

McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Commerce (B Com) .
1. |
Nations conduct international trade because: |
A. | Some nations prefer to produce one thing while others produce other things. |
B. | Resources are not equally distributed among all trading nations. |
C. | Trade enhances opportunities to accumulate profits. |
D. | Interest rates are not identical in all trading nations |
Answer» B. Resources are not equally distributed among all trading nations. |
2. |
International Trade is most likely to generate short-term unemployment in: |
A. | Industries in which there are neither imports nor exports |
B. | Import-competing industries |
C. | Industries that sell to domestic and foreign buyers. |
D. | Industries that sell to only foreign buyers |
Answer» B. Import-competing industries |
3. |
Globalization refers to: |
A. | Lower incomes worldwide |
B. | Less foreign trade and investment |
C. | Global warming and their effects |
D. | A more integrated and interdependent world |
Answer» D. A more integrated and interdependent world |
4. |
Increased foreign competition tend to |
A. | Intensify inflationary pressure at home |
B. | Induce falling output per worker-hour for domestic workers |
C. | Place constraints on the wages of domestic workers |
D. | Increase profits of domestic import-competing industries |
Answer» C. Place constraints on the wages of domestic workers |
5. |
The movement to free international trade is most likely to generate short-term unemployment in which industries |
A. | Industries in which there are neither imports nor exports |
B. | Import-competing industries. |
C. | Industries that sell to domestic and foreign buyers |
D. | Industries that sell to only foreign buyers |
Answer» B. Import-competing industries. |
6. |
International trade forces domestic firms to become more competitive in terms of |
A. | The introduction of new products |
B. | Product design and quality |
C. | Product price |
D. | All of the above |
Answer» D. All of the above |
7. |
If a nation has an open economy it means that the nation: |
A. | Allows private ownership of capital. |
B. | Has flexible exchange rates |
C. | Has fixed exchange rates |
D. | Conducts trade with other countries |
Answer» D. Conducts trade with other countries |
8. |
According to Adam Smith, the trade between countries should happen _____. |
A. | Naturally according to the market forces |
B. | Under government regulation |
C. | Using factors that are available |
D. | Only when a country has an absolute advantage |
Answer» D. Only when a country has an absolute advantage |
9. |
Mercantilists believed that a country could increase the amount of wealth it had by _____. |
A. | Promoting exports and discouraging imports |
B. | Discouraging exports and promoting imports |
C. | Controlling imports and exports |
D. | Increasing both imports and exports |
Answer» A. Promoting exports and discouraging imports |
10. |
Investment in Plant & machinery is termed as |
A. | FDI |
B. | FII |
C. | Portfolio Investment |
D. | Capital Investment |
Answer» D. Capital Investment |
11. |
The traditional mode of entering into international business is |
A. | Licensing |
B. | Exporting |
C. | Joint venture |
D. | Subsidiary |
Answer» B. Exporting |
12. |
Which type of following stage of internationalization has Decentralized decision making? |
A. | Subsidiary |
B. | Multinational Corporation |
C. | Transnational corporation |
D. | Domestic Company |
Answer» C. Transnational corporation |
13. |
Agreement between two parties where in one gives rights to use their intangible property to another entity is called as |
A. | Direct Exporting |
B. | Turnkey project |
C. | Strategic alliance |
D. | Licensing |
Answer» D. Licensing |
14. |
Only manufacturing and exporting as per the requirement of importer is called |
A. | Direct Export |
B. | Sales |
C. | Import |
D. | Indirect Export |
Answer» D. Indirect Export |
15. |
Complex projects involving creation of an asset as per the requirement of the client is called _________. |
A. | Joint venture |
B. | Strategic alliance |
C. | Turnkey Project |
D. | Subsidiary |
Answer» C. Turnkey Project |
16. |
Rapid integration or interconnection between countries is known as: |
A. | Globalisation |
B. | Liberalisation |
C. | Socialisation |
D. | Privatisation |
Answer» A. Globalisation |
17. |
Globalisation has improved in the living structure of |
A. | All the people |
B. | Workers in Developing Countries |
C. | People in developed Countries |
D. | None of the above |
Answer» C. People in developed Countries |
18. |
The main reason behind MNCs investments are |
A. | To benefit foreign countries |
B. | To provide financial support to the country’s Government |
C. | For the welfare of underprivileged people |
D. | To increase assets & earn profits |
Answer» D. To increase assets & earn profits |
19. |
Which institute supports investments and foreign trade in India? |
A. | IMF |
B. | WTO |
C. | World Bank |
D. | International labour Organisation ( ILO) |
Answer» B. WTO |
20. |
Which of the following is not a feature of a Multi-National Company? |
A. | It owns/ control production in more than one nation |
B. | It set up factories where it is close to the market |
C. | It organises production in complex ways. |
D. | It employs labour only from its own country |
Answer» D. It employs labour only from its own country |
21. |
An MNC is a company that owns or controls production in |
A. | One country |
B. | More than one country |
C. | Only developing countries |
D. | Only developed countries |
Answer» B. More than one country |
22. |
Which is the right sequence of stages of Internationalization |
A. | Domestic, Transnational, Global, International, Multinational |
B. | Domestic, International, Multinational, Global, Transnational |
C. | Domestic, Multinational, International, Transnational, Global |
D. | Domestic, International, Transnational, Multinational, Global |
Answer» B. Domestic, International, Multinational, Global, Transnational |
23. |
Which of the following business environment are known and controllable? |
A. | Domestic business Environment |
B. | Foreign business Environment |
C. | International business Environment |
D. | None |
Answer» A. Domestic business Environment |
24. |
Forces that impacts business environment due to change in government is type of |
A. | Legal |
B. | Cultural |
C. | Social |
D. | Political |
Answer» D. Political |
25. |
Which of the following is not cultural factor? |
A. | Language |
B. | Income |
C. | Beliefs |
D. | Customs |
Answer» B. Income |
26. |
Rise in prices due imbalance between demand and supply is called as |
A. | GDP |
B. | Inflation |
C. | Deflation |
D. | None of the above |
Answer» B. Inflation |
27. |
Culture spreads from one place to another and such transmission is called as ________. |
A. | difference. |
B. | reputation. |
C. | adoption. |
D. | heritage. |
Answer» A. difference. |
28. |
What are the elements of business ethics? |
A. | Values rights and duties. |
B. | attitudes pressure and environment. |
C. | value environment and attitude. |
D. | Responsibilities. |
Answer» A. Values rights and duties. |
29. |
India follows the ________political system |
A. | Authoritarian |
B. | Parliamentary |
C. | Absolutist system |
D. | Military dictatorship |
Answer» B. Parliamentary |
30. |
The _______ is being driven by the demand and supply of products and services. |
A. | Market economy |
B. | Capitalist economy |
C. | Both a & B |
D. | Socialist Economy |
Answer» C. Both a & B |
31. |
India is the best example of |
A. | Market Economy |
B. | Capitalist economy |
C. | Mixed Economy |
D. | Socialist Economy |
Answer» C. Mixed Economy |
32. |
Which of the following is not only a part of ethics but statutory compliance? |
A. | Preserving Natural resources |
B. | Development of Roads |
C. | Fair Product & Prices |
D. | Disclosure of Financial Statement |
Answer» D. Disclosure of Financial Statement |
33. |
Which of the following attitude is result of religion? |
A. | Attitude towards work |
B. | Purchasing Behaviour |
C. | None of the both |
D. | Both A & B |
Answer» D. Both A & B |
34. |
Commitment, competence and consistency are three distinct characteristics that result in ______________ |
A. | Culture building |
B. | Values |
C. | Organizational socialization |
D. | Attitudes |
Answer» A. Culture building |
35. |
The practices of a company for which it is accountable in relation to other parties is called ____________ |
A. | Social responsibility |
B. | Code of Ethics |
C. | Values |
D. | Culture |
Answer» A. Social responsibility |
36. |
National culture is based on ______________ |
A. | Language |
B. | The territory of the state |
C. | The sense of belonging of a people |
D. | The nation-state. |
Answer» C. The sense of belonging of a people |
37. |
Corporate governance is a form of |
A. | External regulation |
B. | Self regulation |
C. | Government control |
D. | Charitable action |
Answer» B. Self regulation |
38. |
CSR & corporate governance represent a -------- between business and society. |
A. | Social climate |
B. | Special contract |
C. | Special climate |
D. | Social contract |
Answer» D. Social contract |
39. |
Corporate governance is concerned with the formation of …………… term objective |
A. | Very short |
B. | Short |
C. | Medium |
D. | Long |
Answer» D. Long |
40. |
The Current System of International Finance is a |
A. | gold standard |
B. | Fixed Exchange rate system |
C. | Floating exchange rate system |
D. | Managed Float Exchange rate system |
Answer» D. Managed Float Exchange rate system |
41. |
More expansion of foreign direct investment can boost __________ . |
A. | Money circulation |
B. | Demand |
C. | Employment |
D. | Unemployment |
Answer» C. Employment |
42. |
More expansion of foreign direct investment can boost |
A. | Money Circulation |
B. | Demand |
C. | Employment |
D. | Unemployment |
Answer» C. Employment |
43. |
The union government adopted new definition of FDI and FPI in 2014. Which of the given below is incorrect in this regard |
A. | The new definition considers 5% investment in capital of an unlisted company as FPI. |
B. | The new definition considers 5% investment in capital of an unlisted company as FDI. |
C. | The new definition considers 5% investment in capital of an listed company as FPI. |
D. | None of the above |
Answer» A. The new definition considers 5% investment in capital of an unlisted company as FPI. |
44. |
Government has raised FDI level in Brownfield pharma to what percent under the automatic route to attract capital and technologies in the pharmaceutical sector? |
A. | 74 |
B. | 49 |
C. | 50 |
D. | 56 |
Answer» A. 74 |
45. |
OLI Theory is also known as |
A. | The transaction cost approach |
B. | The Eclectic Paradigm |
C. | The strategic linkage theory |
D. | Perfect market hypothesis |
Answer» B. The Eclectic Paradigm |
46. |
Which country leads the inflow of FDI in India? |
A. | Mauritius |
B. | France |
C. | USA |
D. | UK |
Answer» A. Mauritius |
47. |
In which of the following sectors does the Government of India allow more than 50% FDI? |
A. | Insurance |
B. | Print media |
C. | Telecommunications |
D. | Both A & C |
Answer» D. Both A & C |
48. |
In which of the following sectors does the Government of India allow more than 50% FDI? |
A. | Joint venture |
B. | Strategic alliance |
C. | Acquisition |
D. | Merger |
Answer» B. Strategic alliance |
49. |
Which of the following theories explains the behaviour of late entrants to catch up with the competition? |
A. | OLI theory |
B. | Transition Cost approach |
C. | The Leapfrogging theory |
D. | The perfect market Hypothesis |
Answer» C. The Leapfrogging theory |
50. |
Which of the following types of FDI includes creation of new assets and production facilities in the host country? |
A. | Brownfield investment |
B. | Mergers & Acquisition |
C. | Strategic Alliance |
D. | Greenfield investment |
Answer» D. Greenfield investment |
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