Marketing Chapter 4

An embargo is a limit on the number or monetary value of a product that can be imported.

• true

• false

A nation's balance of trade is the difference in value between its exports and imports.

• true

• false

GATT was an international agreement to open trade markets and promote global free trade.

• true

• false

International trade and foreign investments generate about two thirds of the profits of US businesses.

• true

• false

A nation experiences a trade surplus when it imports more than it exports.

• true

• false

The major trade benefit of contract manufacturing is

• partnership

• lower taxes

• lower wages

• proprietary information

Select the trade alliance that establishes guidelines for international trade.

• WTO

• NAFTA

• EU

• all of the above

One economic factor relevant to starting a business in another country is

• technology

• language and symbols

• foreign exchange rate

• government stability

In 1989, the US placed a ban on Chilean grapes due to poisoned fruit. What is another term for this ban?

• protective tariff

• quota

• embargo

• time draft

Global marketing strategies include globalization, adaptations, and

• language and symbols

• multinationals

• customization

• quota