Two factors that help companies determine the growth

Two factors that help companies determine the growth potential of foreign
markets are the purchasing power of the consumers and types of foreign competitors already in the
market.
19) TRUE OR FALSE: Global joint ventures can be difficult to manage because they represent a merging
of four cultures.
20) _____ are two kinds of cooperative contracts.
- Franchising and licensing----
 The trade agreement that represented the most significant change to the regulations governing
global trade during the 1990s was the _____.
 The biggest disadvantage associated with licensing is that the licensor gives up control over the
quality of the good or service sold by the foreign licensee.
 When conducting global business, companies should attempt to identify the two types of
political risk, which are political uncertainty and economic uncertainty.
 Protectionism is the use of trade barriers to protect local companies and their workers from
_____.
 Which of the following is true of global business?