自考商务英语05844 课后问答题答案

Lesson1

1.what does international business refer to?Please tell the

difference between international business and domestic business.?

International business refer to transaction between parties from different countries.Sometimes business across the borders of different customs areas of the country is also regarded as import and export,such as business between Hongkong and T aiwan. International business takes place between countries while domestic business takes place in the same country.

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 refer to the from of commodity trade, i.e.

exporting and importing goods produced or manufactured in one country for consumption or manufactured in one country for consumption or resale in another. Invisible trade refers to the kind of trade in the form of transportation, communication, banking insurance , consulting, information etc. The latter is becoming more

and more important and accounts for an increasing proportion in international trade.

3.Can you cite some examples to illustrate cultural differences

in international business?

Yes,I can. In business activities, Americans are more informal than Europeans. Americans are pleased to be called their first names to close the relationship.

Europeans will think it impolite to be called the first names, especially the first time they meet.

4.Please elaborate on the two categories of international

investment. What is their major difference?

International investment can be classified into two categories,that is ,foreign direct investment(FDI) and portfolio investment. The major difference between them is that FDI is made for returns through controlling the enterprises or assets invested in a host country. Portfolio investment refers to purchases of foreign financial assets for a purpose other than controlling.

5.What is licensing? Why do firms sometimes choose it as a

means of entering a foreign market?

In licensing, a firm leases the right to use its intellectual property to a firm in another country. Firms choose

licensing because they do not have to make cash payments to start business, and can simply receive income in the form of royalty. Beside, they can benefit from locational advantages of foreign operation without any obligations in ownership or management.

6.What is franchising? How is different from licensing?

Franchising can be regarded as a special form of licensing.

Under franchising, a firm, called the franchisee, is allowed to operate the franchiser who provides the former with trademarks. brand names, logos, and operating techniques for royalty. In comparison with the relation between the licenser and the licensee ,the franchiser has more control over and provides more support for the franchisee.

7.what is management contract? Under what conditions is it

most applicable?

Under a management contract, one company offers managerial or other specialized services to another within

a particular period for a flat payment or a percentage of

the relevant business volume. When a government forbids foreign ownership in certain industries, it is most applicable.

8.what is an international turnkey project? In what way is its

variant BOT from it ?

For an international turnkey project, a firm signs a contract with a foreign purchaser and undertakes all the designing, contracting and facility equipping before handing it over to the latter upon completion. For BOT,B stands for build, O for operate and T for transfer. BOT is a popular variant of the turkey project. For a BOT project,a firm operate a facility for a period of time after building it up before finally transferring it to a foreign company. Making profit from operating the project for a period is the major difference between BOT and the common turnkey project.

Lesson2

1.Explain the concepts of GNP and GDP respectively and point

out their major difference.Can we use them interchangeably?

GNP and GDP are two important concepts used to indicate

a country’s total income. GNP refers to the market value of

goods and services produced by the property and labor owned by the residents of an economy. GDP measures the market value of all goods and services produced within the geographic area of an economy. The major difference between GNP and GDP is that the former focuss on ownership of the factors of production which the latter

concentrates on the place where production takes place. 2.what are meant by high income,middle income,and low

income countries according to the World Bank?Cite some examples for each group.

High –income countries refer to those with annual per capita income of $9,386 and above , e.g. the united states .

Middle income countries refer to those with annual per capita income of below $9,386 but above $765, e.g. Greece.

Low—income countries refer to those with annual per capita income of only $765 or below , e.g.most African countries.

3.Why are high income countries important to trade and

investment?Should we neglect low income countries in international business?

Because 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 both attractive aources and destinations of investment. But lower income countries should not be neglected in international business activities , because they constitutle markets for

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附件二：

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