Business Environment and International Business MCQs

Question 1

Keeping in the process of globalization, 'Levitt Thesis' means:

Accepted Answer

There is homogenization of the same products throughout the world

Answer

There should be standardization strategy for products and aggressive low pricing

Answer

There should be customized products to meet the national market

Answer

None of the above

Question 2

The Philip's curve shows a:

Accepted Answer

negative relationship between inflation and unemployment

Answer

negative relationship between inflation and wage rates

Answer

positive relationship between inflation and unemployment

Answer

negative relationship between unemployment inflation and economic growth

Question 3

Investors of FDI are

Accepted Answer

active

Answer

non-active

Answer

Both A and B

Answer

None of these

Question 4

Match the following. List-I (Theories of International Trade) List-II (Features) a. Theory of mercantilism 1. It is developed by John Stuart Mill. b. Theory of absolute advantage 2. What each country will export and what it will import is determined by comparative differences in labour costs. c. Theory of comparative cost 3. It refers to the ability of a country to produce a good more. d. Theory of reciprocal demand 4. It attributes and measures the wealth of a nation by the size of its accumulated treasures.

Accepted Answer

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

Answer

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

Answer

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

Answer

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

Question 5

Objective of World Bank does not include

Accepted Answer

short-term assistance to member countries

Answer

assistance in the reconstruction of member countries

Answer

supplement private investment by its own loans and finances

Answer

encourage long-term balanced growth of international trade

Question 6

Theory of comparative advantage is propounded by

Accepted Answer

David Ricardo

Answer

Adam Smith

Answer

Marshall

Answer

Robbins

Question 7

Which of the following statements is correct?

Accepted Answer

ASEAN was established in Bangkok

Answer

Originally, ASEAN had 7 members countries

Answer

Both A and B

Answer

All of the above

Question 8

In which of the following year, the Articles of Agreement of IMF were changed for the first time

Accepted Answer

1969

Answer

1967

Answer

1968

Answer

None of these

Question 9

Match the items of List-I with the items of List-II and select the correct answer with the options given below. List-I List-II a. SAARC 1. Philippines b. ASEAN 2. Canada c. EU 3. Afghanistan d. NAFTA 4. Hungary

Accepted Answer

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

Answer

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

Answer

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

Answer

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