WGU D080 MANAGING IN A GLOBAL
BUSINESS ENVIRONMENT (QHC2)
OBJECTIVE ASSESSMENT PRACTICE TEST
BANK | 2026/2027 EDITION
SECTION 1: GLOBALIZATION AND
INTERNATIONAL TRADE THEORIES
Question 1: Which of the following best defines
globalization?
A) The process of limiting trade to domestic markets
only
B) The increasing interdependence of economies,
cultures, and populations across the world
C) The exclusive focus on exporting goods to one
foreign country
D) The elimination of all trade barriers between two
nations
Correct Answer: B
,Rationale: Globalization refers to the growing
integration and interdependence of national economies,
cultures, and societies through cross-border flows of
goods, services, capital, technology, and people. It
encompasses economic, political, and cultural
dimensions.
Why the others are wrong:
A: This describes protectionism, not globalization.
C: This is too narrow—globalization involves
multiple countries and dimensions.
D: This describes a free trade agreement, not the
broader concept of globalization.
Question 2: According to Thomas Friedman, which
stage of globalization is characterized
by individuals being the primary drivers of
globalization?
A) Globalization 1.0
B) Globalization 2.0
,C) Globalization 3.0
D) Globalization 4.0
Correct Answer: C
Rationale: According to Friedman, Globalization 3.0 is
the stage where individuals, rather than nations or
companies, are the primary drivers of globalization.
Globalization 1.0 was driven by nations; Globalization
2.0 by companies.
Why the others are wrong:
A: Globalization 1.0 was driven by nations.
B: Globalization 2.0 was driven by companies.
D: This is not a recognized Friedman stage of
globalization.
Question 3: A tech startup based in Kenya develops a
mobile payment system that becomes popular in India
and Brazil. This scenario best describes:
A) Political globalization
B) Technological isolationism
, C) Economic and cultural globalization
D) Protectionist trade policy
Correct Answer: C
Rationale: The movement of a technological product
across borders for financial transactions is economic
globalization, while the adoption of the technology and
its influence on how people interact culturally
represents cultural globalization.
Why the others are wrong:
A: Political globalization involves intergovernmental
organizations and political institutions, not
technology adoption.
B: This is the opposite of what is described—the
technology is spreading globally.
D: Protectionism would restrict trade, not
facilitate technology transfer.
Question 4: Which type of globalization refers to the
international movement of goods, capital, and services?
BUSINESS ENVIRONMENT (QHC2)
OBJECTIVE ASSESSMENT PRACTICE TEST
BANK | 2026/2027 EDITION
SECTION 1: GLOBALIZATION AND
INTERNATIONAL TRADE THEORIES
Question 1: Which of the following best defines
globalization?
A) The process of limiting trade to domestic markets
only
B) The increasing interdependence of economies,
cultures, and populations across the world
C) The exclusive focus on exporting goods to one
foreign country
D) The elimination of all trade barriers between two
nations
Correct Answer: B
,Rationale: Globalization refers to the growing
integration and interdependence of national economies,
cultures, and societies through cross-border flows of
goods, services, capital, technology, and people. It
encompasses economic, political, and cultural
dimensions.
Why the others are wrong:
A: This describes protectionism, not globalization.
C: This is too narrow—globalization involves
multiple countries and dimensions.
D: This describes a free trade agreement, not the
broader concept of globalization.
Question 2: According to Thomas Friedman, which
stage of globalization is characterized
by individuals being the primary drivers of
globalization?
A) Globalization 1.0
B) Globalization 2.0
,C) Globalization 3.0
D) Globalization 4.0
Correct Answer: C
Rationale: According to Friedman, Globalization 3.0 is
the stage where individuals, rather than nations or
companies, are the primary drivers of globalization.
Globalization 1.0 was driven by nations; Globalization
2.0 by companies.
Why the others are wrong:
A: Globalization 1.0 was driven by nations.
B: Globalization 2.0 was driven by companies.
D: This is not a recognized Friedman stage of
globalization.
Question 3: A tech startup based in Kenya develops a
mobile payment system that becomes popular in India
and Brazil. This scenario best describes:
A) Political globalization
B) Technological isolationism
, C) Economic and cultural globalization
D) Protectionist trade policy
Correct Answer: C
Rationale: The movement of a technological product
across borders for financial transactions is economic
globalization, while the adoption of the technology and
its influence on how people interact culturally
represents cultural globalization.
Why the others are wrong:
A: Political globalization involves intergovernmental
organizations and political institutions, not
technology adoption.
B: This is the opposite of what is described—the
technology is spreading globally.
D: Protectionism would restrict trade, not
facilitate technology transfer.
Question 4: Which type of globalization refers to the
international movement of goods, capital, and services?
