CH4 MdTerm

Question 1

is a person’s usual or principal work as a means of earning a living.

Answer 1

Occupation

Question 2

involves specialized educational
training and a formal qualification and license.

Answer 2

Profession

Question 3

is a basic economic concept involving the
buying, selling, or exchange of goods and services.

• There are four types of business according to nature
  or scope—service, trading, manufacturing, and
  hybrid.
• There are also four types of business according to
  ownership—sole proprietorship, partnership,
  corporation, and cooperative.

Answer 3

Trade

Question 4

involves more than one country or relates to or affects two or more nations.

Answer 4

International

Question 5

is generally defined as an endeavor to make a profit.

Answer 5

Business

Question 6

means any activity or endeavor among nations around the globe involving the buying, selling, and exchanging of goods, services, capital, labor, resources, technology, and the like.

Answer 6

International business and trade

Question 7

means profit (economy),
people (society), and the planet (environment).

Answer 7

Triple bottom line (TBL)

Question 8

means thatbusinesses have an obligation to society and the environment beyond what is prescribed by law and above and beyond making a profit.

Answer 8

Corporate social responsibility

Question 9

means that a firm is investing assets directly into a foreign country’s buildings, equipment, or organizations.

Answer 9

Foreign direct investment

Question 10

simply means selling products to foreign markets.

Answer 10

Exporting

Question 11

means buying foreign products.

Answer 11

Importing

Question 12

equals exports plus imports.

Answer 12

Total trade

Question 13

are contractual arrangements between countries concerning their trade relationships.

Answer 13

Trade agreements or treaties

Question 14

is a contractual arrangement where the
licensor sells the right to use intellectual property or manufacture a product to the licensee for royalty.

Answer 14

Licensing

Question 15

means a certain percent of the sales of the product or intellectual property.

Answer 15

Royalty

Question 16

is a contractual arrangement in which
the franchisor permits the franchisee to use the business model or brand name for a fee to conduct business as an independent branch of the franchisor.

Answer 16

Franchising

Question 17

is a joint undertaking by two or
more parties, which otherwise retain their distinct identities. It is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task or project.

Answer 17

Joint venture (JV)

Question 18

Establishing a ——- means maintaining an office
in a foreign country.

Answer 18

branch

Question 19

is a company whose common stock is 100% owned by the parentcompany.

Answer 19

wholly owned subsidiary

Question 20

refers to buying global financial instruments or foreign direct investment by putting up a business in a certain country.

Answer 20

International investing

Question 21

means residents of one country go to another country to work.

Answer 21

Labor migration

Question 22

refers to the process of conveying results stemming from scientific and technological research to the marketplace and to a wider society, along with associated skills and procedures.

Answer 22

Technology transfer

Question 23

is the increasing connectedness, integration, and interdependence of world cultures, economies, politics, and environment.

Accords to WHO; understood to
include two interrelated elements:

1. the opening of international borders and
2. the changes in institutions and policies that
   facilitate the flows of goods, services, finance,
   people, and ideas.

Answer 23

Globalization

Question 24

STAGES OF GLOBALIZATION

Answer 24

1. NAVIGATION
2. RISE OF BUSINESS ORGANZATIONS
3. RISE OF TECHNOLOGY:

Question 25

The first stage of global development, what Friedman calls “Globalization 1.0,” started with Columbus’ discovery of the New World in 1492.

Answer 25

NAVIGATION

Question 26

“Globalization 2.0,” from about 1800 to 2000, was largely shaped by the emerging power of huge, multinational corporations.

Answer 26

RISE OF BUSINESS ORGANZATIONS

Question 27

“Globalization 3.0,” which Friedman says is today’s globalization, began around 2000 with advances in global electronic interconnectivity through the internet.

Answer 27

RISE OF TECHNOLOGY

Question 28

The current process of globalization is basically characterized by...

Answer 28

(1) increasing worldwide active communication systems and (2) increasing fluent economic conditions, ## Footnote ...especially those circumstances and factors regarding the mobility of financial resources and trade.

Question 29

is the creation of products or services for the global market by adapting them to local cultures and environment.

Answer 29

Glocalization

Question 30

is the creation of hybrids, where mixed cultures take advantage of the opportunities provided by international business and trade.

Answer 30

opportunistic reaction

Question 31

is to foster a resistance identity defending local history, traditions, and authentic cultures.

Answer 31

rebellious reaction