Explain the fundamental financing problem in international trade?
What will be an ideal response?
Answer: When goods are shipped internationally, it takes time to ship them, and someone must own the goods, which requires financing, during their transit between countries. The exporter would like to be paid immediately upon completion of the goods, but this requires that the importer does the financing. The importer is not interested in pre-paying for goods that may be damaged during shipment and is generally interested in paying as late as possible. The less net working capital that the importer utilizes, the more valuable is his business. These problems arise in domestic shipments of goods as well, but when the shipment and sale of goods occur within a single country, there is a common jurisdiction and system of courts that adjudicates contractual disputes between buyers and sellers. When goods are shipped across borders, though, additional legal complexities arise.
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What generates feelings of anger, disgust, fear, happiness, and sadness in us and how expressively we display them are affected, in part, by which of the aspects of our culture?
A. the location B. the country of origin C. our culture’s primary religion D. rules and norms
Answer the following statement(s) true (T) or false (F)
1. The change agent is a person who is responsible for leading an organizational change or someone who is influential and can communicate and motivate others to accept a change by informal means. 2. Process management is a systematic process of applying the knowledge, tools, and resources needed to effect change in transforming an organization from its current state to some future desired state as defined by its vision. 3. Organizational climate is an organization’s collective values, beliefs, experiences, and norms that shape the behavior of the group and the individuals within it. 4. A force field analysis is a useful technique for looking at only the advantages of a proposed change.
Which of the following is an example of trade advertising?
A. James, a doctor, places an ad in a local newspaper to advertise his new clinic. B. CL Inc., a chocolate manufacturer, hopes to attract wholesalers and retailers by placing an ad in NextMag, a weekly hotel magazine. C. Mars Inc. is using print advertising to attract supply managers from other companies. D. The State Egg Federation runs a series of television ads that educate people about the nutritional value of eggs. E. Pluto Inc., a toothpaste manufacturer, places an ad in Tooth Daily, a magazine frequently circulated among dentists.
Crystal has received a special order for 2,000 units of its product. The product normally sells for $200 and has the following manufacturing costs: Per unitDirect materials $60Direct labor 40Variable manufacturing overhead 30Fixed manufacturing overhead 20Unit cost $150 Crystal is currently operating at full capacity and cannot fill the order without harming normal production and sales. What minimum price should Crystal charge to earn an incremental profit of $50,000?
A. $225 B. $175 C. $200 D. $155