IBUS330SGQ - Chapter 1: Introduction 1. What is...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 1: Introduction 1. What is international business? Performance of trade and investment activities by firms across national borders. 2. Why a service is different from a manufacturing company? A service is a company of firm that provides technical or information service to a product. A manufacturing industry is a company that produces a product. 3. What is an industry? An industry is a group of company that manufacture a good or service within a particular market. 4. What is comparative advantage? A company’s ability to produce a good or service at a lower marginal cost and opportunity cost 5. Define complexity, in terms of IB being more complex than domestic business? IB is more complex because it deals with business outside of the country where currency, laws, and language are barriers to a successful transactions. 6. What is commercial risk? Firm’s potential loss or failure from poorly developed or executed business strategies, tactics, or procedures. 7. What is currency risk? Risk of adverse fluctuations in exchange rates. 8. What is county risk? Potentially adverse effects on company operations and profitability caused by developments in the political, legal, and economic environment in a foreign country. 9. What is cross-cultural risk? A situation or event where a cultural miscommunication puts some human value at stake. 10. Textbook Chapter 2: Globalization 1. What is internalization of a firm? Process a firm goes through as they export more product and service, invest in production in other countries. 2. What is a global product? It is a product that is standardized globally, where the purpose of use is the same form country to country.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
What would prevent a global product from being a global product? How can a government prevent a otherwise global product form a being a global product? Divergence can prevent a product from being a global product. Government can set laws that prohibit the product from enter their country. 4. What is comparative advantage and how does it work in the globalization of a firm? 5. What is a VAC? Valued added chain? 6. The declining global trade. How has it promoted globalization change in the past? 7. How doe technology advance promoted globalization? It is making things easier, faster, and less costly to move data, goods, and equipment world wide. 8. How does globalization increase complexity for the internationalizing firm? International firms must find ways to work with different government and to work within the limits imposed by various international trade and investment systems. P.28w 9. What is the effects of market imperfection by government on firms who want to globalized? 10. Textbook Chapter 3A:The cultural environment of International Business 1. Why is behavior so important when studying culture? Culture affects our behavior and thought so understanding culture will teach use behavior. P. 44t 2. What is the internal influences on behavior? 3.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 05/20/2010 for the course IBUS 330 taught by Professor Nicholson during the Spring '07 term at S.F. State.

Page1 / 14

IBUS330SGQ - Chapter 1: Introduction 1. What is...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online