Business Administration and International Commerce Flashcards | Quizlet

Vertical Merger

Combination of two or more companies from different, related industries.

Horizontal Merger

Combination of two or more companies from the same industry.

Conglomerate Merger

Combination of companies from different and unrelated industries.

Acquisition Definition

The process by which one firm purchases another firm.

Exporting Definition

Marketing domestically produced goods and services in overseas markets.

Importing Definition

Marketing foreign made goods and services in domestic markets.

Exchange Rate Definition

Rate at which a nation's currency is exchanged for other currencies.

Tariff Definition

Taxes imposed on imported goods.

Non-tariff Barriers

Non-tax restrictions on imports, such as quotas and embargos.

Quota Definition

Limits set on the amount of a product a country can import.

Embargo Definition

A total ban on importing a specific product into a country.

World Trade Organization (WTO)

Reduces tariff barriers and promotes trade among nations.

The World Bank Function

Funds projects that build and expand infrastructure.

International Monetary Fund (IMF)

Makes short-term loans to member nations unable to meet expenses.

NAFTA Definition

Agreement reducing trade barriers among U.S., Canada, and Mexico.

Management Definition

The process of achieving organizational objectives through people and other resources.

Top Management

Responsible for strategic planning and overall direction of the company.

Middle Management

Responsible for implementing top management's vision and strategic plan.

Supervisors

Responsible for the day to day operations of their unit.

Four Basic Functions of Management

Planning, organizing, leading, and controlling.

SWOT Analysis Definition

Methodology used for performing environmental evaluation (Strengths, Weaknesses, Opportunities, Threats).

Leadership Definition

The ability to inspire and guide people to attain a common goal.

Autocratic Leadership

Makes decisions on his/her own without consulting employees.

Democratic Leadership

Involves employees in decision-making processes.

Free-rein Leadership

Leaves most decisions to employees.