Kindly Provide the answers for the following multiple choice questions

1 Why is globalization often perceived as a threat in developed countries? Because countries with authoritarian governments are becoming more powerful. Because low-skilled jobs in advanced economies are at risk. Because emerging markets are importing fewer goods from the developed countries. Because MNEs from developed countries are facing stiff competition in emerging markets.

2 Which of the following has been the most influenced by globalization? Production networks Consumer markets Labour markets National cultures

3 Economic activity can be divided into which three broad types? Retail sector, manufacturing sector, service sector. Primary production, secondary production and services. Agricultural sector, manufacturing sector and retail sector. First sector, second sector, third sector.

4 Which of the following is a push factor which would influence a company to internationalize? Difficulty in finding skilled staff in the home country The need to be close to key resources Low-cost labour in other countries Financial incentives from governments in emerging markets

5 All but which one of the following is not an FDI investment? Acquisition of an existing company A joint venture with a foreign partner Exporting the company’s products to new markets A greenfield project in another country

6 The joint venture is a favoured entry mode because: It involves partnership with another firm. The local partner has knowledge of local markets. The foreign partner lacks the management expertise to carry through the FDI project. There is usually a good relationship between the two partner firms.

7 Which of the following is not linked with outsourced production? Manufacturing under licence Production in a low-cost country Subcontracted manufacturing for a well-known brand Franchising

8 Vernon’s theory of the international product life cycle explains: The stages of globalization The growth in overseas production The importance of the US in the global economy The need for innovation in consumer products

9 The OLI paradigm is known as the ‘eclectic’ paradigm because: Internalization advantages encompassed location factors. Because emerging markets are not likely to carry on growing. Because MNEs face possible scarcity of raw materials. Because governments in developing countries are encouraging pollutant industries. Because consumers in developing countries are concerned about the environment.

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