CPP Global Sourcing & Import Regulations

Question 1

What is a primary benefit of global sourcing?

Accepted Answer

Access to competitive pricing and innovation

Answer

Higher transportation costs

Answer

Reduced supply base

Answer

Shorter lead times

Question 2

Which document is required for customs clearance of imported goods?

Accepted Answer

Commercial invoice

Answer

Employee ID form

Answer

Internal memo

Answer

Receipt voucher

Question 3

What is a potential risk in global sourcing?

Accepted Answer

Currency fluctuations

Answer

Stable exchange rates

Answer

No compliance standards

Answer

Increased local availability

Question 4

What is the purpose of Incoterms in global purchasing?

Accepted Answer

Define shipping responsibilities and risks

Answer

Standardize product pricing

Answer

Clarify tax obligations

Answer

Establish labor rates

Question 5

What role does a bill of lading play in global trade?

Accepted Answer

Document that represents ownership of shipped goods

Answer

It’s a bank authorization form

Answer

A packing list

Answer

Only for internal auditing

Question 6

Which organization enforces import regulations in the U.S.?

Accepted Answer

U.S. Customs and Border Protection

Answer

FDA

Answer

IRS

Answer

State Department

Question 7

Why is supplier qualification important in global sourcing?

Accepted Answer

To verify capability and compliance

Answer

To increase paperwork

Answer

To delay shipping

Answer

To reduce contract terms

Question 8

What does 'tariff' mean in the context of imports?

Accepted Answer

Import tax or duty

Answer

Insurance premium

Answer

Packing cost

Answer

Logistics surcharge

Question 9

What tool helps identify sourcing risks in global purchasing?

Accepted Answer

Risk matrix

Answer

Marketing chart

Answer

Economic calendar

Answer

Purchase order