Scenario: Gro-Tru Grows to Europe

question 103

Multiple Choice

Scenario: Gro-Tru Grows To Europe
Gro-Tru,a maker of chemical fertilizers and pesticides,sees enormous growth potential in Central Europe.The company has received several unsolicited inquiries from potential importers in the region,but in most cases,the potential importers have expressed difficulty in obtaining the hard currency to pay for Gro-Tru's products.Alistair Green,vice president for new business development,is exploring how Gro-Tru might meet the needs of the potential market.
-If,in exchange for a hard-currency sale,Gro-Tru agrees to make a hard-currency purchase of an unspecified product from the importing nation in the future,it would be engaging in which of the following?

• A)Barter
• B)Offset
• C)Switch trading
• D)Buyback

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Definitions:

Bystander Effect

In social psychology, this phenomenon describes how individuals become less likely to help a victim when they are in a group.

GRIT

Graduated and Reciprocated Initiatives in Tension-Reduction—a strategy designed to decrease international tensions.

Social Trap

A situation in which the conflicting parties, by each rationally pursuing their self-interest, become caught in mutually destructive behavior.

Mere Exposure Effect

A psychological effect in which people show a preference for items or concepts they recognize simply because they know them.