Chapter 8: Global Management Questions & Answers(SCORED A+)

Global Business -ANSWER Buying and selling of goods and services by people from different countries multinational corporation -ANSWER Owns businesses in two or more countries direct foreign investment -ANSWER company builds a new business or buys an existing business in a foreign country Trade Barriers -ANSWER government-imposed regulations that increase the cost and restrict the number of imported goods Tariff -ANSWER Direct tax on imported goods Nontariff barriers -ANSWER non tax methods of increasing the cost or reducing the volume of imported goods Quotas -ANSWER specific limits on the number or volume of imported products voluntary export restraints -ANSWER voluntarily imposed limits on the number or volume of products exported to a particular country Government import standard -ANSWER established to protect the health and safety of citizens but is used to restrict import Subsidies -ANSWER government loans, grants, and tax deferments given to domestic companies to protect them from foreign competition Customs classification -ANSWER assigned to imported products by government officials that affects the size of the