International Business Final

Front 1

learned pattern of behavior representing shared values and beliefs within a particular group

Back 1

culture

Front 2

principles or qualities seen by individuals to be desirable, either good or bad

Back 2

values

Front 3

once acceptance of our conviction in something as being true or false

Back 3

belief

Front 4

the tendency for individuals to prefer in-group members over members of out-group

Back 4

ethnocentrism

Front 5

cultures borrow from one another through: 4 ways

Back 5

1.trade,
2.technology,
3.movement of capital
4. human migration

Front 6

emic

Back 6

culture without any references to other cultures, does not allow for comparison across cultures

Front 7

generalization, compare cultures on specific attributes, "cross-culture approach"

Back 7

etic

Front 8

process through which a person or group oversimplifies the behavior, beliefs of values of another person or group

Back 8

cultural stereotyping

Front 9

immediate family members

Back 9

nuclear family

Front 10

to be based on characteristics such as age, race, religion, ethnicity, and gender (born into)

Back 10

ascribed status

Front 11

position occupied by choice, merit, or effort

Back 11

achieved status

Front 12

major role in shaping values and beliefs in many cultures

Back 12

religion

Front 13

halls model...(3 things)

Back 13

1.communications is core of culture,
2.language is more than medium to express thought,
3.people in different cultures see things differently

Front 14

high context culture

Back 14

dependent on context, person communicating, situation communication takes place, non verbal

Front 15

low context culture

Back 15

communication is very direct

Front 16

high context culture with space...

Back 16

communal, office spaced used for interaction

Front 17

low context culture with space

Back 17

territorial, office space compartmentalizes privacy

Front 18

monochronic culture

Back 18

time is linear, planning is important, deadlines?

Front 19

polychronic culture

Back 19

time is experienced, not controlled, expendable, events occur concurrently, no deadlines?

Front 20

the degree of human inequality tolerated within a society, determined by culture

Back 20

power distance

Front 21

hostedes model

Back 21

rich wanted to be richer, poor want to lessen power distance

Front 22

High PDI

Back 22

elite individuals are authority, students put value in conformity, equality more important that freedom

Front 23

Low PDI

Back 23

freedom more important than equality, students have positive association with power

Front 24

uncertainty avoidance

Back 24

level of stress in a soceity in the face of an unknown future

Front 25

cultures with low tolerance uncertainty

Back 25

strive to minimize ambiguity support institutions with lots of structure

Front 26

cultures with high tolerance for uncertainty

Back 26

low sense of urgency, more readily accept familiar and unfamiliar risks

Front 27

this culture expect immediate gratification and believe their traditions are sacrosanct, value analytical thinking

Back 27

Low LTO (long term interests)

Front 28

readily accept deferred gratification of needs, more pragmatic regarding their traditions based on circumstances

Back 28

High LTO (long term interests)

Front 29

when did international trade being to flourish? (2 things)

Back 29

people moved past barter, towards coins and bills
expanded trade to medditerranean, Africa, India, China

Front 30

entrepot centers

Back 30

goods from surrounding areas would come to be exchanged for goods brought by ships from abroad

Front 31

dependencia theory

Back 31

nations couldnt flourish because former colonial rulers exploit economically

Front 32

Mercantilism

Back 32

importers loser, exporters gain, zero sum gain

Front 33

absolute advantage

Back 33

nations produce what they're most efficient at, no zero sum gain

Front 34

comparative advantage

Back 34

after absolute advantage, countries will still trade if one has absolute advantage of both goods

Front 35

dynamic comparative advantage

Back 35

comparative advantage keeps changing due to specific reasons

Front 36

strategic trade policy

Back 36

gov intervention to assist industries with world trade

Front 37

quotas

Back 37

amount that can enter a country

Front 38

when taxes are imposed because a country sells a product for less than the cost of production or less than what the products sell for in home market

Back 38

anti dumping duties

Front 39

duties intended to counter subsides provided

Back 39

countervailing duties

Front 40

these call for certain proportion of the value of product to have been created in local market

Back 40

local content requirements

Front 41

governement procurement policies can be used to elliminate imports if (2)

Back 41

1.gov is large buyer in the market of the good
2. gov has policy that it would buy local

Front 42

government subsidies

Back 42

government financial support provided to a firm (cheap loans, free training)

Front 43

product standards

Back 43

protect the public from unsafe products, can be discriminative barriers to keep foreign products out of country

Front 44

good side of trade barriers

Back 44

allows government to protect local jobs

Front 45

bad side of trade barriers

Back 45

creates higher prices, reduces choices for consumers

Front 46

issues in trade with agriculture

Back 46

wealthy countries subsidize farmers

Front 47

issues with intellectual property rights

Back 47

wealthy say inadequate proections, poor say MNC steal intellectual property

Front 48

4 reasons why individuals and companies need financial markerts

Back 48

investing
borrowing
currency conversion
financial risk transfer and diversification

Front 49

International Money Market

Back 49

bank deposits in various currencies which can be borrowed as short term loans

Front 50

international equity market

Back 50

all stocks bought and sold outside an issuers home country

Front 51

international debt market

Back 51

all bonds or debt-denominated financial products bought and sold outside issuers home country

Front 52

foreign exchange market

Back 52

market where currencies are bought and sold

Front 53

hedging

Back 53

protecting a firm from exposure to certain risks such as fluctuation of interest rates or currency exchange rates

Front 54

what are examples of FDI

Back 54

purchasing land, building, or equipment to set up a business in a foriegn country

Front 55

advantages of FDI to host country (6)

Back 55

brings funds,
technology,
management skills,
jobs,
foreign market access,
financial stability

Front 56

Foreign portfolio investment

Back 56

purchase of foreign bonds and stocks for investment or diversification

Front 57

floating exchange rate

Back 57

price of nations currency can move freely in response to market demand and supply for that currency

Front 58

fixed exchange rate

Back 58

price of nations currency can be fixed or vary little within limits managed by central bank

Front 59

trade deficit

Back 59

imports are more than exports

Front 60

trade surplus

Back 60

exports more than surpluses

Front 61

Bretton Woods Agreement

Back 61

established a fixed exchange rate in terms of gold for major currencies (gold standard)

Front 62

migration

Back 62

moving to a foreign country for temporary work, then return to home country

Front 63

remittance

Back 63

money sent from one place or person to another, often from a family member abroad to relatives back home

Front 64

When was WTO founded?
How many members?

Back 64

1995, 149

Front 65

How many members of EU

Back 65

27

Front 66

association of sovereign countries that is created for the purpose of advancing common interests of the member countries and for good of humanity

Back 66

international institution

Front 67

the Purpose of UN (4)

Back 67

1. maintain peace
2. friendly relations among nations
3. solving international problems with respect to human rights
4. center for harmonizing the actions of nations in attaining these ends

Front 68

failures of UN (4)

Back 68

1. Israel and Palestine
2. Kashmir issue with India and Pakistan
3. genocide in Rwanda, Kosovo
4. US invasion of Iraq

Front 69

common market

Back 69

agreement to follow free movement of all factors of production

Front 70

economic union

Back 70

eliminates internal tariffs, common external tariff, free movement of factors of production, common monetary and economic policies

Front 71

political union

Back 71

free movement of all factors of production, common external tariff regime, same economic, monetary, and political policies

Front 72

how many members of EU use Euro

Back 72

12

Front 73

democratic deficit

Back 73

situation where decision makers arent elected and cant be thrown out of office

Front 74

trade diversion

Back 74

trading block where low cost producers from outside trade bloc are replaced by higher cost producers from inside trade bloc

Front 75

multilateralism

Back 75

working with other counties as opposed to isolationism

Front 76

world bank is...

Back 76

international bank for reconstruction

Front 77

IMF, how many members, what do they do

Back 77

184, monitors economic development by assisting with surveillance, lending, and technology

Front 78

Purchasing Power Parity (PPP)

Back 78

buying power of US$ varies from country to country

Front 79

3 major events in past 250 years

Back 79

freeing of colonies by europe,
struggle between free market and centrally planned system,
failure of centrally planned system

Front 80

Social Democracy

Back 80

gov looks after citizens, medical care, unemployment payments

Front 81

government provides security, healthcare, unemployment insurance etc.

Back 81

Social Safety Net

Front 82

right of a country to decide all internal matters by itself

Back 82

sovereignty

Front 83

4 types of autocracy

Back 83

1.absolute monarchy
2. one party rule
3. military dictatorship
4. theocracy

Front 84

expropriation

Back 84

seizure of foreign-owned businesses by host gov't in return for compensation that is below market value

Front 85

Parliamentary form of govt (3)

Back 85

prime minister,
elected by members of parliament,
leader of party that wins most seats

Front 86

Agenda 21

Back 86

1992 set of goals adopted by UN addressing global sustainability issues

Front 87

tripple bottom line

Back 87

companies pursuit of acceptable environmental impact, economic profitability, and social consequences