,WGU C211 - Global Economics for
Managers OA Exam ( 2026–2027) Updated
(PDF)
1. A multinational corporation is deciding whether to standardize its products globally or adapt them
to local markets. Which statement accurately reflects the difference between the globalization of
markets and the globalization of production?
A) Globalization of markets refers to sourcing goods from the lowest-cost locations, while
globalization of production refers to selling the same product worldwide.
B) Globalization of markets involves merging historically distinct national markets into one huge
marketplace, while globalization of production involves sourcing goods from around the world to take
advantage of cost differences.
C) Both concepts refer to the same phenomenon of international expansion and can be used
interchangeably.
D) Globalization of markets is a recent trend driven by the WTO, while globalization of production has
existed since ancient trade routes.
Correct Answer: B
Rationale: Globalization of markets refers to the merging of historically distinct national markets into
one huge global marketplace. Globalization of production refers to sourcing goods and services from
locations around the globe to take advantage of national differences in the cost and quality of factors
of production (labor, energy, land, capital).
2. Which of the following is NOT one of the main drivers of globalization?
A) Declining trade and investment barriers
B) Technological change
C) The rise of the WTO, IMF, and World Bank
D) Increasing nationalism and isolationist policies
Correct Answer: D
Rationale: Increasing nationalism and isolationist policies (e.g., Brexit, US-China trade tensions) are
counter-trends that slow or reverse globalization. The main drivers are: (1) declining trade and
investment barriers, (2) technological change, and (3) the role of global institutions (WTO, IMF, World
Bank) in promoting economic integration.
,3. Which two phrases represent the views of globalization? (Choose two answers.)
A) A pendulum that swings from one extreme to another
B) A competition among key financial centers and markets
C) A continuing force sweeping through the world
D) An unplanned result of corporate responses to a variety of opportunities
E) A trading of goods and services between the most and least regulated countries
Correct Answer: A and C
Rationale: The three primary views on globalization are the "new" view, the "evolutionary" view, and
the "pendulum" view. The "new" view describes globalization as a recent force sweeping through the
world. The "evolutionary" view sees globalization as a long-run historical evolution. The "pendulum"
view depicts globalization as swinging from one extreme to another over time.
4. According to the "new force" view, globalization is best described as:
A) A phenomenon driven by technological advances since the second half of the 20th century
B) A long-run historical evolution since the dawn of human history
C) A force that swings from one extreme to another over time
D) A process that has existed since ancient trade routes
Correct Answer: A
Rationale: The "new force" view holds that globalization is a recent phenomenon driven by
technological advances since the second half of the 20th century. It is often associated with the idea
that Western countries use globalization to exploit others.
5. The "pendulum view" of globalization suggests what about its nature?
A) It is a one-directional phenomenon that will continue indefinitely
B) It swings from one extreme to another over time
C) It is driven solely by technological change
D) It has no historical precedent
Correct Answer: B
Rationale: The pendulum view suggests that globalization is not a one-directional phenomenon but
rather swings from one extreme to another over time, with periods of greater and lesser integration.
, 6. A historian argues that humans have always traded and migrated, suggesting globalization is
nothing new. Which view does this support?
A) The "new force" view
B) The long-run historical evolution view
C) The pendulum view
D) The resource-based view
Correct Answer: B
Rationale: The long-run historical evolution view sees globalization as a process that has been
occurring since the dawn of human history, with humans always trading and migrating across borders.
7. Which two core perspectives help answer the fundamental question of what determines the
success and failure of firms around the globe?
A) The resource-based view and the institution-based view
B) The free market view and the radical view
C) The comparative advantage view and the absolute advantage view
D) The pendulum view and the evolutionary view
Correct Answer: A
Rationale: The resource-based view and the institution-based view are the two core perspectives that
explain firm success and failure globally. The resource-based view focuses on internal firm strengths,
while the institution-based view focuses on the external environment.
8. How does the resource-based view explain firm success?
A) It focuses on external laws and regulations
B) It focuses on a firm's internal strengths and unique resources as the key to competitive advantage
C) It focuses on the benefits of free trade
D) It focuses on the role of government intervention
Correct Answer: B
Rationale: The resource-based view explains firm success by focusing on a firm's internal strengths
and unique resources—such as technology, brand, or skills—as the key to competitive advantage.
Managers OA Exam ( 2026–2027) Updated
(PDF)
1. A multinational corporation is deciding whether to standardize its products globally or adapt them
to local markets. Which statement accurately reflects the difference between the globalization of
markets and the globalization of production?
A) Globalization of markets refers to sourcing goods from the lowest-cost locations, while
globalization of production refers to selling the same product worldwide.
B) Globalization of markets involves merging historically distinct national markets into one huge
marketplace, while globalization of production involves sourcing goods from around the world to take
advantage of cost differences.
C) Both concepts refer to the same phenomenon of international expansion and can be used
interchangeably.
D) Globalization of markets is a recent trend driven by the WTO, while globalization of production has
existed since ancient trade routes.
Correct Answer: B
Rationale: Globalization of markets refers to the merging of historically distinct national markets into
one huge global marketplace. Globalization of production refers to sourcing goods and services from
locations around the globe to take advantage of national differences in the cost and quality of factors
of production (labor, energy, land, capital).
2. Which of the following is NOT one of the main drivers of globalization?
A) Declining trade and investment barriers
B) Technological change
C) The rise of the WTO, IMF, and World Bank
D) Increasing nationalism and isolationist policies
Correct Answer: D
Rationale: Increasing nationalism and isolationist policies (e.g., Brexit, US-China trade tensions) are
counter-trends that slow or reverse globalization. The main drivers are: (1) declining trade and
investment barriers, (2) technological change, and (3) the role of global institutions (WTO, IMF, World
Bank) in promoting economic integration.
,3. Which two phrases represent the views of globalization? (Choose two answers.)
A) A pendulum that swings from one extreme to another
B) A competition among key financial centers and markets
C) A continuing force sweeping through the world
D) An unplanned result of corporate responses to a variety of opportunities
E) A trading of goods and services between the most and least regulated countries
Correct Answer: A and C
Rationale: The three primary views on globalization are the "new" view, the "evolutionary" view, and
the "pendulum" view. The "new" view describes globalization as a recent force sweeping through the
world. The "evolutionary" view sees globalization as a long-run historical evolution. The "pendulum"
view depicts globalization as swinging from one extreme to another over time.
4. According to the "new force" view, globalization is best described as:
A) A phenomenon driven by technological advances since the second half of the 20th century
B) A long-run historical evolution since the dawn of human history
C) A force that swings from one extreme to another over time
D) A process that has existed since ancient trade routes
Correct Answer: A
Rationale: The "new force" view holds that globalization is a recent phenomenon driven by
technological advances since the second half of the 20th century. It is often associated with the idea
that Western countries use globalization to exploit others.
5. The "pendulum view" of globalization suggests what about its nature?
A) It is a one-directional phenomenon that will continue indefinitely
B) It swings from one extreme to another over time
C) It is driven solely by technological change
D) It has no historical precedent
Correct Answer: B
Rationale: The pendulum view suggests that globalization is not a one-directional phenomenon but
rather swings from one extreme to another over time, with periods of greater and lesser integration.
, 6. A historian argues that humans have always traded and migrated, suggesting globalization is
nothing new. Which view does this support?
A) The "new force" view
B) The long-run historical evolution view
C) The pendulum view
D) The resource-based view
Correct Answer: B
Rationale: The long-run historical evolution view sees globalization as a process that has been
occurring since the dawn of human history, with humans always trading and migrating across borders.
7. Which two core perspectives help answer the fundamental question of what determines the
success and failure of firms around the globe?
A) The resource-based view and the institution-based view
B) The free market view and the radical view
C) The comparative advantage view and the absolute advantage view
D) The pendulum view and the evolutionary view
Correct Answer: A
Rationale: The resource-based view and the institution-based view are the two core perspectives that
explain firm success and failure globally. The resource-based view focuses on internal firm strengths,
while the institution-based view focuses on the external environment.
8. How does the resource-based view explain firm success?
A) It focuses on external laws and regulations
B) It focuses on a firm's internal strengths and unique resources as the key to competitive advantage
C) It focuses on the benefits of free trade
D) It focuses on the role of government intervention
Correct Answer: B
Rationale: The resource-based view explains firm success by focusing on a firm's internal strengths
and unique resources—such as technology, brand, or skills—as the key to competitive advantage.
