COMM 211 EXAM 2025 QUESTIONS
WITH ALL CORRECT ANSWERS
What are the possible benefits of foreign markets? - Answer-long term (market size
could grow, current wealth, future growth), better growth in countries with free markets
and property rights
What is culture - Answer-system of values and norms shared among group of people
that consitues a design for living. Distinguishes one human group from another
What are values - Answer-what is beleived is right and desirable
what are norms - Answer-social rules that tells people how to behave (normal
behaviour)
Two types of norms - Answer-folkways (routines:dress codes) and Mores (central
norms: theft)
6 elements of culture - Answer-Religion, political Philospphy, economic philosophy,
education, language, social structure
Political Philosophy is... - Answer-individualism vs. collectivism / mixed economy vs.
command economy
Economic philosophy is... mixed economy vs. command economy vs market economy -
Answer-
Social structure is... - Answer-groups of 2+ people with shared identity (social stus,
influence views, workplace)
Social mobility - Answer-extent to be able to move from one social group to the next
Religion is... - Answer-shared set of beleifs and rituals
Education effects what? - Answer-indicates type of products that will sell and the type of
promotion that would be effective
What are Hofstede's 5 cultural dimensions? - Answer-Power distance, individualism vs.
collectivism (not political), uncertainty avoidance, masculinity vs femininty, and long
term vs short term
, WHat is power distance? - Answer-how people deal with inequality in physical and
intellectual ability. High power distance: allows for inequality, power and wealth Low
poer distance: down playes the inequalities
High vs low Uncertainty Avoidance - Answer-High: cares about job security, patterns
and rules Low: takes risks, less emotional resistance to change
Cultural change is... - Answer-CULTURES CHANGE SLOW OVER TIME, SOCIAL
TURMOIL, faster change is common as economies become stronger
What are the benefits of free trade? - Answer-1. Specialize in the manufcturing /
exporting of products that are easier to make for that country 2. import products that are
produced more eficiently elsewhere 3. Allows for specialization 4. larger selection of
products and services 5. more job creation 6. new enterpeneurial oppertunities
What is Mercantilism - Answer-philosophy that countries should encourage exports and
discourage imports. Main flaw: there was gain for one country and losses for another
Absolute Advantage is... - Answer-theory by Adam Smith: argues trade is a positive
sum game (everyone wins), different countries have different advantages, they should
foccus on those advantages
Comparative advantage is... - Answer-By Ricardo: Countries should produce goods that
they are efficient in and buy goods that are less efficient from other countries
Heckscher-Ohlin theory - Answer-Compariative advantage reflects differences in
national factor endowments (land, labour, capital)
Factor endowments are... - Answer-resources (land, labour, capital) to use in
manufacturing
Product life cycle theory is - Answer-the product matures, changes overtime, and the
location and sales change
New trade theory - Answer-trade increases the variety of goods and decreases the
avarage costs because of economies of scale
Special tariffs are... - Answer-fixed charge on goods
Ad valorem tariff is - Answer-charge percentage of value imported
export tariffs are made to... - Answer-discourage exporting
Subsidies are - Answer-a government payment to a domestic producer to make selling
easier for them
WITH ALL CORRECT ANSWERS
What are the possible benefits of foreign markets? - Answer-long term (market size
could grow, current wealth, future growth), better growth in countries with free markets
and property rights
What is culture - Answer-system of values and norms shared among group of people
that consitues a design for living. Distinguishes one human group from another
What are values - Answer-what is beleived is right and desirable
what are norms - Answer-social rules that tells people how to behave (normal
behaviour)
Two types of norms - Answer-folkways (routines:dress codes) and Mores (central
norms: theft)
6 elements of culture - Answer-Religion, political Philospphy, economic philosophy,
education, language, social structure
Political Philosophy is... - Answer-individualism vs. collectivism / mixed economy vs.
command economy
Economic philosophy is... mixed economy vs. command economy vs market economy -
Answer-
Social structure is... - Answer-groups of 2+ people with shared identity (social stus,
influence views, workplace)
Social mobility - Answer-extent to be able to move from one social group to the next
Religion is... - Answer-shared set of beleifs and rituals
Education effects what? - Answer-indicates type of products that will sell and the type of
promotion that would be effective
What are Hofstede's 5 cultural dimensions? - Answer-Power distance, individualism vs.
collectivism (not political), uncertainty avoidance, masculinity vs femininty, and long
term vs short term
, WHat is power distance? - Answer-how people deal with inequality in physical and
intellectual ability. High power distance: allows for inequality, power and wealth Low
poer distance: down playes the inequalities
High vs low Uncertainty Avoidance - Answer-High: cares about job security, patterns
and rules Low: takes risks, less emotional resistance to change
Cultural change is... - Answer-CULTURES CHANGE SLOW OVER TIME, SOCIAL
TURMOIL, faster change is common as economies become stronger
What are the benefits of free trade? - Answer-1. Specialize in the manufcturing /
exporting of products that are easier to make for that country 2. import products that are
produced more eficiently elsewhere 3. Allows for specialization 4. larger selection of
products and services 5. more job creation 6. new enterpeneurial oppertunities
What is Mercantilism - Answer-philosophy that countries should encourage exports and
discourage imports. Main flaw: there was gain for one country and losses for another
Absolute Advantage is... - Answer-theory by Adam Smith: argues trade is a positive
sum game (everyone wins), different countries have different advantages, they should
foccus on those advantages
Comparative advantage is... - Answer-By Ricardo: Countries should produce goods that
they are efficient in and buy goods that are less efficient from other countries
Heckscher-Ohlin theory - Answer-Compariative advantage reflects differences in
national factor endowments (land, labour, capital)
Factor endowments are... - Answer-resources (land, labour, capital) to use in
manufacturing
Product life cycle theory is - Answer-the product matures, changes overtime, and the
location and sales change
New trade theory - Answer-trade increases the variety of goods and decreases the
avarage costs because of economies of scale
Special tariffs are... - Answer-fixed charge on goods
Ad valorem tariff is - Answer-charge percentage of value imported
export tariffs are made to... - Answer-discourage exporting
Subsidies are - Answer-a government payment to a domestic producer to make selling
easier for them
