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1. Yes and No _ Title helps as does the amount of travel you do. I.E if you do one trip a year then probably economy.
2. Over 4 hours is Business class (except China which is business class as most 2 hour flights take 7!!!)
3. Managed by common sense policy. i.e Will send a spouse/partner if both in economy rather than 1 in business. i.e will happily allow a case of wine for friends if staying with them instead of hotel. i.e If P&L down then may fly economy and have stopover..
In my experience (380,000 kms per annum) common sense should always prevail.