Describes the world trade organization

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Reference no: EM132218923

1. Which of the following statements correctly describes the World Trade Organization (WTO)? Check all that apply.

A. One of the purposes of the WTO is to oversee international free trade agreements.

B. The movement to establish the WTO arose in opposition to the 1947 General Agreement on Tariffs and Trade (GATT).

C. The WTO promotes the enforcement of rules and regulations governing trade to reduce ambiguity in the business environment.

D. The WTO does not arbitrate trade disputes between member nations.

2. Because Black Diamond manufactures its outdoor sports products outside the United States, what risks must its managers be aware of? Check all that apply.

A. A manufacturing facility could be discovered to be polluting nearby soil and water, causing illness, and the negative publicity could hurt sales of BD products.

B. Risks are likely to arise from factors like inflation and regulations specific to the host country but not from conditions in other countries.

C. Sales could be hurt in the U.S. market if protesters highlight BD’s offshoring of manufacturing jobs.

D. If customers are concerned that workers in less developed countries are being exploited, they will be less likely to buy BD’s products.

3. Great Place to Work Institute named Microsoft as the best globalized company to work for. What characteristics could have qualified the company as a global company? Check all that apply.

A. Microsoft’s supply chains for its products include shipping raw materials, parts, and finished manufactured goods across national borders.

B. Microsoft has employees in many countries.

C. Microsoft sells its products and services around the world.

D. Microsoft’s corporate headquarters is in Redmond, Washington, and it employs many people there.

Reference no: EM132218923

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