自考国际商务英语课后重点问答（前九课）.doc

（一）1. What does international business refer to? Please tell the different between international business and domestic business.International business refers ton transaction between parties from different countries. Sometimes business across the borders of different customs areas of the same country is also regarded as import and export.The followings are some major differences between the international business and domestic business:l The countries involved often have different legal systems, and one or more parties will have to adjust themselves to operate in compliance with the foreign law.l Different countries usually use different currencies, uncertainties and even risks are often involved in the use of a foreign currency.l Cultural differences often constitute challenges and even traps for people engaged in international business.l Countries vary in natural and economic conditions and may have different policies toward foreign trade and investment, making international business more complex than domestic business.2. Please explain the differences between visible trade and invisible trade. Which is becoming more and more important and accounts for an increasing proportion in international trade?Visible trade refers to exporting and importing goods produced or manufactured in one country for consumption or resale in another. Invisible trade such as communication banking, insurance, consulting, information etc. Invisible trade gradually become more and more important.3. Can you cite some examples to illustrate cultural differences in international business?For example nod means Yes, and shake ones head means No, in China, but in the one of Africa country its opposition.6. What is franchising? How is it different from licensing?An arrangement by which a monopoly producer or owner gives another permission for the exclusive right to manufacture or sell the products in a certain area. Franchising can be regarded as a special form of licensing.（二）1. Explain the concepts of GNP and GDP respectively and point out their major difference.GNP refers to the market value of goods and services produced by the property and labor owned by the residents of an economy. This term was used by most governments before the 1990s.GDP measures the market value of all goods and services produced within the geographic area of an economy. It has been preferred by most countries since the 1990s.2. What are meant by high income, middle income, and low income countries according to the World Bank? Those enjoying annual per capita income of $9386 and above are classified as high-income countries. High-income countries often have good infrastructure, high purchasing power, advanced technology, efficient management, and favorable environment for trade and investment. They offer prime markets for expensive consumer goods and are both attractive sources and destinations of investment.Countries with annual per capita income below $9386 but above $765 are regarded as middle-income countries. Included in this category are most East European countries and most members of the Commonwealth of Independent States, six OECD members that are not up to the level of high income countries, quite a number of Latin American countries and some comparatively developed countries in Asia, etc.Lower income countries are those that have per capita incomes of only $765 or even less. Most African Countries, some Asian countries and a few Latin American countries are included in this group. These countries usually have poor infrastructure, low consumer demand and unfavorable business environment. But that does not mean they should be neglected in international business activities.3. Why are high income countries important to trade and investment? Should we neglect low income countries in international business?Those enjoying annual per capita income of $9386 and above are classified as high-income countries. High-income countries often have good infrastructure, high purchasing power, advanced technology, efficient management, and favorable environment for trade and investment. They offer prime markets for expensive consumer goods and are both attractive sources and destinations of investment.But that does not mean they should be neglected in international business activities, because they constitute markets for lower-priced staple goods, provide cheap labor and are often rich in resources. What is more important, market is something to be developed. Once tapped, the business potential of these countries will one day become real business opportunities. 8. What is the best policy for China to develop business opportunities? Why?So far as China is concerned other markets we should pay particular attention to are those around us, the Four Tigers, the ASEAN countries, Russia, India, and a bit farther away Australia. These countries or regions either have rich consumers and offer good business opportunities or are developing fast with very promising market potential. And their geographical proximity to China is a great advantage for us in developing business relations with them. Different markets offer different opportunities and it is not a good idea to tie ones business to only a few markets. The best policy is to develop business opportunities wherever advantageous while keeping in mind the key markets.(三) 5. Make a brief account of the origin and development of the EU.The European Union is so far the most prominent example of regional economic integration in the world. Its history dates back to the early post-war years. The first community, the European Coal and Steel Community (ECSC) was established in 1952 which set the stage for more ambitious integration efforts. In 1957 the Treaty of Rome was signed. Ten years later in 1967, the European Community was formed by merging EEC, ECSC and the European Atomic Energy Community (EURATOM). In 1992 was a landmark year in the development of the EC when it become a true common market as envisaged by the Single European Act. Then on January 1. 1994 the European Union (EU) came into being on the strength of the Maastricht Treaty. From the beginning of 1999 most of the members began to use the common European currency for accounting and settlement and in 2002, euro banknotes and coins were put into circulation. 6.What is the most powerful institution of the EU? What is the executive body of the EU? How does it operate?The European Union is so far the most prominent example of regional economic integration in the world. Its history dates back to the early post-war years. The first community, the European Coal and Steel Community (ECSC) was established in 1952 which set the stage for more ambitious integration efforts. In 1957 the Treaty of Rome was signed. Ten years later in 1967, the European Community was formed by merging EEC, ECSC and the European Atomic Energy Community (EURATOM). In 1992 was a landmark year in the development of the EC when it become a true common market as envisaged by the Single European Act. Then on January 1. 1994 the European Union (EU) came into being on the strength of the Maastricht Treaty. From the beginning of 1999 most of the members began to use the common European currency for accounting and settlement and in 2002, euro banknotes and coins were put into circulation.Decisions of the council are made by votes allocated to member countries on the basis of their size. Different ministers attend the council meetings depending on the matters discussed. The council even has the power to pass legislation, which is quite different from the case of all the major countries of the world.8. What are the tenet and objectives of APEC? What meant by its two wheels?As put by the Seoul Declaration passed in 1991, its tenet and objectives are “ inter-dependence, mutual benefits, adhering to an open and multilateral trading system and reduction of regional trade barriers.” APEC co-operation concentrates on trade and investment liberation and facilitation (TILF) and economic and technical cooperation (ECOTECH) that are commonly termed as “the two wheels of APEC.”（四）1.What are the basic feature and major role of economic globalization? With the basic feature of free flow of commodity, capital, technology, service, and information in the global context for optimized allocation, economic globalization is giving new impetus and providing opportunities to world economic development and meanwhile making the various economies more and more interdependent and interactive. Economy is not the only element involved in globalization since it also has an important bearing on politics, culture, value and way of life. Economic integration enables countries to benefit from the boom of other countries but also makes them more vulnerable to the adverse events across the globe.2.Mention some of the pros and cons of economic globalization. What is the right attitude towards it?Economic integration enables countries to benefit from the boom of other countries but also makes them more vulnerable to the adverse events across the globe.4.Describe briefly the characteristics of MNES.Firstly, MNES are generally enormous in size. For instance, General Electrics established in 1892 now has subsidiaries in over 100 countries and regions with more than 300 000 employees. In 2001 its business volume reached 126 billion US dollars. Wide geographical spread is also characteristic of MNES. Such geographical spread of MNES enables them to have a wide range of options in terms of decisions in areas such as sourcing and pricing. They are also more able to take advantage of changes in the international economic environment. Another general characteristic of large MNES is their longevity and rapid growth. Some MNES have a history of many years and their double digit growth rate of revenue adjusted for inflation is higher than that of the GDP of many countries.5.What is the commonly recognized objective of MNES?Like most business organizations, MNES are formed for profit. There is little doubt that the profit goal represents the basic need of the MNES share holders. It is also the need of all groups interested in the continued survival of the MNE. Yet this interest in the continued survival of the MNE expresses a second basic need-that of security.6. Why is security so important to MNES?The importance of security to any MNE cannot be doubted Profit is use less if it cannot be secured by the MNE and transferred wherever it so desires. Its assents and investments must be secured. A favorable business environment must also be secured. Without security, an MNEs survival can never be assured.8. What is the relationship between MNES and their host countries and their home countries.It is a fact that host governments can and do wield power over MNCS located within their territories. MNCS are under the legal jurisdiction of their host governments which can impose various rules, regulations, and laws on the MNCS to the extent of nationalizing all their assents.Typical parent which controls the typical MNE is owned in the main by the home countrys citizens or residents, in spite of the fact that the MNE is multinational in terms of the worldwide derivation of its profits, the high proportion of sales and investments in many foreign countries, the large numbers of employees in foreign affiliate MNCS and the multinational derivation of its finance. The absolute majority of the members of the members of the board of directors also originate from the home country. Although the day-to-day running of corporate operations maybe decentralized to the affiliates, the major decisions, such as those on corporate goals, new investments and their location, and made by the parent company ( or its regional headquarters in the case of very large MNES ).9. What are the four types of multinational enterprises? Describe each of them briefly.The first type is called multi-domestic corporation that is group of relatively independent subsidiaries. The parent company delegates sufficient power to each subsidiary to manage the production and marketing in the host country for the needs of local customers.The second type is the global corporations which operate under an opposite principle from the first type and views the world market as an integrated whole.The third type, the transnational corporation, aims to combine the advantages to the above two ways of operation so as to achieve both efficiency and flexibility.The fourth type can be referred to as world companies as their nation identities are blurred to a large extent. Very few companies if any, have reached this level of internationalization.(五)2. Why did international trade first begin?In the complex economic world, no country can be completely self-sufficient. The distribution of natural resources is uneven. Some countries are abundant in resources, while elsewhere, reserves are scarce or even nonexistent. That is the reason why international trade first begin.3. What is the new incentive for trade that arose with the development of manufacturing and technology?With the development of manufacturing and technology, there arose another incentive for trade, i.e. international specialization-one country producing more of a commodity than it uses itself and selling the remainder to other countries. Such specialization constitutes an important basis for international trade.6. Explain briefly why trade to exploit comparative advantage promotes efficiency among countries.Where comparative advantage exists, two trading partners are both able to share in the gains from trade. Trade to exploit comparative advantage promotes efficiency among countries, since it can make one country better off without making another worse off.（六）1. Are there other bases for trade when there are no differences among countries in production conditions? Mention some of the bases.Where there are no differences among countries in the basic capabilities at producing goods, other bases for trade among nations. For example, most consumption of dog meat is abhorrent.Second, trade may occur out of economies of scale, that is, the cost advantages of large-scale production. The cost for the production of both commodities will decrease if the goods are produced on a larger scale.So the trade takes place because of innovation or style. Even though a country produces enough cars at reasonable costs to meet its own demand and even to export some, it may still import cars from other countries for innovation or variety of style.2. What is economy of scale? What is the relation between economy of scale and trade?As the output expands with specialization the anility to realize evonomies of scale increases and so the unit costs of production shall decrease. It is primarily achieved by spreading fixed cost, over a larger output.The cost for the production of both commodities will decrease if the goods are produced on a larger scale. Both countries might find it advantageous if each were to specialize completely in the production of one commodity and import the other.4. Will complete specialization occur in reality? Why?In reality, however, complete specialization may never occur even when it is economically advantageous. For strategic or domestic reasons, a country may continue to produce goods for which it does not have an advantage. The benefits of specialization may also be affected by transport cost. Goods and raw materials have to be transported around the world and the cost of the transport reduces the benefit of trade. The case will be more serious with transporting bulky or perishable goods. Protectionist measures which are often taken by government are also barriers to trade, and typical examples are tariffs and quotas.7. What is the most common form of non-tariff barriers? Explain it in a few words.Quotas or quantitative restrictions are the most common form of non-tariff barriers. A quota limits the imports or exports of a commodity during a given period of time. The limits may be in quantity or value terms, and quotas may be on a country basis or global, without reference to countries. They may be imposed unilaterally and can also be negotiated on a so-called voluntary basis.8. What are the differences between visible trade and invisible trade? Give a few examples of invisible trade.Transportation service across national boundaries is an important kind of invisible trade. International transportation involves different means of transport such as ocean ships, planes, trains, trucks and inland water vessels. When an exporter arranges shipment, he generally books space in the cargo compartment of a ship, or charter a whole vessel.Insurance is another important kind of invisible trade. In the course of transportation, a cargo is vulnerable to many risks such as collision, pilferage, fire storm, explosion, and even war. Goods being transported in international trade must be insured against loss or damage. Large insurance companies provide service for international trade and earn fees for insuring other nations foreign trade.Tourism is yet another important form of invisible trade. Many countries may have beautiful scenery, wonderful attractions, places of historical interest, or merely a mild and sunny climate. These countries attract large numbers of tourists. Some countries depend heavily to tourism for their foreign exchange earnings.The fourth type of invisible trade meriting attention is called immigrant remittance. This refers to the money sent back to home countries by people working in a foreign land.（九）4. What are the differences between old and current counter trade? / What are the main features of the current counter trade? Can you summarize the categories briefly under current counter trade?C