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ibo-01 Dec-2014

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POST GRADUATE DIPLOMA IN INTERNATIONAL BUSINESS
OPERATIONS/MASTER OF COMMERCE
Term-End Examination
December, 2014
IBO-01 : INTERNATIONAL BUSINESS ENVIRONMENT
Time : 3 hours Maximum Marks : 100
Weightage : 70%
Note : Answer both the parts.
PART - A
1. Comment on any four of the following :
(a) Sound financial position of the country coupled with the favourable investment
policies reflect strong demand potential.
(b) BOP situation affects the exchange markets and is therefore of concern to everyone
concerned with foreign exchange.
(c) When operating abroad, companies may have to adjust their usual methods of doing
business.
(d) Trade controls directly affect quantity and indirectly affect quality of trade flows.
(e) The Arbitration and Conciliation Act, 1996 has ensured minimal judicial intervention
in arbitration proceedings.
(f) Cross border mergers and acquisitions are not increasing.

PART - B
Answer any four of the following :
2. Describe trends in world trade in goods and services its composition and directions.
3. Discuss the role of World Bank in promoting industrial growth of developing countries.
4. Explain the neoclassical theory of international trade. What are the underlying assumptions ?
5. How has WTO evolved from GATT ? What are its functions ? Describe salient features of Agreements of Agriculture and Trade in Services.
6. What are the alternative methods of entry into foreign markets ? Explain their merits and demerits.
7. Write short notes on any two of the following :
(a) Transfer Pricing
(b) Regional Economic Groupings
(c) Theocratic Legal System
(d) Electronic Commerce

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