Intro to Business Chapter 3 Review

Set up to run and look like the parent company

Government regulations in advertising/products/contracts are classified as

Quotas, tariffs, and embargoes are examples of

Language/religion/values/customs are examples of

Comparative advantage-a country doesn't have absolute advantage/ can produce a product cheaper

Balance of trade is

Items bought from other countries.

When a country produces a product at a lower cost than another country

Promotes trade

A trade surplus is favorable.

Literacy level/technology/agricultural dependency/infrastructure are examples of

Stabilizes world trade and exchange rates

Do business in several countries

What must businesses consider when looking to go global?

Culture, traditions, and religion are examples of

Which of the following is NOT a global entry method?

Provides economic aid to less developed countries

Amount a country owes to other countries.

Location/climate/terrain, and seaports are examples of

Area where products can be imported/then stored tax free until the product leaves the area

MNC strategy that uses the same product and marketing scheme

The US trades with less than 10 different countries.

Accepted behaviors, customs, and values of society

Selling the right to use an intangible property for a fee or royalty

Mexico is part of NAFTA. (North America Free Trade Agreement)

Making buying and selling goods and services within country.

Goods sold to other countries.

MNC strategy that uses different product and marketing scheme

Agreement between two or more countries to share a project

One out of every 4 jobs rely on international business.

Tax that the government places on certain imported products.

Business activities needed for creating/shipping/selling goods and services across borders

Share the same policy on external trade barriers

Designed to remove formal trade barriers

Stops the exports and imports of a product completely

Limit on the quantity of a product that may be imported or exported.

Trade deficit occurs when

Trade Surplus occurs when