Exam Review Unit #1 Part 2 Flashcards
1
Q
What is Wholly-Owned Subsidiary
A
When a foreign country’s owns more than 50% of a company
2
Q
What is a tariff?
A
Tax imposed by a local government on goods and services coming into the country.
3
Q
What is competitive advantage?
A
When a country or company outperforms there competitors in producing goods and services.
4
Q
What is a Quota?
A
Government imposed limit on the amount of products that can be imported within a certain period of time.
5
Q
Foreign Relations and Trade Sanctions
A
Banning trade on specific products/services with a specific country
6
Q
Protectionism
A
Shielding domestic industries from a foreign competition
7
Q
What is Free Trade?
A
Trade with no barriers, tariffs, or quotas.
8
Q
What is USMCA/NAFTA
A
Trade agreement between Canada, United States, and Mexico
