Chapter6MultipleChoiceQuiz1.Thepowersexercisedbyastateinrelationtoothercountriesandthesupremepowersexercisedoveritsownmembersiscalled:A)governmentpolicy.B)control.C)sovereignty.主权国家D)domestication.E)noneoftheabove.2.Theidealpoliticalclimateforamultinationalfirmisonewherethereisa__________________government.A)democraticB)socialistC)dictatorialD)stable,friendlygovernmentE)bribableandcorrupt3.Anawakeningofanation'speopletoprideintheircountryisbestcalled:A)democracy.B)socialism.C)fascism.D)nationalism.E)localism.4.Themostseverepoliticalriskisoneof____________whereacompany'sassetsareseizedwithoutpayment.A)confiscation征用B)expropriationC)domesticationD)liquidationE)destruction5.DuringarecentdictatorshipinChile,aUnitedFruitplantwas____________;however,theownerswerepaidabouttwentyfivepercentoftheplant'svalueascompensation.A)confiscatedB)expropriated没收C)domesticatedD)liquidatedE)noneoftheabove6.OvertimeBrazilwasabletotakeoverandcontrolmostforeigncoffeeplantations.Ineachcase,thegovernmentacquiredthepropertiesbydecrees,increasedinvolvementofBrazilianmanagers,andBraziliantakeoverofstockandoptions.Whichofthefollowingtermsbestdescribestheabovesituation?A)confiscationB)expropriationC)domesticationD)liquidationE)destruction7.AllofthefollowingareconsideredtobeeconomicrisksofdoingabroadEXCEPT:A)exchangecontrols.B)local-contentlaws.C)importrestrictions.D)taxcontrols.E)alloftheabove.8.NAFTArequires62percentofpartsandchassisofanycarscomingfrommembercountriesbeNAFTA-originated(inotherwords,therearelimitsonforeigncarsandparts).Thisprocessisareflectionofwhichofthefollowingeconomicrisksofdoingbusinessabroad?A)exchangecontrolsB)local-contentlawsC)importrestrictionsD)taxcontrolsE)pricecontrols9.WhichofthefollowingproductsareNOTsubjecttopricecontrols?A)pharmaceuticalsB)foodC)gasolineD)carsE)alloftheabovearesubjecttopricecontrols10.WhentheUnitedStatesboycottedtradewithCuba,thiswascalleda(n):A)technologicalsanction.B)businesssanction.C)socialsanction.D)politicalsanction.E)noneofth11.WhengroupsofpeopleprotestedtheWTOatarecentroundofWTOmeetingsinSeattle,these____________servednoticethatactionsoftheWTOandIMFwouldgetincreasingattentionfromthosethatareseekingaredistributionofwealthintheworld.A)PSAs(politicalandsocialactivists)B)communistsC)socialistsD)peaceniksE)consumers12._____________isanattempttoforecastpoliticalinstabilitytohelpmanagementidentifyandevaluatepoliticaleventsandtheirpotentialoncurrentandfutureinternationalbusinessdecisions.A)PolymeasurementB)PoliticalriskassessmentC)VulnerabilitymodelingD)SensitivitymodelingE)Performanceassessment13.RelationsbetweengovernmentsandMNCsaregenerallypositiveiftheinvestmentdoesanyofthefollowingEXCEPT:A)providesformoredirectcontrolofalocalmarket(thusstability)bytheMNC.B)createsjobs.C)makestaxcontributions.D)transferscapital,technology,orskills.E)improvesthebalanceofpaymentsbyincreasingexports.14.WhichofthefollowingisastrategythatcanbeusedbyaMNCtominimizevulnerabilityandrisk?A)expropriationB)boycottsC)jointventuresD)politicalpayoffsE)CandD15.AllofthefollowingareconsideredstrategiesthatcanbeusedbyMNCstoreduceorminimizevulnerabilityandriskintheinternationalarenaEXCEPT:A)planneddomestication.B)licensing.C)expandingtheinvestmentbase.D)politicalpayoffs.E)alloftheabove.