14. Which strategy for entering into a foreign market has the lowest degree of risk?
Wholly-owned subsidiary
Joint venture
Foreign acquisition
Licensing
15. what is a non-equity mode involving some type of contractual agreement?
Minority joint venturing
Direct exporting
Licensing
Acquisition
16. After the Lehman Brothers collapse, the federal Reserve stood ready to lend financial institutions funds. When the Federal reserve did this, it was acting in its role as a lender of last resort. Which type of group has this role?
Informal institution
Nongovernmental organization
Formal institution
Government agency
17. What is the comprehensive free-trade settlement among canada, uS, and mexico, that addresses issues of protecting workers rights, the environment and reducing tariffs and non tariff trade barriers?
NAFTA
ASEAN
AMEA
Mercosur
18. what is one of the core propositions underpinning an institution based view of global business?
A political system should establish controls of the financial sector
Countries should provide tariff protection
If formal constraints are not in place, the informal constraints will guide decision making
Investment in infrastructure provides a multiplier effect in a developing economy
19. what is one of the core propositions underpinning an institution-based view of global business?
Investment in infrastructure provides a multiplier effect in a developing economy
Government should provide tariff protection
Managers and corporations make rational decisions within their formal and informal framework
A political system should establish controls of the financial sector
20. Which type of system allows businesses to be privately owned with a strong individualistic profit orientation?
Market economy
Democracy
Command economy
Totalitarianism