HOSP 1505 - Final Exam Review

Which of the following is NOT a characteristic of capitalism?

________ is a form of locking the value of a country's currency onto another currency.

Excessive reliance on long-term debt reduces financial risk and thus requires a higher return for investors

________ typically results when demand decreases and supply increases.

Which of the following BEST describes the special drawing right?

Since the late 1980s, the growing emergence of freer markets has been powered by the realization that ________.

Resource constraints require managers prioritize options, targeting markets that offer greatest return with highest risk

Which of the following most likely complicates ethical behavior for firms that expand overseas?

The teleological approach asserts that individuals that decisions are made on the consequences of action.

Which of the following is a special ability of a company that competitors find extremely difficult to equal?

Protectionism will most likely affect which aspect of a company's operations?

The global capital market offers all of the following advantages to firms EXCEPT ________.

_____ is the framework that managers apply to determine the competitive moves & business approaches that run the company

The term ________ refers to those people and org's that are directly affected by practices & performance of an orgztion

When different companies produce the same commodity, their costs are essentially the same.

________ are the two basic strategies for creating value and attaining a competitive advantage in an industry.

Imports can stimulate exports by ________.

Political, legal, economic, monetary, & institutional forces comprise the ________ of IB and influence managers' actions

The collapse of communism in late 1980s & early 1990s led to a more widespread adoption of the principles of capitalism

Which of the following was NOT a contributing factor to the turmoil in the global stock market in the last few years?

The CFO's function in a company focuses on ________.

Unlike the infant-industry argument, the industrialization argument for trade protection ________.

Stockholders are typically more interested in corporate social responsibility than in earning profits.

MNEs most likely use offshore debt markets ________.

Which type of exchange rate arrangement is based on supply and demand?

Which of the following has the greatest potential to transform an industry's structure?

________ is a general, sustained rise in prices measured against a standard level of purchasing power.

Country X is in process of transforming from command economy to a market economy. This process most likely involves ____

A strategy that focuses on lowering operating costs is referred to as a ________ strategy.

A(n) ________ is a large, liquid financial asset that can be traded anywhere at any time.

The financial management activity that determines the proper mix of debt and equity is ________.

Which of the following is one of the primary business objectives for pursuing ethical behavior?

An economic system is the set of structures and processes that ________ in a country.

In computing GNI, the value of a Ford car that is manufactured in Mexico using capital from the United States would ____

Which of the following is NOT a key stakeholder group that a company must work to satisfy in order to survive globally?

Dollarization, can occur when a country does not have its own currency but has adopted the U.S. dollar as its currency

Ethical behavior typically conforms to accepted social norms.

Which of the following is considered a primary activity in a company's value chain?

Standards of ethical behavior are uniform worldwide.

value of the currency in Country A in relation to Country B would ________.

A country's central bank is responsible for ________.

A firm would decide to delist its stock from a foreign stock exchange for all of the following reasons EXCEPT ________.

Inflation in the United States would cause China's massive dollar reserves to increase in value.

In a country like Russia, where there is corruption, an MNE would most likely use ________ to fund corporate activities

Which of the following is most typical of a command economy?

The primary objective of the International Monetary Fund is to ________.

When using equity financing, firms run the risk of ________.

A car manufactured in the United States by Toyota would be included in the calculation of the GDP for the United States.

There is a positive correlation between economic freedom and economic grow

On average, workers displaced by imports earn higher wages in the new jobs they accept.

Which term = restricting imports in order to boost dom production & consmptin of goods that would otherwise be imported?

All of the following are generally true about trade-displaced workers EXCEPT that they ________.

Which stakeholder group primarily wants additional sales and increased productivity?

In the long run, MNEs must adequately meet the needs of all stakeholders in order to prosper and survive.

Which stakeholder group is most interested in trustworthy behavior by corporate executives and increased corporate taxes

Which of the following is the BEST example of a product disruption driving industry change?

Dispersed value chains make sense when costs vary across countries.

The Bretton Woods Agreement established a system of fixed exchange rates under which each IMF member country set a ____.

________ is one of the primary business objectives for pursuing ethical behavior.

Uneven income distribution exists in almost every country

Which of the following is true regarding the protection of infant industries from international competition?

A country can attract foreign investment by keeping its interest rates high.

The role of the chief financial officer CFO is to create and maintain economic value by maximizing shareholder wealth.

A company's value chain is best described as the ________.

Which force in Toyota's immediate environment would most likely have the greatest impact on its strategy?

________ can occur when a firm sells its goods in a foreign market at a price below what it charges in its home market.

The value of the SDR is currently based on the ________.

The recent global financial crisis has led to which of the following?

ANSWER: from previous slide - Relativism

The potential of new entrants is one characteristic of industry structure.

Unemployed workers are most apt to form a pressure group to support ________.

The quest to maximize individual purchasing power compels local responsiveness.

Import restrictions lead to foreign investment inflows, which provide jobs in manufacturing

Governments impose currency restrictions in their countries to ________.

Terms of traderefers to ________.

What should the Japanese government do in this scenario?

In order to join the IMF, a country must contribute a certain sum of money, called a ________.

History suggests that if the economic crisis worsens, we are likely to see more people question the ________.

The long-term financing dimension of fin. mgmt deals with the selection, issuance, and mngnt of long-term debt & equity

When analyzing the key elements of a country's economic environment, it is best to apply a systems perspective

In most cases, trade protectionism makes it easier for a company to buy what it needs & to sell products in global mrkts

Why is the argument that "anything legal is ethical" most likely insufficient?

Such actions will be most effective for Country X if the nation ________.

Countries most likely establish export restrictions to ________.

Which of the following problems with the euro most likely worsened the financial crisis in Greece?