| A | B |
|---|
| Culture – | the accepted behaviors, customs, and values of a society or a system of learned, shared, unifying, and interrelated beliefs, values, and assumptions. |
| Domestic business – | making, buying, and selling goods and services within a country. |
| Exports – | products sold to other countries. |
| Global dependency - | a condition that exists when items consumers need and want are created in other countries. |
| Imports - | products bought from businesses in other countries. |
| Trade barriers - | restrictions that reduce free trade among countries. |
| International business - | all business activities needed to create, ship, and sell goods and services across national borders. |
| Quota - | limit the amount of trade. |
| Tariff - | tax on imports. |
| Embargo - | refuse trade with another country usually for political reasons. |
| Why is international business important? | A: International business opens new markets, creates more jobs, and improves political relationships. |
| 12. Q: What is global dependency? | A: Global dependency means that countries around the world depend upon each other to trade goods and services. |
| 13. Q: How is specialization related to global business? | A: International business allows countries to specialize their production according to their natural resources and expertise. |
| 14. Q: Why do governments sometimes create trade barriers to discourage imports? | A: Trade barriers are used as political strategies. Trade barriers are attempts to protect American production and jobs. |
| 15. Q: What are the four parts of the international business environment? | A: Geography, cultural and social factors, economic conditions, and political and legal factors are the four parts of the international business environment. |
| 16. Q: What is the difference between an import and an export? | A: Imports are products bought from businesses in other countries and exports are products sold in other countries. |
| 17. Q: Why should individuals study the culture of another country before conducting international business. | A: Business transactions are frequently influence by the country’s culture. |
