Lesson 3.9.3
3.9.3 Assessing globalisation and internationalisation Quiz: AQA Business, Unit 9
20 questions
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Lesson 3.9.3, Assessing globalisation and internationalisation: 20 multiple choice questions for the AQA Business (7132), Unit 9: Strategic methods: how to pursue strategies, written with Revision Ninja.
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The 20 questions
-
What term describes the growing integration and interdependence of national economies worldwide?
- Nationalisation
- Protectionism
- Globalisation
- Localisation
-
Which term describes rapidly growing developing countries becoming increasingly significant in world trade?
- Saturated markets
- Emerging economies
- Closed economies
- Developed economies
-
Which factor has contributed most to the growth of global trade between nations?
- Higher import tariffs
- Strict trade quotas
- Increased protectionism
- Reduced trade barriers
-
Which method of entering an international market involves selling goods made at home to customers abroad?
- Licensing
- Exporting
- Strategic alliance
- Direct investment
-
Which method involves allowing a foreign firm to use a business's intellectual property in return for royalties?
- Direct investment
- Licensing
- Exporting
- Off-shoring
-
What is a joint agreement where firms share resources for mutual growth without merging?
- Direct investment
- Franchising
- Strategic alliance
- Licensing
-
Which market entry method involves establishing fully owned foreign production or retail facilities?
- Direct investment
- Exporting
- Licensing
- Joint venture
-
What term describes relocating business functions or production processes to a foreign country?
- Exporting
- Off-shoring
- Re-shoring
- Outsourcing
-
What term describes returning business production operations back to the domestic country?
- Franchising
- Re-shoring
- Licensing
- Off-shoring
-
What is a business that owns or controls production facilities in multiple countries called?
- Single-market firm
- Multinational corporation
- Export business
- Domestic producer
-
A UK firm exports 10,000 units at 20 US dollars each, and 1 pound equals 1.25 dollars. What is the revenue in pounds?
- 160,000 pounds
- 125,000 pounds
- 250,000 pounds
- 200,000 pounds
-
A firm can produce a product using labour costing 15 pounds an hour at home or 5 pounds an hour abroad. It uses 10,000 labour hours. What is the saving from off-shoring?
- 100,000 pounds
- 150,000 pounds
- 10,000 pounds
- 50,000 pounds
-
Which key indicator best measures the potential commercial attractiveness of an overseas market?
- Political instability
- High import tariffs
- Strict trade quotas
- High market growth
-
Compared to direct investment, what is a primary advantage of international licensing?
- Higher profit margins
- Zero legal oversight
- Lower financial risk
- Complete operational control
-
Which financial variable directly affects the relative cost of exporting goods abroad?
- Interest rate
- Inflation rate
- Corporate tax rate
- Exchange rate
-
What drives a multinational business to adapt its products to specific foreign markets?
- Local responsiveness
- Global standardisation
- Cost reduction
- Economies of scale
-
Which strategy best helps a multinational business achieve significant economies of scale?
- Product standardisation
- Market segmentation
- Niche marketing
- Local adaptation
-
What is the main drawback of adapting products to every local foreign market?
- Decreased customer choice
- Higher production costs
- Reduced brand equity
- Lower tariff rates
-
What key benefit do emerging economies offer to expanding businesses?
- Rapid demand growth
- Strict trade barriers
- High tax rates
- Declining populations
-
What is a primary operational benefit of re-shoring manufacturing processes?
- Shorter lead times
- Tax exemptions
- Lower unit labour
- Cheaper raw materials
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