International Business Mid term Plractive

List the four types of competitive situations from the lowest degree of competition to the highest.  

• monopoly, oligopoly, monopolistic competition, pure competition

• oligopoly, monopoly, pure competition

• pure competition, monopoloy, oligopoly

If the United States hosts a six-month-long World’s Fair and it attracts over a million tourists from other countries, the revenue from this World’s Fair would be included in its:

• balance of trade

• balance of payments

• GDP

Import quotas are used to help protect domestic companies from foreign competition.

• True

• False

Dymtrus purchases semi-precious gemstones from a distributor in South Africa, and he contracts to pay for the gemstones before they actually reach him. What type of payment method does this represent?

• Long term financing

• Letter of credit

• Cash in advance

There are a limited number of car manufacturers in the United States due to the capital requirements involved in producing automobiles. What type of competitive situation would this be characterized as?

• oligopoly

• pure competition

• monopoly

• monarchy

What occurs when items that consumers want and need are created in other countries?

• competitive advantage

• absolute advantage

• trade barrier

• global dependency

The GATT Anti-Dumping Agreement was the result of which round of negotiations?

• Dillion

• Tokyo

• Kennedy

• Uraguay

Buying or selling on credit is called a letter of credit. 

• True

• False

Gabriella is a fashion designer who lives in France. She is known worldwide for making elegant evening gowns for women all around the world. She sources fabric, lace, beads and other materials from a variety of countries. If Gabriella sells one of her gowns to a client in Paris, this would be _____, whereas the fabric, lace, etc. are _____.

• an import, a domestic business

• an import, exports

• exports, imports

• a domestic business, imports

In 2017, Canada enforced an asset freeze and dealings ban on Venezuela. Canada also prohibits citizens and Canadian residents from providing any goods to Venezuela. What type of trade barrier does this BEST represent?

• trade embargo

• trade sanction

• boycott

• exapropriation