international business midterm ( 10 questions )

NAME________________________________________ DATE___________________________

WUVa FALL MID TERM EXAMINATION PART II

1. Explain the differences in LAISSEZ-FAIRE versus INTERVENTIONIST approaches to exports and

imports? Give an example of each situation.

2. Define Factor Mobility Theory, Mercantilism and Neo mercantilism – give an example of each.

3. Discuss “Country-Similarity Theory” – apply this to the country in which you were born – and cite examples of the application of this theory.

4. Does Geography matter when it comes to trade? Refer to the example given in the textbook as well as one more example.

5. Draw out the Life cycle of an International Product…that is currently being traded.

Use the Table 5.2 as a guide on page 207…hardback book.

6. What is “Brain Drain”…? How can this effect a country’s economy? it’s stability and security? Should

the “brains” go back? Should it be a REQUIREMENT for 1-2 years…to do business or to teach?

If not what would you recommend – for your country of birth?

7. The future….what will the TRADE look like between USA and Cuba? Cuba and the USA?

What will happen to the government of Cuba? anything?

8. Will International Business …..and Trade being part of this… be affected by Cyber threats?

International hacking? Insider threats from company employees? How would you manage this?

9. Explain some of the issues related to the US – Vietnamese “Catfish” dispute. What does dumping mean?

How would you stop “dumping” of imports into your country? ( “Anti-dumping” mechanisms? )

10. Define and give a specific example for each:

Tariff

Subsidy

Infant – Industry argument

Quotas

Embargoes

EXTRA CREDIT – QUESTION….use your brain, creative thought techniques, research, and analyze !

11.

a. Why do Governments intervene in Trade, in general…..?

and,

b. Now specifically…pick any country and give 3 examples of their rationales for “interference or intervention”