Impact of Globalization Quiz
How much do you know about globalization and its impacts? Take this impact of globalization quiz and see how updated your knowledge is. We have covered globalization as well as its impacts here in this quiz. You can take this quiz to enhance your knowledge. Due to globalization, companies can offer goods at lower prices to consumers. In this quiz, you can test your knowledge about other factors like this. All the best! Do share it with others.
- 1.
The change in market globalization will make it easier for companies to begin selling products in which area?
- A.
Rural
- B.
Urban
- C.
National
- D.
Global
Correct Answer
D. GlobalExplanation
The change in market globalization will make it easier for companies to begin selling products globally. With the increasing interconnectedness and integration of markets around the world, companies can expand their reach beyond national boundaries and tap into new markets across different countries and continents. This allows companies to access a larger customer base and potentially increase their sales and profits.Rate this question:
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- 2.
The impact of globalization on business can be placed into which category?
- A.
Market globalization
- B.
Production globalization
- C.
Both
- D.
None
Correct Answer
C. BothExplanation
The impact of globalization on business can be categorized into both market globalization and production globalization. Market globalization refers to the increasing integration and interdependence of markets worldwide, allowing businesses to expand their customer base and access new markets. Production globalization, on the other hand, refers to the relocation of production facilities and processes to different countries, taking advantage of lower costs and accessing new resources. Both aspects of globalization have significant effects on business operations and strategies.Rate this question:
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- 3.
Which globalization is the decline in barriers while selling in countries other than the home country?
- A.
Market
- B.
Production
- C.
Cultural
- D.
Political
Correct Answer
A. MarketExplanation
The correct answer is "Market". Globalization refers to the process of increasing interconnectedness and integration of countries through the exchange of goods, services, information, and ideas. In the context of selling in countries other than the home country, the decline in barriers refers to the reduction or elimination of trade restrictions, tariffs, and other barriers to entry in foreign markets. This allows businesses to access and sell their products or services in a global market, expanding their customer base and potential for growth.Rate this question:
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- 4.
Which market makes it easier to cross borders with lower tariffs keeping the consumer prices lower with fewer restrictions?
- A.
Urban
- B.
Local
- C.
Foreign
- D.
All of the above
Correct Answer
C. ForeignExplanation
The foreign market makes it easier to cross borders with lower tariffs, keeping consumer prices lower with fewer restrictions. This is because in the foreign market, there are typically agreements and policies in place that promote international trade and reduce trade barriers such as tariffs and restrictions. As a result, goods and services from foreign markets can be imported more easily, leading to lower consumer prices and increased accessibility to a wider range of products.Rate this question:
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- 5.
The companies must consider other _______ while developing their business strategies if they aren't appropriate in the target country.
- A.
Nationalities
- B.
Cultures
- C.
Habits
- D.
None
Correct Answer
B. CulturesExplanation
When developing business strategies for a target country, companies must consider other cultures. This is because cultural differences can greatly impact the success of a business. Understanding the cultural norms, values, beliefs, and behaviors of a target country is crucial for companies to tailor their strategies accordingly. Failure to do so may result in misunderstandings, ineffective marketing campaigns, and overall failure to connect with the target audience. Therefore, considering other cultures is essential for companies to develop appropriate and successful business strategies in a foreign market.Rate this question:
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- 6.
Which of the following organizations does not handle the globalization process?
- A.
IMF
- B.
World Bank
- C.
Asian Bank
- D.
WTO
Correct Answer
C. Asian BankExplanation
The Asian Bank is not involved in the globalization process because it primarily focuses on regional development and financial cooperation within Asia. Unlike the IMF, World Bank, and WTO, which have global mandates and work towards promoting international trade, economic stability, and financial assistance worldwide, the Asian Bank's scope is limited to the Asian region. Therefore, it does not handle the globalization process.Rate this question:
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- 7.
Which globalization means the sourcing of materials and services from other countries to gain an advantage from price differences in different nations?
- A.
Market
- B.
Production
- C.
Economic
- D.
None of the above
Correct Answer
B. ProductionExplanation
The correct answer is "Production". Globalization in terms of production refers to the practice of sourcing materials and services from other countries in order to take advantage of price differences between nations. This allows companies to reduce their production costs and increase their competitiveness in the global market.Rate this question:
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- 8.
What is the full form of SEZ?
- A.
Special Education Zones
- B.
Social Economic Zones
- C.
Special Effective Zones
- D.
Special Economic Zones
Correct Answer
D. Special Economic ZonesExplanation
SEZ stands for Special Economic Zones. These are designated areas within a country that have special economic regulations and incentives to attract foreign investment and promote economic growth. SEZs typically offer tax benefits, simplified customs procedures, and infrastructure facilities to encourage businesses to set up operations in these zones. They aim to boost exports, create employment opportunities, and enhance technology transfer.Rate this question:
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- 9.
You can purchase materials and components for your cameras from multiple countries and then assemble the product in yet another international location to
- A.
Increase your costs of production.
- B.
Reduce your costs of production.
- C.
Decrease your costs of overhead expenses.
- D.
Increase your costs of overhead expenses.
Correct Answer
B. Reduce your costs of production.Explanation
By purchasing materials and components from multiple countries and assembling the product in another international location, it allows for cost reduction in production. This is because different countries may offer lower prices for materials and components, and assembling the product in a location with lower labor costs can also contribute to reducing overall production costs.Rate this question:
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- 10.
What are the benefits of Globalisation?
- A.
Use of Innovation and Technology
- B.
Low Production Costs
- C.
Get Access to Various New Cultures
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
Globalization brings numerous benefits, including low production costs. By accessing markets worldwide, companies can take advantage of cheaper labor and resources, reducing their production expenses. Additionally, globalization allows individuals and businesses to get access to various new cultures. This exposure fosters diversity, understanding, and the exchange of ideas. Lastly, globalization promotes the use of innovation and technology. As countries connect and collaborate, they share knowledge, expertise, and technological advancements, leading to improved productivity and economic growth. Therefore, all of the mentioned benefits are accurate and valid.Rate this question:
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Current Version
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Aug 16, 2023Quiz Edited by
ProProfs Editorial Team -
Nov 11, 2022Quiz Created by
Sophia Smith
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