Business Environment and International Business MCQs

Question 1

Which of the following are sources of ethics? 1. Religion 2. Legal system 3. Economic system 4. Culture 5. Family system Select the correct answer:

Accepted Answer

1, 4 and 5

Answer

1, 2, 3 and 5

Answer

1, 2 and 4

Answer

All of the above

Question 2

Assertion (A): Internal factors of business environment are controllable factors. Reason (R): The company can alter or modify such factors to suit the environment.

Accepted Answer

Both (A) and (R) are true

Answer

(A) is correct, but (R) is false

Answer

Both (A) and (R) are false

Answer

(A) is false, but (R) is true

Question 3

In the context of globalisation,'Levitt Thesis' means

Accepted Answer

Standardisation strategy to respond to the worldwide homogenised market and expand the market through aggressive low pricing

Answer

Customise products to regional markets

Answer

Customise products to meet the national markets

Answer

None of the above

Question 4

Which of the following can be referred as external factors affecting a business environment?

Accepted Answer

Uncontrollable factors

Answer

Controllable factors

Answer

Relevant factors

Answer

Global factors

Question 5

Which one among the following is not a part of TRIPS agreement?

Accepted Answer

Interior Design

Answer

Industrial Design

Answer

Geographical Indications

Answer

Layout Designs of Integrated Circuits

Question 6

When a company takes over another one and clearly becomes a new owner, the action is called

Accepted Answer

Acquisition

Answer

Merger

Answer

Strategic alliance

Answer

None of the above

Question 7

Match List-I with List-II and select the correct answer: List I List II a. Supply side of international trade 1. David b. Demand side of international trade 2. Bastable and Alfred Marshall c. Opportunity cost international trade 3. G. Haberler d. Real cost theory of international trade 4. Alfred Marshall and Edgeworth

Accepted Answer

a-1, b-4, c-3, d-2

Answer

a-1, b-4, c-2, d-3

Answer

a-4, b-1, c-2, d-3

Answer

a-4, b-1, c-3, d-2

Question 8

Which one is not an element of internal environment?

Accepted Answer

Money and capital market

Answer

Marketing capability

Answer

Operational capability

Answer

Personnel capability

Question 9

International trade is theoretically based on which principle?

Accepted Answer

Theory of comparative advantage

Answer

Theory of absolute advantage

Answer

Both A and B

Answer

None of the above