This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 10 International Business – Quiz 42 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 10 International Business Quiz 42 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What does the term "attack" refer to in the context of competitive dynamics? A) A strategy to avoid direct confrontation. B) A framework for coordinating subsidiaries. C) An initial set of actions to gain competitive advantage. D) A defensive response to a competitor's move. Show Answer Correct Answer: C) An initial set of actions to gain competitive advantage. 2. (a) is an economic system in which land, factories, and other economic resources are rather equally split between private and government ownership. A) A. Mixed economic. B) Capitalist economic. C) Socialist economic. D) Centrally planned. Show Answer Correct Answer: A) A. Mixed economic. 3. Value creation enable the firm to reduce the costs of value creation and/or to create perceived value in such a way that premium pricing is possible A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 4. Why is FDI (Foreign Direct Investment) good for a country? A) It increases the price of imported goods. B) It creates new jobs and brings new technology. C) It makes local businesses close. D) It only helps the foreign company. Show Answer Correct Answer: B) It creates new jobs and brings new technology. 5. How does Apple exemplify a global strategy? A) By offering standardized products like the iPhone. B) By customizing products for local markets. C) By focusing on local tastes and preferences. D) By replicating its home country business model. Show Answer Correct Answer: A) By offering standardized products like the iPhone. 6. Religion and language are two examples of ..... conditions that influence international business. A) Political and legal. B) Cultural and social. C) Geographic. D) Economic. Show Answer Correct Answer: B) Cultural and social. 7. The UAE imports the most from this country A) China. B) Japan. C) Canada. D) England. Show Answer Correct Answer: A) China. 8. Based on the trends shown in the diagram, which type of export saw a significant increase in 2022 compared to previous years? A) Goods. B) Commercial services. C) Agricultural products. D) Technology services. Show Answer Correct Answer: B) Commercial services. 9. In 1962, the United States prohibited all imports and exports to and from Cuba. This is a(n) ..... A) Tariff. B) Quota. C) Embargo. D) None of the above. Show Answer Correct Answer: C) Embargo. 10. Which of the following best describes FEMA? A) Restrictive and penal in nature. B) Liberal and management-oriented. C) Applies to only banks. D) Focuses on domestic exchange. Show Answer Correct Answer: B) Liberal and management-oriented. 11. What does the "law of supply and demand" state? A) Prices are set by the intersection of the supply and the demand. B) Demand rises as the price of a product falls and demand decreases as prices rise. C) The higher the price, the more of a product or service that will be offered. D) All products and services have different degrees of price elasticity. Show Answer Correct Answer: A) Prices are set by the intersection of the supply and the demand. 12. Which of the following is another challenge of SMIEs? A) Economies of scale. B) Strong global network. C) Abundant human resources. D) Lack of managerial expertise. Show Answer Correct Answer: D) Lack of managerial expertise. 13. What is the purpose of a quota? A) To provide grants to domestic producers. B) To increase the price of imported goods. C) To eliminate all imports. D) To lower the cost of production. Show Answer Correct Answer: B) To increase the price of imported goods. 14. The foreign direct investment includes A) Tangible Good. B) Intangible Goods. C) Human Resource. D) Intellectual Property. Show Answer Correct Answer: A) Tangible Good. 15. How can foreign companies impact the local job market positively? A) By outsourcing all jobs. B) By investing in local training programs. C) By reducing wages. D) By limiting job opportunities. Show Answer Correct Answer: B) By investing in local training programs. 16. The degree of mobility of factors of production like labour and capital across nations is relatively more in International business A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 17. UNIT 2:ABOUT YOUR JOBDirection:Choose the best answer.'Rhodes Associate Law Firm' A) Company. B) Name. C) City. D) Position. Show Answer Correct Answer: A) Company. 18. Includes tourism that travels abroad (outgoing or outgoing) and that which comes from abroad (incoming or incoming). A) Inland tourism. B) National tourism. C) International tourism. D) None of the above. Show Answer Correct Answer: C) International tourism. 19. What does WTO stand for? A) Worldwide Trade Order. B) World Transport Organization. C) World Trade Organization. D) World Taxation Organization. Show Answer Correct Answer: C) World Trade Organization. 20. How is a partnership called, when cooperating firms create an independent firm in which they both invest? A) Joint Venture. B) Licensing. C) Exporting. D) Franchising. Show Answer Correct Answer: A) Joint Venture. 21. Firms that are involved in international business tend to be ..... A) Large. B) Small. C) Medium-size. D) Large, small and medium-size. Show Answer Correct Answer: D) Large, small and medium-size. 22. Which strategy focuses on increasing profitability by customizing the firm's goods or services so they provide a good match to tastes and preferences in different national markets? A) Global standardization strategy. B) Transnational strategy. C) Localization strategy. D) International strategy. Show Answer Correct Answer: C) Localization strategy. 23. Currency depreciation could be caused by A) Supply Increase or Demand Increase. B) Supply Increase or Demand Decrease. C) Supply Decrease or Demand Decrease. D) Supply Decrease or Demand Increase. Show Answer Correct Answer: B) Supply Increase or Demand Decrease. 24. How do political systems and risks in international business differ from those in domestic business? A) They are always more stable internationally. B) Domestic businesses are more vulnerable to political risks. C) International businesses face a variety of political environments and potential instability. D) Politics does not affect international businesses. Show Answer Correct Answer: C) International businesses face a variety of political environments and potential instability. 25. What is Trade Liberalization? A) Encouraging the removal of trade barriers, such as tariffs and quotas, to facilitate the free flow of goods and services across borders. B) Imposing strict regulations on international trade to protect domestic industries. C) Restricting the movement of goods and services between countries through increased tariffs. D) Banning all forms of foreign investment in the domestic market. Show Answer Correct Answer: A) Encouraging the removal of trade barriers, such as tariffs and quotas, to facilitate the free flow of goods and services across borders. 26. How does AI contribute to international business? A) Reducing the number of competitors. B) Increasing shipping costs. C) Enabling data-driven decision-making. D) None of the above. Show Answer Correct Answer: C) Enabling data-driven decision-making. 27. What is meant by "infrastructure" in the context of international trade barriers? A) The legal and political barriers that affect international trade. B) Commercial distribution systems and physical facilities that support economic activities. C) Trade agreements and treaties between different countries. D) Cultural and linguistic differences that impact trade. Show Answer Correct Answer: B) Commercial distribution systems and physical facilities that support economic activities. 28. It is the procurement of selected value-adding activities, including production of intermediate goods or finished products, from independent suppliers. A) Business Process Outsourcing (BPO). B) Outsourcing. C) Offshoring. D) None of the above. Show Answer Correct Answer: B) Outsourcing. 29. What role does social media play in the marketing strategies of International Business? A) It is irrelevant for international marketing. B) It enhances brand visibility and customer engagement. C) It only benefits local marketing efforts. D) It leads to decreased customer interaction. Show Answer Correct Answer: B) It enhances brand visibility and customer engagement. 30. Which of the following is NOT a stage in the process of globalization? A) Integration. B) Globalization. C) Domestication. D) Internationalization. Show Answer Correct Answer: A) Integration. 31. Foreign direct investment (FDI) occurs when a firm invests resources in business activities outside its home country. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 32. International transfers of resources, such as people, intellectual property, and contractual assets or liabilities, do not form a part of international business. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 33. Limit of certain goods that may be imported. A) Balance of Payments. B) Tariffs. C) Quotas. D) Embargo. Show Answer Correct Answer: C) Quotas. 34. Resources available = 200 units for each countryProduction in GhanaCocoa = 10 tonsRice = 5 tonsProduction in South KoreaCocoa = 2.5 tonsRice = 10 tonsQuestion:Which country should specialize in producing Cocoa? A) Ghana. B) South Korea. C) All the above. D) None of the above. Show Answer Correct Answer: A) Ghana. 35. Which statement is true about the World Bank? A) It helps countries with money problems. B) It gives loans for building things like schools and hospitals. C) It checks if people follow rules. D) It makes and sells iPhones. Show Answer Correct Answer: B) It gives loans for building things like schools and hospitals. 36. Which statement (according to Mankiw) is true about governmental actions? A) Governments can sometimes improve market outcomes. B) Governments can never improve market outcomes. C) Governments can always improve market outcomes. D) None of the given answers is correct. Show Answer Correct Answer: A) Governments can sometimes improve market outcomes. 37. A company sets a relatively low introductory price to entice customers. This is known as: A) Skim Pricing. B) Competitive Pricing. C) Penetration Pricing. D) Loss Leader. Show Answer Correct Answer: C) Penetration Pricing. 38. Supporters of falling trade barriers believe that countries will specialize in what they do most efficiently and trade for other goods, resulting in benefits for all countries. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 39. What are the different market entry strategies? A) Exporting, licensing, franchising, joint ventures, and direct investment. B) E-commerce, crowdfunding, angel investing, venture capital. C) Importing, leasing, outsourcing, mergers and acquisitions. D) Strategic alliances, divestitures, greenfield investments, piggybacking. Show Answer Correct Answer: A) Exporting, licensing, franchising, joint ventures, and direct investment. 40. What are basic four international strategic orientations of the enterprise: A) MULTICULTURAL, SINGLE, POLYCENTRIC, GLOBAL. B) MULTICULTURAL, MARKETING, ETHNOCENTRIC, GLOBAL. C) ETHNOCENTRIC, POLYCENTRIC, GLOBAL, DUAL. D) ETHNOCENTRIC, LOCAL, DUAL, POLYCENTRIC. Show Answer Correct Answer: C) ETHNOCENTRIC, POLYCENTRIC, GLOBAL, DUAL. 41. Which of these is a Basic Factor Condition? A) Research centers. B) Technology. C) Skilled workers. D) Beautiful beaches. Show Answer Correct Answer: D) Beautiful beaches. 42. It is the accounting instrument that reports the transactions of a country with the rest of the world. A) Interest rate. B) Balence of payments. C) Payment accounts. D) None of the above. Show Answer Correct Answer: B) Balence of payments. 43. A technology that allows your phone and a payments terminal to process contactless payments. A) Near Field Communication (NFC). B) Magnetic Stripe Technology. C) Bluetooth Connectivity. D) QR Code Scanning. Show Answer Correct Answer: A) Near Field Communication (NFC). 44. An/A (a) views public government as unnecessary and unwanted because it tramples personal liberties. A) Confusionist. B) Democrat. C) A. anarchist. D) Pluralist. E) Rebel. Show Answer Correct Answer: C) A. anarchist. 45. Which entity engages in output-and price-fixing involving multiple competitors? A) Cartel. B) Monopoly. C) Duopoly. D) Oligopoly. Show Answer Correct Answer: A) Cartel. 46. An exchange of a good or service. A) Import. B) Trade. C) Ethics. D) Trade barrier. Show Answer Correct Answer: B) Trade. 47. The opportunity cost of one DVD in South Korea is: A) One-half ton of steel. B) One ton of steel. C) One and one-half tons of steel. D) Two tons of steel. Show Answer Correct Answer: A) One-half ton of steel. 48. A company that conducts business in several countries and is capable of conducting business worldwide A) Global Strategy. B) Foreign Exchange. C) Multinational Strategy. D) Multinational Corporation. Show Answer Correct Answer: D) Multinational Corporation. 49. What are the key factors to consider when conducting market research for international business? A) Understanding the target market and nothing else. B) Understanding the target market, cultural differences, language barriers, legal and regulatory requirements, competition, and economic factors. C) Not considering legal and regulatory requirements. D) Ignoring cultural differences and language barriers. Show Answer Correct Answer: B) Understanding the target market, cultural differences, language barriers, legal and regulatory requirements, competition, and economic factors. 50. What are exchange controls? A) Laws that limit the quantity of goods that can be traded. B) Policies that determine the price of goods in international trade. C) Regulations that restrict the amount of currency that can be bought or sold. D) Taxes imposed on imported goods. Show Answer Correct Answer: C) Regulations that restrict the amount of currency that can be bought or sold. 51. Country A has an absolute advantage in A) Product X. B) Product Y. C) Neither X nor Y. D) Both X and Y. Show Answer Correct Answer: D) Both X and Y. 52. A firm has to become a multinational enterprise, investing directly in operations in other countries, to engage in international business. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 53. Which one of the following organisations lay stress on liberalization of foreign trade and foreign investment? A) International Monetary Fund. B) World Health Organisation. C) World Trade Organisation. D) International Labour Organisation. Show Answer Correct Answer: C) World Trade Organisation. 54. The amount by which the value of a country's exports exceeds the cost of its imports. A) Balance of trade. B) Trade surplus. C) Import surplus. D) Trade deficit. Show Answer Correct Answer: B) Trade surplus. 55. What does dumping refer to in international trade? A) The act of a country or business importing products at a loss. B) The disposal of excess goods without any commercial value. C) The act of a country or business selling products at less than what it costs to produce them. D) The act of a country or business selling products at more than what it costs to produce them. Show Answer Correct Answer: C) The act of a country or business selling products at less than what it costs to produce them. 56. What is Export Trade? A) The sale of goods to a foreign country. B) The purchase or buying of goods or services from a foreign country for consumption in the importing country. C) The export of goods from one country to another. D) The re-export of goods from a third country. Show Answer Correct Answer: A) The sale of goods to a foreign country. 57. Sam speaks Spanish in his house. Which element of culture does this fall up under? A) Language. B) Beliefs. C) Literature. D) Culture. Show Answer Correct Answer: A) Language. 58. Which of the following is a type of trade barrier that imposes a tax on imported goods? A) Tariff. B) Subsidy. C) Embargo. D) Quota. Show Answer Correct Answer: A) Tariff. 59. What does absolute advantage refer to? A) The total flow of money into a country minus the total flow of money out of that country. B) A negative balance of trade. C) The total value of a nation's exports minus the total value of its imports. D) The ability to produce a specific product more efficiently than any other nation. Show Answer Correct Answer: D) The ability to produce a specific product more efficiently than any other nation. 60. Which of the following BEST describes how MNEs support SDG (Sustainable Development Goals)? A) Focus only on profit maximization. B) Reduce environmental impact. C) Ignore local communities. D) Centralize operations globally. Show Answer Correct Answer: B) Reduce environmental impact. ← 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