1.4 International business

Question 1

The mutual reliance between you and businesses is called?

Answer 1

Interdependence

Question 2

The interdependence among nations is the result of

Answer 2

international business

Question 3

why do some countries specialize in producing certain goods for trade while others focus on different goods?

Answer 3

It all comes down to the economic advantages they have compared to the advantages enjoyed by other countries.

Question 4

What is a competitive advantage?

Answer 4

When a company does something better or more efficiently

Question 5

What is Absolute advantage?

Answer 5

A country’s ability to produce a certain good more efficiently than another country.

Question 6

What is a comparative advanatge?

Answer 6

A comparative advantage exists when one country has the ability to produce a good with a lower opportunity cost than another country. The value of the goods it sacrifices in deciding to produce one good instead of others with higher profit

Question 7

What are primary industries?

Answer 7

Industries involved in the extraction and basic processing of raw materials are known as primary industries.

Question 8

AThere are six main primary industries in Canada:

Answer 8

hunting, fishing, and trapping
agriculture
water
energy
logging and forestry
mining

Question 9

What are secondary industries?

Answer 9

Are industries that are involved in the manufacture of goods.

Question 10

True or False: Canada’s secondary industries are strong.

Answer 10

False

Question 11

What ae tertiary industries?

Answer 11

are businesses that provide necessary services to other businesses and to consumers.

Question 12

Examples of tertiary industries

Answer 12

Construction, transporation, communication and banking

Question 13

What is the tertiary sector of the economy is known as

Answer 13

service sector or service industry

Question 14

Which two countries are experiencing rapid growth in tertiary industries?

Answer 14

India and China

Question 15

What is a tariff?

Answer 15

Is a tax or duty placed on imported goods that is designed to protect a domestic industry.

Question 16

What is a quota?

Answer 16

A quota is an imposed limit on the amount of a certain good that can be imported into a country. Its function, once again, is to protect domestic manufacturers in certain industries.

Question 17

What are trade sanctions

Answer 17

Are another form of restriction on international trade.

Question 18

What are foreign investment restrictions?

Answer 18

Is when a government can restrict international trade is by placing restrictions on foreign investment.

Question 19

How is foreign investment restrictions in Canada applied?

Answer 19

The Investment Canda Act restricts foreign ownership the act requires government reviews of all proposed foreign investment in order to ensure that the majority of Canadian resources and businesses remain under domestic ownership.

Question 20

What are currency fluctuations?

Answer 20

Changes in the value of currencies can also result in barriers to international trade.

Question 21

What are embargoes?

Answer 21

An embargo is a trade restriction that bans all trade with another country. Embargoes are put in place when a government does not agree with another country’s policies – often because of human rights violations.

Question 22

Milk products imported into Canada are subject to an import duty.

Answer 22

tariff

Question 23

Only a certain quantity of timber can be imported into the U.S. every year.

Answer 23

Quotas

Question 24

A long-standing trade restriction between the United States and Cuba was put in place in the 1960s.

Answer 24

Embargo

Question 25

The Government of Canada has placed a restriction on the provision to Libya of technical, financial, and other assistance related to military activities or the use of arms and related material.

Answer 25

Sanction

Question 26

Foreigners are not allowed to own oceanfront property in Mexico.

Answer 26

Foreign investment restriction