Busa 3000 Bank
Chapter 1 Introduction: What is International Business?
Each chapter consists of a collection of True/False Questions, Multiple Choice Questions, and
Short Essay Questions. The Short Essay questions include a brief answer.
Each question is designed to support one of the chapter Learning Objectives. All questions follow the sequence of material in each chapter.
The following information is provided after each question: The correct answer, the page number in the chapter to which the question refers, the specific Learning Objective in the chapter to which the question refers, the question’s level of difficulty, and the specific AACSB learning goal addressed by the question.
AACSB refers to the Association to Advance Collegiate Schools of Business.
True/False Questions
WHAT IS INTERNATIONAL BUSINESS?
1. The most conspicuous aspect of international business is exporting.
(False; p. 4; concept; Learning Objective 1; moderate)
2. International business is primarily carried out by individual companies.
(True; p. 4; concept; Learning Objective 1; easy; AACSB: Globalization)
3. The globalization of markets refers to the growing independence and self-sufficiency of countries worldwide.
(False; p. 4; concept; Learning Objective 1; moderate; AACSB: Globalization)
4. International business today is predominantly the domain of large, multinational companies.
(False; p. 4; concept; Learning Objective 1; moderate)
WHAT ARE THE KEY CONCEPTS IN INTERNATIONAL BUSINESS?
5. Exporting is an entry strategy involving the sale of products or services to customers located abroad.
(True; p. 5; concept; Learning Objective 2; easy; AACSB: Globalization)
6. A country’s economic assets are also known as factors of production.
(True; p. 5; concept; Learning Objective 2; moderate)
7. The two primary types of international investment are portfolio investment and foreign direct investment.
(True; p. 5; concept; Learning Objective 2; easy)
8.
Each chapter consists of a collection of True/False Questions, Multiple Choice Questions, and
Short Essay Questions. The Short Essay questions include a brief answer.
Each question is designed to support one of the chapter Learning Objectives. All questions follow the sequence of material in each chapter.
The following information is provided after each question: The correct answer, the page number in the chapter to which the question refers, the specific Learning Objective in the chapter to which the question refers, the question’s level of difficulty, and the specific AACSB learning goal addressed by the question.
AACSB refers to the Association to Advance Collegiate Schools of Business.
True/False Questions
WHAT IS INTERNATIONAL BUSINESS?
1. The most conspicuous aspect of international business is exporting.
(False; p. 4; concept; Learning Objective 1; moderate)
2. International business is primarily carried out by individual companies.
(True; p. 4; concept; Learning Objective 1; easy; AACSB: Globalization)
3. The globalization of markets refers to the growing independence and self-sufficiency of countries worldwide.
(False; p. 4; concept; Learning Objective 1; moderate; AACSB: Globalization)
4. International business today is predominantly the domain of large, multinational companies.
(False; p. 4; concept; Learning Objective 1; moderate)
WHAT ARE THE KEY CONCEPTS IN INTERNATIONAL BUSINESS?
5. Exporting is an entry strategy involving the sale of products or services to customers located abroad.
(True; p. 5; concept; Learning Objective 2; easy; AACSB: Globalization)
6. A country’s economic assets are also known as factors of production.
(True; p. 5; concept; Learning Objective 2; moderate)
7. The two primary types of international investment are portfolio investment and foreign direct investment.
(True; p. 5; concept; Learning Objective 2; easy)
8.