Lesson 4.4.3
4.4.3 Controlling multinational corporations Quiz: Pearson Edexcel Business, Unit 4
20 questions
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Lesson 4.4.3, Controlling multinational corporations: 20 multiple choice questions for the Pearson Edexcel Business (9BS0), Unit 4: Global business, written with Revision Ninja.
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The 20 questions
-
Which method allows host governments to exert political control over MNC operations?
- Brand boycotts
- Taxation policy
- Mass protests
- Social media campaigns
-
Laws preventing MNCs from abusing dominant market positions are known as what?
- Employment law
- Competition law
- Copyright law
- Contract law
-
What type of organisation campaigns publicly to influence MNC decisions and government policies?
- Trade union
- Executive board
- Pressure group
- Public limited company
-
How can consumers quickly damage an MNC's corporate image following an ethical scandal?
- Viral social media
- Tax audits
- Legal injunctions
- Tariff increases
-
What political incentive might a government offer to attract MNC investment to a region?
- Consumer boycotts
- Tax concessions
- Public protests
- Viral campaigns
-
What main threat do pressure group campaigns pose to non-compliant multinationals?
- Unlimited liability
- Lower tax rates
- Reputational damage
- Dividend growth
-
What type of control is mandatory country-by-country tax reporting by a government?
- Political influence
- Pressure group
- Social media
- Legal control
-
How does social media primarily exert control over multinational corporations?
- Reputational risk
- Statutory fines
- Legal prosecution
- Tariff increases
-
A country sets a tax rate of 19% on profits of 50 million. How much tax is due?
- 9.5 million
- 50 million
- 2.6 million
- 19 million
-
Why is legal control of multinationals often difficult for a single national government?
- High tariffs
- Fixed exchange rates
- Lack of media
- Cross-border operations
-
Which action represents political influence by a host government on a multinational?
- Consumer boycotts
- Shareholder protests
- Viral campaigns
- Investment conditions
-
What is the primary method pressure groups use to control multinational behaviour?
- Passing legislation
- Setting tax rates
- Imposing tariffs
- Public campaigns
-
Which action can consumers use as a stakeholder group to influence an MNC?
- Import tariffs
- Statutory audit
- Product boycott
- Tax legislation
-
What is an MNC's most likely response to a viral campaign against misleading labelling?
- Relocating production
- Ignoring consumers
- Raising prices
- Label correction
-
Which organisation provides international guidelines to encourage responsible multinational conduct?
- CMA
- ASA
- Ofcom
- OECD
-
Issuing a financial penalty to an MNC for tax avoidance is an example of what?
- Pressure group
- Legal control
- Political influence
- Social media
-
Unlike legal control, political influence mainly relies on which process?
- Court rulings
- Binding legislation
- Negotiation
- Statutory law
-
What is the main objective of a pressure group organising a consumer boycott?
- Increase tariffs
- Change laws
- Reduce sales
- Raise taxes
-
What feature of social media makes it effective at exposing supply chain issues?
- Tax penalties
- Viral reach
- Import controls
- Legal enforcement
-
What makes single-country regulation of multinational corporations ineffective?
- Global mobility
- Local competition
- High inflation
- Consumer boycotts
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