Which model of internationalization explains that this is a process with stages in engagement in foreign markets: A) UPPSALA. B) COASE. C) SIMULTAN. D) NETWORK. Show Answer Correct Answer: A) UPPSALA. 25. A company that invests in a controlling interest in a foreign company is best described as engaging in which of the following? A) International investment. B) Foreign portfolio investment. C) Foreign indirect investment. D) Foreign direct investment. E) None of the answers are correct. Show Answer Correct Answer: D) Foreign direct investment. 26. Apa yang dimaksud dengan arsitektur organisasi dalam konteks bisnis internasional? A) Proses pemasaran dan penjualan di pasar global. B) Desain fisik bangunan perusahaan. C) Struktur organisasi dan elemen-elemen pendukungnya. D) Pengaturan tugas dan tanggung jawab di unit bisnis internasional. Show Answer Correct Answer: C) Struktur organisasi dan elemen-elemen pendukungnya. 27. What is a key economic factor that impacts global trade? A) Exchange rates. B) Government taxes. C) Legal disputes. D) None of the above. Show Answer Correct Answer: A) Exchange rates. 28. What is the nature of a WTO ruling? A) A recommendation but not an order. B) A legally binding order. C) A financial penalty. D) A trade agreement. Show Answer Correct Answer: A) A recommendation but not an order. 29. A tariff and import quota will both ..... A) Increase the quantity of imports and raise domestic price. B) Increase the quantity of imports and lower the domestic price. C) Reduce the quantity of imports and raise the domestic price. D) Reduce the quantity of imports and lower the domestic price. Show Answer Correct Answer: C) Reduce the quantity of imports and raise the domestic price. 30. Which index is calculated as the sum of squared market shares of all players in a market? A) Price Index. B) Herfindahl-Hirschman Index. C) Market Growth Index. D) Consumer Price Index. Show Answer Correct Answer: B) Herfindahl-Hirschman Index. 31. Why might a successful watchmaker want to expand into interplanetary markets? A) To decrease the overall cost of producing watches. B) To acquire resources and knowledge from the foreign planet. C) To reduce risks by expanding beyond Earth. D) To compete against Rolex at an intergalactic level. Show Answer Correct Answer: C) To reduce risks by expanding beyond Earth. 32. What is the World Trade Organization (WTO)? A) A cooperative banking institution with 189 member countries. B) A powerful successor to GATT that facilitates world trade. C) An independent agency of the U.S. government. D) An international bank that makes short-term loans. Show Answer Correct Answer: B) A powerful successor to GATT that facilitates world trade. 33. Apa dampak dari regional economic integration terhadap investasi asing langsung? A) Menurun. B) Tidak ada jawaban yang benar. C) Tidak berpengaruh. D) Tergantung pada negara yang terlibat. E) Meningkat. Show Answer Correct Answer: E) Meningkat. 34. The total value added from domestic and foreign sources claimed by residents of a country. A) Purchasing Power Parity. B) Gross Domestic Product. C) International Monetary Fund. D) Gross National Product. Show Answer Correct Answer: D) Gross National Product. 35. What is a price leader in an industry? A) A firm that follows the prices set by competitors. B) A firm that has a dominant market share and sets 'acceptable' prices and margins. C) A firm that only sells at the lowest price. D) A firm that avoids competition. Show Answer Correct Answer: B) A firm that has a dominant market share and sets 'acceptable' prices and margins. 36. How has the internet impacted international business? A) It has made international business opportunities more limited. B) It has made international business opportunities more expensive. C) It has expanded international business opportunities. D) It has made international business opportunities more difficult. Show Answer Correct Answer: C) It has expanded international business opportunities. 37. WTO was established on: A) 1st July 1995. B) 1st Jan 1995. C) 1st April 1995. D) None of these. Show Answer Correct Answer: B) 1st Jan 1995. 38. What is one big change in USMCA compared to NAFTA? A) Eliminates all tariffs on all products. B) Boosts oil exports to Mexico. C) Requires at least 75% of auto parts to be made in North America. D) Eliminates intellectual property rights. Show Answer Correct Answer: C) Requires at least 75% of auto parts to be made in North America. 39. When a firm has a strategic goal of pursuing a low cost strategy on a worldwide scale, the firm should follow a(n) ..... strategy. A) Global standardization. B) Localization. C) International. D) Customization. Show Answer Correct Answer: A) Global standardization. 40. Pre-shipment Finance refers to the credit given to producer to: A) Pay shipping charges. B) Pay shipping duties. C) To purchase raw material. D) All of these. Show Answer Correct Answer: C) To purchase raw material. 41. Which organization is responsible for policingthe world trading system? A) The World Bank. B) The United Nations. C) The WTO. D) The IMF. Show Answer Correct Answer: C) The WTO. 42. The value of a currency in one country compared with the value of another is called the ..... A) Balance of payments. B) Inflation rate. C) Exchange rate. D) Currency. Show Answer Correct Answer: C) Exchange rate. 43. A tax on a good imported into a country. A) Tarriff. B) Negotiate. C) Embargo. D) Translate. Show Answer Correct Answer: A) Tarriff. 44. What are the potential risks and challenges associated with conducting international business? A) Cultural differences, legal and regulatory issues, currency fluctuations, and political instability. B) Technological advancements and global competition. C) Environmental sustainability and corporate social responsibility. D) Language barriers and communication issues. Show Answer Correct Answer: A) Cultural differences, legal and regulatory issues, currency fluctuations, and political instability. 45. What are the advantages of investing in foreign markets? A) Advantages of investing in foreign markets include diversification, access to growth opportunities, potential for higher returns, and currency diversification. B) Guaranteed profits without risk. C) Limited investment choices. D) Higher taxes on foreign investments. Show Answer Correct Answer: A) Advantages of investing in foreign markets include diversification, access to growth opportunities, potential for higher returns, and currency diversification. 46. ..... is a quota on trade imposed by the exporting country, typically at the request of the importing country's government A) Export tariffs. B) Anti-dumping policies. C) Ad valorem tariffs. D) Voluntary trade restraint. Show Answer Correct Answer: D) Voluntary trade restraint. 47. Identify the theory that supports the view that in some cases countries export for the reason that the world market can support only a limited number of firms. A) Smith's theory. B) Heckscher-Ohlin theory. C) New trade theory. D) Ricardo's theory. Show Answer Correct Answer: C) New trade theory. 48. One or more nation(s) halt(s) the export of a product to another nation A) Embargo. B) Balance of Payments. C) Quotas. D) Tariffs. Show Answer Correct Answer: A) Embargo. 49. Where is the headquarter of the WTO? A) Paris. B) Geneva. C) Barcelona. D) New York. Show Answer Correct Answer: B) Geneva. 50. Which of the following best describes licensing in international business? A) The owner of an asset gives a foreign party the right to use the asset in exchange for royalties. B) The owner of a business sells the entire business concept to a foreign party. C) A company merges with a foreign company to expand operations. D) A company provides only advertising support to a foreign party. Show Answer Correct Answer: A) The owner of an asset gives a foreign party the right to use the asset in exchange for royalties. 51. According to the material, when is domestic expansion usually preferable to foreign expansion? A) When the domestic opportunity is comparable to the foreign one. B) When the firm has no international experience. C) When the firm wants to avoid technological innovation. D) When the firm is focused on local branding only. Show Answer Correct Answer: A) When the domestic opportunity is comparable to the foreign one. 52. Ford Motor Company is based in Detroit, Michigan. It also has offices in Germany, England, and China. Which of the following is Ford's home country? A) Germany. B) England. C) China. D) United States. Show Answer Correct Answer: D) United States. 53. The trade theory that premises a country's wealth is measured by its holdings of treasure, usually in gold, is known as ..... A) Monetarism. B) Mercantilism. C) Bullionism. D) The Porter Diamond. Show Answer Correct Answer: B) Mercantilism. 54. Why is studying international business important in today's world? A) To focus only on domestic competition. B) To adapt to a fast-evolving global environment. C) To avoid foreign market involvement. D) None of the above. Show Answer Correct Answer: B) To adapt to a fast-evolving global environment. 55. Who is the First Deputy Managing Director of IMF A) Geregory D'suza. B) Geoffrey W.S. Okamoto. C) Geogre Willson. D) George W. Bush. Show Answer Correct Answer: B) Geoffrey W.S. Okamoto. 56. A bank guarantees payment to a seller in an international transaction upon presentation of proper documentation, even if the buyer defaults. This instrument is called ..... ? A) Certificate of Origin. B) Commercial Invoice. C) Bill of Lading. D) Letter of Credit. Show Answer Correct Answer: D) Letter of Credit. 57. International business is more complex than domestic business. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 58. How does culture affect accounting and finance functions? A) By influencing investment strategies. B) By determining tax regulations and accounting standards. C) By affecting marketing strategies and customer relations. D) By regulating supply chain management. Show Answer Correct Answer: B) By determining tax regulations and accounting standards. 59. How does culture influence Human Resources management? A) By dictating the technological tools used in HR processes. B) By shaping recruitment practices, training methods, and employee relations. C) By defining the company's financial reporting standards. D) By regulating the production techniques. Show Answer Correct Answer: B) By shaping recruitment practices, training methods, and employee relations. 60. Which of the following is NOT an International Business activity? A) Exporting and Importing. B) Licensing and Franchising. C) International Investment. D) Domestic Manufacturing. Show Answer Correct Answer: D) Domestic Manufacturing. ← 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