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Marketing, 14e (Kerin)
Chapter 7: Understanding and Reaching Global Consumers and Markets
1) Why has Amazon been aggressively pursuing the Indian market since 2013?
A) U.S. sales have begun to decrease.
B) Amazon believed it would be inexpensive to begin operations in India.
C) There was no competition to speak of for Amazon's e-commerce channel in India.
D) There were fewer restrictions in retailing in India.
E) The India market offered significant growth potential.
Answer: E
Explanation: E-commerce industry analysts generally agree that India represents the last major
e-commerce opportunity in the world. They expect that Indian e-commerce revenue could reach
$125 billion by 2020.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
2) All of the following are challenges faced by Amazon in its expansion into India except which?
A) Low rates of credit and debit card usage among Indian consumers, and many without bank
accounts
B) Well-financed and capable domestic competitors in India
C) Political instability and social unrest in India
D) Underdeveloped technology requiring financial and technological investment in a localized
cloud computing platform for India
E) Strict trade regulations that prevent direct sales to Indian consumers
Answer: C
Explanation: Foreign companies, like Amazon, are prohibited from selling products directly to
Indian consumers. Barely 60 percent of Indian consumers have bank accounts, and only 12
percent have credit or debit cards. Amazon faces well-financed and capable domestic e-
commerce competitors in India, including Flipkart, Snapdeal, and Tata. Amazon has found it
necessary to expand its cloud computing platform in India in 2017 to improve its service for
Indian customers.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
1
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
3) Which of the following statements about the dynamics of world trade is most accurate?
A) Manufactured products and commodities account for only 25 percent of world trade.
B) Services such as telecommunications, transportation, and banking are not included in
calculations of world trade.
C) The United States has replaced China as the biggest country in terms of world trade.
D) All nations participate equally in world trade.
E) Dollar value of world trade has roughly doubled in the past decade.
Answer: E
Explanation: All nations do not participate equally in world trade. China is the biggest country
measured by world trade. Asia is the largest region measured by world trade. Manufactured
goods account for 80 percent of world trade, with service industries accounting for 20 percent.
World trade has roughly doubled in the past decade.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
4) Which of the following statements about the dynamics of world trade is most accurate?
A) As the largest international importer and exporter, the U.S. accounts for 65 percent of world
trade.
B) World trade is calculated to include only the exchange of money for products or services.
C) An estimated 35 percent of world trade involves countertrade.
D) China, the United States, and Germany far outpace other countries in terms of imports and
exports.
E) Because of NAFTA, North American intratrade is no longer counted in calculations of world
trade.
Answer: D
Explanation: The United States, China, and Germany are the leaders in global merchandise
trade. China exports more manufactured products and commodities than it imports. The United
States imports more manufactured products and commodities than it exports. Not all trade
involves the exchange of money for products or services. An estimated 10 to 15 percent of world
trade involves countertrade, the practice of using barter rather than money for making global
sales.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
2
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
5) Which of the following countries is the world's leading exporter?
A) the United States
B) China
C) India
D) Germany
E) Japan
Answer: B
Explanation: The United States, China, Japan, Western Europe, and Canada together account
for more than two-thirds of world trade in manufactured products and commodities. China is the
world's leading exporter, followed by the United States and Germany. See Figure 7-1.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: A
Explanation: The United States, China, Japan, Western Europe, and Canada together account
for more than two-thirds of world trade in manufactured products and commodities. The United
States is the world's leading importer, followed by China and Germany. See Figure 7-1.
Difficulty: 2 Medium
Topic: Marketing Globalization
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
3
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
7) All nations and regions of the world do not participate equally in world trade. World trade
flows reflect
A) the influences of culture and language.
B) the differences among industries, countries, and regions.
C) interdependencies among industries, countries, and regions.
D) the challenges of currency and exchange imbalances.
E) the increasing importance of services verses products.
Answer: C
Explanation: All nations and regions of the world do not participate equally in world trade.
World trade flows reflect interdependencies among industries, countries, and regions. These
flows manifest themselves in country, company, industry, and regional exports and imports.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
8) A country's imports
A) stimulate the imports of other countries.
B) have no effect on its exports.
C) have no relationship with its balance of payments.
D) affect its exports and exports affect its imports.
E) over time will decrease its overall economic activity.
Answer: D
Explanation: A global perspective on world trade views exports and imports as complementary
economic flows. A country's imports affect its exports and exports affect its imports. Every
nation's imports arise from the exports of other nations.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
4
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
9) The complementary nature of economic flows internationally, whereby imports stimulate
exports and vice versa, is called ________ and is one argument for free trade among nations.
A) the balance of trade
B) countertrade
C) exchange trade
D) the trade feedback effect
E) global market trading
Answer: D
Explanation: Key term definition—trade feedback effect.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: B
Explanation: A global perspective on world trade views exports and imports as complementary
economic flows: A country's imports affect its exports and exports affect its imports. This
phenomenon is called the trade feedback effect and is one argument for free trade among nations.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
5
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
11) Countertrade refers to
A) the illegal agreement of one country to buy products exclusively from another.
B) the legal agreement of one country to buy and sell certain products exclusively from one
another.
C) the practice of using barter rather than money for making global sales.
D) the sale of industrial goods from a brick and mortar outlet rather than directly from the
manufacturer.
E) the use of foreign currency in making global purchases to minimize risk from currency
fluctuation.
Answer: C
Explanation: An estimated 10 to 15 percent of world trade involves countertrade, the practice of
using barter rather than money for making global sales.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
12) An estimated 10 to 15 percent of world trade involves ________, the practice of using barter
rather than money for making global sales.
A) cross trade
B) countertrade
C) exchange trade
D) trade feedback
E) market trading
Answer: B
Explanation: Key term definition—countertrade.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
6
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
13) Volvo of North America delivered automobiles to the Siberian police force when Siberia had
no cash to pay for them. It accepted payment in oil, which it then sold for cash to pay for media
advertising in the United States. This transaction is an example of
A) a quota.
B) countertrade.
C) balance of trade.
D) competitive advantage.
E) a trade feedback effect.
Answer: B
Explanation: Countertrade is the practice of using barter rather than money for making global
sales; in this case, exchanging police cars for oil.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Apply
AACSB: Diversity
Accessibility: Keyboard Navigation
14) The Malaysian government exchanged 20,000 tons of rice for an equivalent amount of
Philippine corn. This transaction is an example of a(n)
A) countertrade.
B) competitive advantage.
C) balance of trade.
D) quota.
E) trade feedback.
Answer: A
Explanation: Countertrade is the practice of using barter rather than money for making global
sales; in this case, exchanging rice for corn.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Apply
AACSB: Diversity
Accessibility: Keyboard Navigation
7
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
15) Recipco and Tradaq are both companies that connect international companies who want to
barter the products they make for the products they need without using cash or credit. Recipco
and Tradaq assist international companies in making
A) countertrades.
B) quota exchanges.
C) trading exchanges.
D) balances of trade.
E) WTO trade arrangements.
Answer: A
Explanation: Countertrade is the practice of using barter rather than money for making global
sales. Recipco and Tradaq assist companies in bartering the products they make for products they
need.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Apply
AACSB: Diversity
Accessibility: Keyboard Navigation
16) The monetary value of all products and services produced in a country during one year is
referred to as the
A) balance of trade.
B) gross domestic product.
C) national monetary reserve.
D) monetary national balance.
E) annual national product.
Answer: B
Explanation: Key term definition—gross domestic product.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
8
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
17) Gross domestic product refers to the
A) monetary value of all products and services produced by a single manufacturer during one
year.
B) monetary value of all domestic exports of a nation during one year.
C) monetary value of all products and services produced in a country during one year.
D) monetary value of all domestic imports of a nation during one year.
E) difference between all domestic exports and imports for any nation during the course of one
fiscal year.
Answer: C
Explanation: Key term definition—gross domestic product.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: A
Explanation: Key term definition—balance of trade.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
9
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
19) When a country's exports exceed its imports,
A) it incurs a deficit in its balance of trade.
B) the result is the trade feedback effect.
C) it will try to rebalance its overall economy.
D) it will attempt to engage in a trade war.
E) it incurs a surplus in its balance of trade.
Answer: E
Explanation: The difference between the monetary value of a nation's exports and imports is
called the balance of trade. When a country's exports exceed its imports, it incurs a surplus in its
balance of trade. When imports exceed exports, a deficit results.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
20) When a nation's imports exceed its exports, it incurs a ________ in its balance of trade.
A) countertrade
B) trade feedback effect
C) deficit
D) surplus
E) tariff
Answer: D
Explanation: The difference between the monetary value of a nation's exports and imports is
called the balance of trade. When a country's exports exceed its imports, it incurs a surplus in its
balance of trade. When imports exceed exports, a deficit results.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
10
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
21) Which of the following statements about the relationship between the imports into the United
States and the exports from the United States during the last 40 years is most accurate?
A) Exports from the United States have declined, while import levels have remained about
constant.
B) The volume of both imports and exports has consistently decreased.
C) Imports into the United States and exports have been about equal, indicating balanced trade.
D) Exports have exceeded imports, indicating a continuing balance of trade surplus.
E) Imports have exceeded exports, indicating a continuing balance of trade deficit.
Answer: E
Explanation: Two important things have happened in United States exports and imports over
the past 40 years. First, imports have exceeded exports each year, indicating that the United
States has a continuing balance of trade deficit. Second, the volume of both exports and imports
has increased dramatically.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
22) The four largest importers of U.S. products and services are
A) Japan, Germany, China, and Canada.
B) Canada, Mexico, China, and Japan.
C) China, Brazil, Japan, and Germany.
D) Mexico, Canada, Brazil, and China.
E) England, Canada, Australia, and New Zealand.
Answer: B
Explanation: The four largest importers of U.S. products and services are, in order: Canada,
Mexico, China, and Japan. These individual countries purchase approximately two-thirds of U.S.
exports.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-01 Describe the nature and scope of world trade from a global
perspective.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
11
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
23) Five developments in the past decade have significantly influenced the landscape of global
marketing. One of them is
A) an increase in most countries' GDP coupled with an increased degree of consumer
ethnocentrism.
B) a significant increase in economic protectionism and a decline in tariffs and quotas.
C) a more aggressive attitude toward regulating international banking.
D) a decrease in most countries' GDP and a renewal of nationalism.
E) a growth in economic integration among countries.
Answer: E
Explanation: Five developments in the past decade have significantly influenced the landscape
of global marketing: (1) economic protectionism by individual countries, (2) economic
integration among countries, (3) global competition among global companies for global
customers, (4) the presence of a networked global marketspace, and (5) the growing prevalence
of economic espionage.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
24) Five developments in the past decade have significantly influenced the landscape of global
marketing. One of them is
A) the presence of a networked global marketspace.
B) an elimination worldwide of tariff and quotas.
C) a more aggressive attitude toward regulating international banking.
D) a sharp decline in economic espionage.
E) a gradual dissolution of unpopular trade agreements.
Answer: A
Explanation: Five developments in the past decade have significantly influenced the landscape
of global marketing: (1) economic protectionism by individual countries, (2) economic
integration among countries, (3) global competition among global companies for global
customers, (4) the presence of networked global marketspace, and (5) the growing prevalence of
economic espionage.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
12
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
25) The practice of shielding one or more sectors of a country's economy from foreign
competition through the use of tariffs or quotas is referred to as
A) domestic imperialism.
B) protectionism.
C) blocked competition.
D) import taxation.
E) trade restriction.
Answer: B
Explanation: Key term definition—protectionism.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: B
Explanation: Protectionism is the practice of shielding one or more industries within a country's
economy from foreign competition through the use of tariffs or quotas. The argument for
protectionism is that it limits the outsourcing of jobs, protects a nation's political security,
discourages economic dependency on other countries, and promotes development of domestic
industries.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
13
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
27) Recently, the United States imposed a 35 percent tariff on Chinese tire imports in the hopes
of sustaining U.S. jobs in tire manufacturing. This addition of tariffs is an example of
A) imposing the rule of eminent domain.
B) increasing ethnocentrism.
C) enhancing domestic imperialism.
D) increasing protectionism.
E) slowing countertrade.
Answer: D
Explanation: Protectionism is the practice of shielding one or more industries within a country's
economy from foreign competition through the use of tariffs or quotas. By adding the tariff, the
United States is adding a protectionism measure for the U.S. tire industry.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Apply
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
28) Which of the following issues raises concerns about the ethics of protectionism?
A) Competitive advantage grows out of continuous improvement.
B) Small firms succeed in foreign niche markets.
C) Tariffs have declined from an average of 40 percent to less than 5 percent.
D) Regional trade agreements may provide preferential treatment for member nations.
E) Pan-European marketing strategies are possible due to greater uniformity in packaging
standards.
Answer: D
Explanation: Of the statements above, the possibility of preferential treatment is most likely to
suggest an ethical consideration. See Making Responsible Decisions in the text.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Ethics
Accessibility: Keyboard Navigation
14
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
Figure 7-2
29) The question mark in Figure 7-2 above leads to which of the following as a result of the
imposition of tariffs and quotas?
A) an increase in world trade
B) a decrease in world trade
C) a limit on exports
D) an increase in exports
E) countertrade
Answer: B
Explanation: Protectionism hinders world trade through tariff and quota policies of individual
countries. Tariffs increase prices and quotas limit supply, which ultimately leads to a decrease in
world trade. See Figure 7-2.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Ethics
15
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
30) Government taxes on products or services entering a country that primarily serve to raise
prices on imports are referred to as
A) tariffs.
B) quotas.
C) WTO taxes.
D) foreign excise taxes.
E) trade subsidies.
Answer: A
Explanation: Key term definition—tariffs.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: B
Explanation: Key term definition—tariffs.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
16
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
32) The U.S. Rice Millers' Association claims that if the Japanese rice market were opened to
imports by lowering ________, lower prices would save Japanese consumers $6 billion annually
and the United States would gain a large share of the Japanese rice market.
A) boycotts
B) quotas
C) sanctions
D) tariffs
E) subsidies
Answer: D
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
33) The ________ imposed on imported bananas by European Union countries cost consumers
$2 billion a year in higher prices.
A) boycotts
B) quotas
C) sanctions
D) subsidies
E) tariffs
Answer: E
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
17
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
34) U.S. citizens pay $5 billion more annually for shoes and Japanese citizens pay $6 billion
more for rice than the actual cost of the products because
A) both countries have suffered major financial crises due a severe trade imbalance.
B) both countries have imposed tariffs on imported goods to protect their domestic markets.
C) both countries have imposed limits on the quantity of these goods that can leave their
respective domestic markets.
D) both products are considered essentials and as a result are more heavily taxed.
E) these products were purchased at a lower price from nations that currently are under
governmental sanctions.
Answer: B
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 2 Medium
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Understand
AACSB: Diversity
Accessibility: Keyboard Navigation
35) Recently, the Japanese government, under pressure from its domestic farm lobby, slapped
government taxes on mushrooms, leeks, and the reeds used in tatami mats that were being
imported from China. These taxes Japan levied are referred to as
A) WTO taxes.
B) quotas.
C) tariffs.
D) excise taxes.
E) subsidies.
Answer: C
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Apply
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
18
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
36) If you wanted to set up a business importing amber jewelry from Latvia to the United States,
you would have to plan on paying the U.S. Customs Service a government tax of roughly 11
percent of the value of the product as a(n)
A) bribe.
B) tariff.
C) subsidy.
D) excise tax.
E) quota.
Answer: B
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Apply
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
37) Whirlpool asked the United States to impose ________ on washing machine imports made
by LG Electronics and Samsung Electronics, both South Korean companies, to raise the price of
these products. Whirlpool accused these companies of selling below fair market value and
receiving anticompetitive export subsidies from their governments, both of which could
jeopardize American jobs.
A) boycotts
B) quotas
C) sanctions
D) tariffs
E) embargoes
Answer: D
Explanation: Tariffs are government taxes on products or services entering a country that
primarily serve to raise prices on imports.
Difficulty: 3 Hard
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Apply
AACSB: Knowledge Application
Accessibility: Keyboard Navigation
19
Copyright 2019 © McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior
written consent of McGraw-Hill Education.
38) A restriction placed on the amount of a product allowed to enter or leave a country is referred
to as a(n)
A) quota.
B) tariff.
C) WTO tax.
D) subsidy.
E) excise tax.
Answer: A
Explanation: Key term definition—quota.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
Answer: C
Explanation: Key term definition—quota.
Difficulty: 1 Easy
Topic: Global Environmental Forces
Learning Objective: 07-02 Identify the major developments that have influenced world trade
and global marketing.
Bloom's: Remember
AACSB: Diversity
Accessibility: Keyboard Navigation
20
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Roman henkinen ja ruumiillinen kiihtymys oli nyt ylimmillään. Hän
heilutti nenäliinaansa ja huusi: »Viva il Papa Ré!»
»Viva il Papa Ré! Hän kulkee ohi! Viva il Papa Ré! Hän on jo ohi…
Ah!»
»Ei, minä tarkoitan tuota liikettä tuolla. Joku tahtoo tunkea kaartin
läpi.»
»Davido Rossiko?»
»Hiljaa!»
»Veljet, kun Kristus itse kulki maan päällä ja meni Jerusalemiin, ajoi
hän aasin varsalla, ja sokeat ja rammat ja sairaat tulivat Hänen
luokseen ja Hän paransi heidät. Ihmiskunta on sairas ja sokea ja
rampa nyt, veljet, mutta Kristuksen edustaja vaeltaa ohi.»
»Turmelusta! Turmelusta!»
»Jumalan kiitos!»
»Ei, ei, se oli väärin», sanoi hän ja astui paronin luo, joka suuteli
häntä ja istui sitten hänen viereensä ja otti hänen kätensä omaansa.
»Bruno Roccon?»
»Miten?»
»Mistä?»
»Paitsi sitä», jatkoi Roma, »mitä hyötyä siitä on minulle, jos hänet
tuomitaan siitä, että hän on yllyttänyt kansaa kapinaan kuningasta
vastaan? Ihmiset tulevat sanomaan, että se on tapahtunut siksi, että
hän loukkasi teitä, ja jokainen ajattelee, että häntä rangaistaan
totuuden julkilausumisesta.»
»No?»
»Antakaa hänet minulle, ja minä näytän, kuinka tästä
nöyryyttävästä asemasta päästään!»
»Se on totta.»
»Epäilemättä.»
Hän puhui niin nopeasti, että sanat aivan kuin vierivät hänen
väriseviltä huuliltaan.
»No?»
»Rakas Roma!»
»Antakaa hänet minulle, ja kuukauden kuluttua te saatte tietää» —
hän naurahti hiukan häpeissään — »hänen sielunsa sisimmät
salaisuudet.»
»Kyllä ymmärrän, Roma», sanoi hän. »Sinä olet mainio! Sinä olet
vastustamaton! Mutta muista — tuota miestä ei voi millään lahjoa.»
Roma nauroi.
Paroni soitti kelloa. »Hyvä on», sanoi hän. »Usein voi pyytää
useamman kärpäsen lusikallisella hunajaa kuin tynnyrillä etikkaa.
Saadaan nähdä.»
»Teidän ylhäisyytenne?»