I know plenty of people in Europe that would have trouble locating major US cities on a map, but I wouldn't be so bigoted to say Europeans don't know geography.
I'm not expecting them to find the city on a map (aside from their own), but you'd be hard pressed to find a European that didn't know that New York or L.A. was located in the United States.
The tremendous amount of US culture exported by through movies, TV, and sports makes a lot of American people, places, and things household names around the world.
