Chap006 - Chapter 06 International Management Chapter 06...

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Chapter 06 - International Management Chapter 06 International Management True / False Questions 1. (p. 210) The Maastricht Treaty formally established the trade area in North America. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Easy Learning Objective: 1 2. (p. 210) North America, South America and Africa are the three spheres of economic influence that are most dominant in the global environment. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Medium Learning Objective: 1 3. (p. 210) The goal of the unified Europe is to strengthen Europe's economic position vis-à-vis the United States. TRUE AACSB: Domestic and global economic environments Blooms taxonomy: Comprehension Difficulty: Medium Learning Objective: 1 6- 1
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Chapter 06 - International Management 4. (p. 212) Japan is America's third largest export market and the fourth largest source of American imports. TRUE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Medium Learning Objective: 1 5. (p. 214) NAFTA created one of the world's largest trading blocs. TRUE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Easy Learning Objective: 1 6. (p. 214) NAFTA has had an immediate and negative effect on the U.S. automobile industry. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Easy Learning Objective: 1 7. (p. 214) Members of APEC include South Korea, the United States, Australia and India. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Hard Learning Objective: 1 6- 2
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Chapter 06 - International Management 8. (p. 216) To maintain its strong growth for the foreseeable future, Starbucks has been expanding aggressively overseas. TRUE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Easy Learning Objective: 1 9. (p. 217-218) Foreign direct investment flows to less-developed countries by firms in developed countries has dropped substantially. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Medium Learning Objective: 2 10. (p. 218) One consequence of an increasingly integrated global economy is imports that are penetrating deeper into the world's largest economies. TRUE AACSB: Domestic and global economic environments Blooms taxonomy: Comprehension Difficulty: Easy Learning Objective: 2 11. (p. 221) Off shoring occurs when the organization contracts with an outside provider to produce one or more of an organization's products or services. FALSE AACSB: Domestic and global economic environments Blooms taxonomy: Knowledge Difficulty: Easy Learning Objective: 2 6- 3
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Chapter 06 - International Management 12. (p. 223) Universal needs exist when the tastes and preferences of consumers in different countries, with regard to a product, are similar.
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