Question 1: An important aspect of the political environment is the phenomenon of __________, which is a driving force behind political instability around the world.
A. ethnicity
B. government oppression
C. fascism
D. racism
Question 2: Which of the following best describes nationalization?
A. The use of locals in management positions
B. Giving hiring precedence to locals over employees from the company's headquarters
C. Government's gradual and subtle actions against a firm
D. The forced sale of an MNC's assets to local buyers
Question 3: European nations are most likely to use which type of law?
A. Common
B. Religious
C. Civil
D. Custom
Question 4: Tariffs and quotas are examples of what types of policies?
A. Economic development
B. Protectionist
C. Free market
D. Political development
Question 5: An international manager should choose technology that is:
A. capital intensive.
B. labor intensive.
C. intermediate.
D. developmentally suitable.
Question 6: One of the ways in which the European Commission is trying to use the Internet to facilitate and improve competition is by:
A. requiring all public sector companies to have a Web site.
B. mandating acceptance of credit cards by all public sector companies.
C. advertising all tender invitations online.
D. all of the above.
Question 7: Issues of social responsibility continue to center on all of the following EXCEPT:
A. the military-industrial complex.
B. the environment.
C. consumer concerns.
D. employees' safety and welfare.
Question 8: The four international codes of conduct that provide some consistent guidelines for multinational enterprises were developed by all of the following EXCEPT:
A. the International Chamber of Commerce.
B. the Organization for Economic Cooperation and Development.
C. the European Union.
D. the International Labor Organization.
Question 9: Which of the following is FALSE?
A. Americans treat everyone the same by making moral judgments based on general rules.
B. Managers in Japan and Europe tend to make ethical decisions based on shared values and social ties.
C. There is little difference in ethical practices in the U.S., Canada, and Northern Europe.
D. The Japanese have the highest ethical standards.
Question 10: The biggest single problem for MNCs, in their attempt to define a corporate-wide ethical posture, is:
A. the conflicting nature of international laws.
B. the variation of standards of ethical behavior worldwide.
C. the absence of international legal agencies.
D. the differences among worldwide religions.
Question 11: In Japan, corporate social responsibility has traditionally meant that the company:
A. follows what its competitors are doing.
B. follows the example of the host government.
C. adapts to prevailing international practices in a given region.
D. takes care of its employees.
Question 12: One real or perceived lack of responsibility of MNCs focuses on the transfer-in of:
A. financing and currency.
B. home nation executives.
C. different standards of living.
D. inappropriate technology.
Question 13: Most of the past criticism levied at MNCs has focused on their activities in:
A. developed nations.
B. the United States.
C. less developed countries.
D. pollution control.
Question 14: All of the following are criticisms of MNCs EXCEPT:
A. MNCs raise capital locally, crowding out local investment.
B. MNCs have greater wealth than the host economy.
C. MNCs usually reserve key management positions for expatriates.
D. MNCs concentrate their R & D at home.
Question 15: In recent years, the export of hazardous wastes from developed countries to less developed ones has:
A. decreased considerably.
B. remained about the same.
C. increased considerably.
D. been banned by the World Health Organization.
Question 16: Industrial ecology requires:
A. commitment from the host government.
B. an industrial system be viewed in concert with its surrounding system.
C. home government commitment.
D. a change in the laws of the host country.