Question

9. A _____ is simply an extension of a foreign corporation into the host country.

A.branch office

B.foreign partnership

C.joint venture

D.franchise

10. Which of the following is true of Islamic countries?

A.Their cultures are more homogeneous than that of Western countries.

B.A clear separation of religion and state exists in these countries.

C.Religion is the basis for many legal, as well as ethical, standards in these countries.

D.Trade and commerce with Western countries is usually prohibited in these countries.

11. Some people argue that law derives from a natural tendency to prevent chaos. International law is an attempt to prevent chaos in the international arena through the application of universal or widely held principles. _____ is the means by which those principles are encouraged.

A.Contract

B.Agreement

C.Covenant

D.Comity

12. The _____ is the United States’ largest trading partner, and vice versa.

A.European Union

B.African Union

C.United Arab Emirates

D.United Kingdom

Answer 1

9. A Branch Office is simply an extension of a foreign corporation into a host country.

Solution - A

Explanation - A branch office is an extension of the business in a location without entering into any partnerships. Whereas foreign partnerships, joint ventures and franchises are bound by legal contracts.

10. Which of the following is true of Islamic Countries?

Solution - C

Explanation - Islam is generally considered a way of live in islamic countries and governs many norms and standards in the Islamic state. Religion and state are more intertwined and trade is not discouraged with western countries. As for being homogeneous the Islamic countries are homogeneous but diversity does exist which makes this option questionable. Island nations are generally more homogeneous.

11. Some people argue that law derives from a natural tendency to prevent chaos. International law is an attempt to prevent chaos in the international arena through the application of universal or widely held principles. Comity is the means by which those principles are encouraged.

Solution - D

Explanation - All the other options are of legal nature and encourage a specific objective but the doctrine of comity encourages ethical understanding and principles.

12.  The European Union is the United States’ largest trading partner, and vice versa.

Solution - A

Explanation - European Union is the largest trading partner for US. The other options are way below the European Union trading levels with US which is currently at around 700,000 Million USD.