Topic 7 International Business

An official ban on trade or other commercial activity with a particular country.

• Embargo

• Export

• Import

• Tax

Send (goods or services) to another country for sale.

• Embargo

• Export

• Import

• Tax

Setting a limit on the quantity of a product that may be imported or exported within a given period to regulate international trade is called?

• Tariff

• Quota

• Embargo

• Tax

__________ is a tax that a government places on certain imported products

• Tariff

• Quota

• Embargo

• Export

When your exports are less than your imports, this exists?

• Trade deficit

• Trade surplus

International Business does all of the following EXCEPT:

• Expands business opportunities

• Decreased Competition

• Increased sources of raw materials

• Improved political relations

Expanding to international business will create more jobs

• True

• False

Which of the following statements is not a reason why world trade is sometimes necessary?

• A country cannot produce a desired good because it does not have a suitable climate.

• A business in one country may produce better products or services at cheaper prices than businesses in other countries.

• A country may not have the necessary resources to produce certain products.

• A country’s government may make the production of a certain good illegal.

All of the following are reasons to restrict trade except

• foreign competition can lower the demand for products made at home.

• companies at home need to be protected from unfair foreign competition.

• foreign companies’ products may be more expensive than products produced at home.

• other countries may not have the same environmental or human rights standards.

The difference between imports and exports is called

• Balance of Power

• Trade Deficit

• Balance of Trade

• Loss