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Exam (elaborations)

GMS522 - POP QUIZ 3 Questions and Answers

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  • Course
  • GMS522
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  • GMS522

According to Dunning's OLI Framework a firm's foreign investment decisions are driven by - Answer-Ownership, Location and Internalization factors The ___________ theory attempts to explain international trade by examining the pattern of consumer demand for products - Answer-Linder According ...

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  • September 9, 2024
  • 3
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
  • GMS522
  • GMS522
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GMS522 - POP QUIZ 3 Questions and
Answers
According to Dunning's OLI Framework a firm's foreign investment decisions are driven
by - Answer-Ownership, Location and Internalization factors

The ___________ theory attempts to explain international trade by examining the
pattern of
consumer demand for products - Answer-Linder

According to the International Product Cycle Theory comparative advantage shifts to
developing countries such as Mexico, India and China in the _________ stage of the
cycle - Answer-third

Which is NOT a form of government export promotion? - Answer-Establishing voluntary
export restrictions on local firms

The Mexican ambassador to Canada knew exactly why he was being asked to attend a
meeting in Ottawa. Mexican vegetable farmers were rumored to be subsidized by their
government. Canadian farmers in British Columbia and Ontario (two Canadian
provinces) had
complained to the Canadian government calling for the imposition of
________________ on
Mexican imports. The Mexican ambassador knew that if he was not careful in
discussions with
trade officials in Ottawa the matter could soon be before the Wor - Answer-
Countervailing duties

Voluntary export restraints have been used mainly in areas such as textiles,
automobiles, and
steel and are intended to - Answer-Help companies in the importing nation survive

Unlike the International Product Cycle Theory, Porter's Diamond of National Advantage
suggests that countries can maintain their competitive advantage in specific industries
over long
periods of time irrespective of the impact of labor costs. True/False - Answer-true

.According to transaction cost analysis, firms seek to minimize transaction costs in their
efforts
to expand and market their products globally. These may be classified as Contracting
costs,
Search costs, Monitoring Costs and Enforcement costs. True/False - Answer-true

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