#1 Globalization Flashcards
international Business
commercial transactions that crosses the borders of two or more nations
imports
goods and services purchased aboard and brought into a country
exports
goods and services sold abroad and sent out of a country
multinational corporation (MNC)
business that has direct investments abroad in multiple countries
born global firm
company that adopts a global perspective and engages in international business from or near its inception (början)
globalization
trend toward greater economic cultural, political, and technological, interdependence among national institutions and economies
emerging markets
these markets, around two billion people, are racing to catch up to developed nations. The population is migrating to cites for better pay and is over loading cities’ infrastructures. Rising incomes are increasing global demand for resources and basic products
traditional markets
globalization has bypassed these markets, nearly four billion people. The population is mostly rural, the infrastructure is very poor, and there is little credit or collateral (säkerhet). People have almost no legal protections, and corruption prevails (råder).
developed markets
these include the world’s established consumer markets, around one billion people. The population is solidly middle class, and people can consume almost any product desired. The infrastructure is highly developed
General Agreement on Tariffs and Trade (GATT)
treaty designed to promote free trade by reducing both tariffs and non tariff barriers to international trade
World Trade Organization (WTO)
international organization that enforces the rules of international trade
e-business (e-commerce)
use of computer networks to purchase, sell, or exchange products; to service customers; and to collaborate with partners
_____ is the trend toward greater economic, cultural, political, and technological interdependence among national institutions and economies.
Globalization
Globalization is characterized by ________.
national boundaries becoming less relevant
The population of a(n) ________ market is mostly rural and is characterized by poor infrastructure with little credit or collateral.
traditional
______ are all goods and services sold abroad and sent out of a country.
Exports
The three main goals of the World Trade Organization (WTO) are to help the free flow of trade, help negotiate the further opening of markets, and ______.
settle trade disputes between its members
Which of the following refers to the use of computer networks to purchase, sell or exchange products; service customers; and collaborate with partners?
e-commerce
The rise of a new international entity called the ______ suggests that any company, regardless of age, experience, and resources, can engage in international business.
born global firm
A business that has direct investments (in the form of marketing or manufacturing subsidiaries) abroad in several countries is called a _____.
multinational corporation
Konesia is a country in which rising incomes are increasing the global demand for basic products and services. Therefore Konesia is an example of a ______ market.
emerging
____ place limits on the quantity of a product being imported.
Nontariff barriers
The ____ replaced the institution of GATT while retaining all of the former GATT agreements.
World Trade Organization
The purpose of the General Agreement on Tariffs and Trade (GATT) was to ____.
promote free trade
An established consumer market that primary comprises the middle class and possesses efficient infrastructure is characteristic of ____ markets.
developed
Goods and services purchased aboard and brought into a country are called ___.
imports
Any commercial transaction that crosses the borders of two or more nations is knows as ____.
international business
