International Final

Post-Panamax ships have resulted in
Ports being able to handle more ships
Runway size
Determines the types of aircraft an airport can serve
The busiest cargo airport in the world is
Hong Kong Chek Lap Kok
For shippers handling non-containerized cargo, the capacity of a port’s __ is a major factor in deciding which port through which to send a specific cargo
An export management company earns its revenue through
Sales commissions
The determination of the appropriate method of entry does not depend on
The problems with parallel imports/gray market
A large company sets up a subsidiary abroad and informs its suppliers that they now have to deliver products to the subsidiary as well. Therefore, the suppliers are entered in international market by
When manufacturing costs are lower abroad, when shipping costs are prohibitive, when domestic manufacturing capacity is reached, or when the product has significant intangible content, such as services, a company may consider
Production abroad
Usually, a distributor is located
in the importing country
When a firm realizes that it wants to exploit the possibilities that sales abroad can bring, and decides to become directly involved in its exporting activities, it is said to be involved in
Active exporting
Which of the following statements is TRUE
The granting of rights to intellectual property owned by a company to another company for a fee is the definition of a licensing agreement between two corporations
In the United States, attempts to reduce business practices that include corruption and bribery have been made by the
The Foreign Corrupt Practices Act (FCPA)
If an American cement company were to make an agreement with a cement producer in a foreign country to produce the American company’s cement, this would be an example of
Contract manufacturing
The fee a licensee pays a licensor for each use of an intellectual property is called a
An exporter has the most control over its foreign sales through a
Sales or marketing subsidiary
Courts generally look at two criteria to determine if a contract is international. Those criteria are
Economic and judicial criteria
An exporter’s termination of a relationship with an agent/distributor on the basis of “convenience” is
None of the above
Instead of using courts to settle disputes, an increasing number of contracts call for disputes to be settled by
An arbitration panel
Under the United Nations Convention on Contracts for the International Sale of Goods (CISG), which an offer is made
It cannot be withdrawn by the buyer or seller before its expiration date
Lex Mercatoria is
Trade law made up of a multitude of different sources of law and jurisprudence
In judging whether or not a contract has been breached, the Uniform Commercial Code (UCC) applies the principle of “perfect tender.” This means that
The goods and their delivery must exactly conform to what was written in the contract
Unless otherwise specified, contracts between an exporter and an agent and contracts between an exporter and a distributor are called
Distribution contracts
If an international agreement between an exporter and an agent/distributor is considered to be
An exclusive representative
When an international distribution contract between an exporter and an agent/distributor is terminated for “just cause,” in most cases the termination is made by the
A termination of an international contract between an exporter and an agent/distributor can be made by
Either of the parties
Which of the following is one of the characteristics of Technology drivers
Competition for talent and employees is worldwide
When companies in the same industry, as well as their suppliers, concentrate in one geographic area, this represents theory of
Porter cluster’s Theory
Which of the following entities was created at the Bretton Woods Conference of 1944
International Monetary Fund
Which of the following is an example of Market Drivers
All of the above
On occasion, a firm will respond to a competitor’s move by retailing. For example, Linde Gas (an American firm producing industrial gasses) entered the French market when Air Liquide (a French company in the same industry) decided to enter the U.S. market. Such as a move is considered a
Competition driver
The Heckscher-Ohlin Theory holds that countries that have an abundance of certain resources enjoy an absolute or comparative advantage over other countries. Which of the following is NOT one of the factors that Heckscher and Ohlin considers scarce
According to the International Product Life Cycle Theory, the countries most likely to manufacture a product that has been recently developed (one that is the result of a brand-new design and uses patented technology) and is in its first commercialization year, is
The country of innovation only
A firm can respond to one of its competitors introduction of a lower-priced product by starting to produce its own lower-cost product abroad and importing it. Such a strategy is called
Russia can produce 25 tons of steel or 5 automobiles using the same amount of resources. Using the exact same amount of resources, India can produce 18 tons od steel and 3 automobiles. According to the theory of comparative advantage, the countries will trade with each other. What will Russia produce
The international environment presents challenges for the international logistician. Which aspect of the international business environment is most likely to create frustrations
Cultural differences
It is not unusual for companies shipping to large manufacturers and retail chains to be penalized financially (not receiving the full invoice amount) for not
Delivering the right amount of goods on the day and at the time promised
Which of the following statements is correct
“Supply chain management” is now considered to include not only the management of all of the activities that are part of “logistics” but also the management of the relationships of company with its suppliers and customers
The increased usage of air transport for international trade has had which consequence
Increased probability of a company being selected as a supplier, by reducing delivery times
In the 1980s, companies started to manage their inventories much more closely than they had in the 1960s and 1970s. This was due to an increase in
Interest rates
It is generally accepted that
Supply chain management encompasses activities that are broader than those of logistics management
In what way Just-In-Time is helping manufacturing companies
Less inventory costs
Which of the following is NOT among the challenges of international logistics
Superstructure differences
A German corporation is involved in the Grune Punkt program and recycles its final consumer packaging after the consumer has used the product. How are these types of activities called
Reverse logisitcs
Logisticians concerns in historical development order have shifted from an emphasis on “slow, reliable deliveries” to one on “speed” and
Customer satisfaction
Of the following, the best definition of logistics infrastructure would be that it consists of
All of the elements in place to facilitate transportation, communication, and business exchanges
Which one of the following is NOT TRUE about port infrastructure
The location of most ports do not limit their ability to expand
Factors contributing to the rise of U.S. freight railroads since about 1980 are
Road congestion, concerns about pollution and noise, and development of the multi-modal container
Warehouse infrastructure of a country may determine
How goods are packaged
One of the first problems faced by an international logistics manager has to do with
Which of the following is not an example of a canal/waterway
Great Lakes in Canada