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Unformatted text preview: Chapter 02 - The Political, Legal, and Technological Environment Chapter 02 The Political, Legal, and Technological Environment True / False Questions 1. Many firms try to work collaboratively with governments as new laws, policies, and regulations are introduced. True False 2. Government policies toward the dissemination of information that can be viewed as a threat to national security are common. True False 3. The domestic and international political environment has a major impact on multinational corporations. True False 4. Collectivism emerged in Italy and France as "national som". True False 5. Great Britain's Labour Party practices "democratic som". True False 6. According to the text, Russia presents the extreme example of how the political environment impacts on international management. True False 7. Vietnam and Laos have moved towards a totalitarian environment due to the evolution of modern global business. True False 2-1 Chapter 02 - The Political, Legal, and Technological Environment 8. Sot law comes from the Marxist sot system and continues to influence regulations in former communist countries. True False 9. Common law is derived from Roman law and is found in the non-Islamic and non-sot countries such as France, some countries in Latin America and even Louisiana in the United States. True False 10. The territoriality principle holds that governments have the right to rule themselves as they see fit. True False 11. The protective principle holds that every nation has the right of jurisdiction within its legal territory. True False 12. The doctrine of civility holds that there must be mutual respect for the laws, institutions and government of other countries in the manner of jurisdiction over their own citizens. True False 13. Under the act of state doctrine, all acts of other governments are considered to be valid by U.S. courts, even if such acts are inappropriate in the United States. True False 14. The FCPA makes it illegal to influence foreign officials through the granting of favorable tariff rates. True False 2-2 Chapter 02 - The Political, Legal, and Technological Environment 15. The objectives of the FCPA were to stop U.S. MNCs from initiating or perpetuating corruption in foreign governments and to upgrade the image of both the United States and its businesses abroad. True False 16. The current move toward privatization by an increasing number of countries is an example of the changing international regulatory environment. True False 17. Trade agreements do not require that trade benefits accorded to one nation be extended to other nations' parties to that agreement. ...
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