IBO 001 INTERNATIONAL
BUSINESS ENVIRONMENT
December 2017
Question
Time : 3 hours
Note : Answer both the parts.
PART - A
1. Comment on any four of the
following :
(a) Culture
cannot be easily isolated from such factors as economic and political
conditions and institutions.
(b) If a
country's inflation rate increases in relation to the countries with which it
trades, its current account would be expected to increase.
(c)
Understanding of new technology is essential for new product development.
(d) The
purpose of a trade theory is to explain the pattern of trade between two countries.
(e) Trade
policy is an important instrument to regulate the foreign trade.
(f)
Intellectual Property Rights have become an important issue in current
international business Scenario.
PART - B
Answer any four of the following :
2. (a)
Describe factors affecting the balance of payments.
(b) Explain
methods of correcting disequilibrium in the balance of payments.
3.
Critically examine the Modern Theory of ,International Trade.
4. (a) Why
do firms become transnational ? Give your arguments.
(b) Discuss
the issues and controversies of Transnational Corporations.
5. What are
the key features of Foreign Direct Investment (FDI) in India ? Distinguish
between Direct and Portfolio investments, clearly pointing out their respective
key characteristics.
6. What are
the major problems faced by developing countries in promoting their exports ?
What are your suggestions to solve these problems ?
7. Write
short notes on any two of the following
(a) Free trade
and gains from trade
(b) Terms of
trade
(c) General
Agreement on Trade in Services (GATS)
(d)
Regionalism Versus Multilateralism
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