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| 1 | |
The multinational corporation is: |
| | A) | a preindustrial society in which economic, political, and cultural values are based on agricultural experience. |
| | B) | a variant of strategic philanthropy in which charitable contributions are based on purchases of a product. |
| | C) | an independent regulatory commission, modeled after the old state commissions that regulated railroads. |
| | D) | an entity headquartered in its home country that does at least part of its business in one or more foreign or host, countries. |
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| 2 | |
Which of the following is not a tier of internationalization? |
| | A) | Export sales |
| | B) | Foreign sales office |
| | C) | Licensing |
| | D) | Portfolio investment |
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| 3 | |
The economic policy of lowering tariffs and other barriers to encourage trade and investment is: |
| | A) | privatization. |
| | B) | liberalization. |
| | C) | standardization. |
| | D) | commodification. |
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| 4 | |
The transnationality index is: |
| | A) | measured as the dollar value of funds invested by a parent corporation for starting, acquiring, or expanding an enterprise in a foreign nation. |
| | B) | a statistic in which 0 percent stands for absolute equality and 100 percent represents absolute inequality. |
| | C) | calculated as the average of foreign assets to total assets, foreign sales to total sales, and foreign employment to total employment. |
| | D) | a statistical tool used by the United Nations for measuring the progress of humanity. |
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| 5 | |
The most widely-used index measure of a corporation's "multinationality" is the: |
| | A) | LDC. |
| | B) | TNI. |
| | C) | FDI. |
| | D) | TNC. |
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| 6 | |
The amount of capital that MNCs invest in foreign economies is called: |
| | A) | TNI. |
| | B) | FDI. |
| | C) | GDP. |
| | D) | ICCA. |
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| 7 | |
Portfolio investment is: |
| | A) | the financial process by which a corporation takes total control of foreign assets with the intention of having a long-term presence. |
| | B) | the amount of capital that MNCs invest in foreign economies for starting an enterprise. |
| | C) | the purchase of stocks and bonds of a foreign company by individuals or mutual funds. |
| | D) | the dollar value of funds invested by a parent corporation for expanding an enterprise in a foreign nation. |
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| 8 | |
This law allows foreign citizens to bring civil actions in U.S. courts against corporations for violating international law anywhere in the world. |
| | A) | The Alien Tort Claims Act |
| | B) | The Torture Victims Protection Act |
| | C) | The Foreign Exchange Regulation Act of 1973 |
| | D) | The Sarbanes-Oxley Act of 2002 |
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| 9 | |
Which of the following is a 1977 code of conduct that required multinational corporations in South Africa to do business in a nondiscriminatory way? |
| | A) | The MacBride Principles |
| | B) | The Rochdale Principles |
| | C) | The Sullivan Principles |
| | D) | The Nuremberg Principles |
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| 10 | |
International codes of conduct are: |
| | A) | aspirational statements of principles, policies, and rules for foreign operations that a multinational corporation voluntarily agrees to follow. |
| | B) | global guidelines for socially responsible and ethical behavior based on ethical ideas in the great religions. |
| | C) | ethical principles which hold that each person has protections and entitlements that others have a duty to respect. |
| | D) | rules which state that business is like a game with permissive ethics and any action that does not violate the law is permitted. |
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| 11 | |
Which of the following is a clause in a conduct code requiring the corporation to use its power over contractors to make them comply with code standards? |
| | A) | Snowball clause |
| | B) | Shotgun clause |
| | C) | Romalpa clause |
| | D) | QC clause |
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| 12 | |
The Caux Round Table Principles for Business: |
| | A) | are the only comprehensive global codes of corporate conduct endorsed by governments. |
| | B) | are global guidelines for socially responsible and ethical behavior based on ethical ideas in the great religions. |
| | C) | set forth an ethical framework for commerce built on justice, mutual respect, stewardship of God’s creation, and honesty. |
| | D) | consist of nine principles that cover basic international labor standards. |
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| 13 | |
Which of the following international social responsibility codes is aimed at reinforcing capitalism by making it moral? |
| | A) | The FLA Workplace Code of Conduct |
| | B) | The OECD Guidelines for Multinational Enterprises |
| | C) | The Business Charter for Sustainable Development |
| | D) | The Caux Round Table Principles for Business |
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| 14 | |
Which of the following is a set of 16 broadly worded principles about protecting and conserving the natural environment, launched by the ICC? |
| | A) | The OECD Guidelines for Multinational Enterprises |
| | B) | The FLA Workplace Code of Conduct |
| | C) | The Business Charter for Sustainable Development |
| | D) | The Caux Round Table Principles for Business |
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| 15 | |
This is the only comprehensive global code of corporate conduct endorsed by governments. |
| | A) | The OECD Guidelines for Multinational Enterprises |
| | B) | The Caux Round Table Principles for Business |
| | C) | The FLA Workplace Code of Conduct |
| | D) | The Business Charter for Sustainable Development |
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| 16 | |
Which of the following codes of conduct is mainly aimed at boosting the economic growth of its members by expanding trade? |
| | A) | The FLA Workplace Code of Conduct |
| | B) | The Business Charter for Sustainable Development |
| | C) | The Caux Round Table Principles for Business |
| | D) | The OECD Guidelines for Multinational Enterprises |
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| 17 | |
Which of the following is an example of a multilateral code of conduct? |
| | A) | The FLA Workplace Code of Conduct |
| | B) | The Business Charter for Sustainable Development |
| | C) | The Caux Round Table Principles for Business |
| | D) | The OECD Guidelines for Multinational Enterprises |
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| 18 | |
The single most conspicuous effort to promote MNC social responsibility and to harness FDI for economic development is the: |
| | A) | OECD Guidelines. |
| | B) | Global Compact. |
| | C) | Caux Round Table Principles. |
| | D) | Universal Declaration of Human Rights. |
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| 19 | |
The _____ was designed to bring MNCs into the fold of those promoting a just and sustainable world economy. |
| | A) | OECD Guidelines |
| | B) | Global Compact |
| | C) | FLA Workplace Code of Conduct |
| | D) | Business Charter for Sustainable Development |
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| 20 | |
The act of a corporation cloaking its lack of social responsibility by insincere membership in the UN Global Compact is known as: |
| | A) | leveraging. |
| | B) | blending. |
| | C) | astroturfing. |
| | D) | bluewashing. |
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