WGU - Managing a Global Business Environment
D080 Glossary terms
absolute quota Ans✓✓✓ Quota that strictly limits the quantity of goods that may
enter a country
acquisition Ans✓✓✓ The act of taking over ownership or controlling a business
Ad valorem tariffs Ans✓✓✓ Import taxes based on a fixed percentage of the
assessed commercial value of imported goods
antitrust laws, antimonopoly laws, competition laws Ans✓✓✓ Consumer
protection policy used to limit unfair business practices related to competition
and control of prices
autarky Ans✓✓✓ A political or economic system that becomes self-sufficient to
survive
centralized companies Ans✓✓✓ Companies with structures that limit decision-
making to higher levels in the organizational hierarchy
collectivist Ans✓✓✓ Focused on the good of the group or society over the
individual
Compound tariffs Ans✓✓✓ Taxes on imported goods that are a combination of a
fixed amount and an amount based on the value of the goods
, conglomerates Ans✓✓✓ Large corporations made up of several combined
companies, often formed through mergers and takeovers
convertible Ans✓✓✓ A currency that can be used to buy or sell without
government restrictions
Countervailing duties Ans✓✓✓ Import taxes imposed on certain goods to
prevent dumping or counter export subsidies
Currency futures contracts Ans✓✓✓ Contracts that require the exchange of a
specific amount of currency at a specific future date and at a specific exchange
rate
Currency option contracts Ans✓✓✓ The option or the right to exchange a specific
amount of currency on a specific future date and at a specific agreed-on rate
Currency risk Ans✓✓✓ The risk of a change in the exchange rate that will have an
adverse effect.
Currency swap contracts Ans✓✓✓ A simultaneous buy and sell of a currency for
two different dates
Current-rate method Ans✓✓✓ A method of foreign currency translation that
translates items on financial statements at the current exchange rate
Customer departmentalization Ans✓✓✓ Organizing a company's people, tasks,
and resources based on the type of customer served
D080 Glossary terms
absolute quota Ans✓✓✓ Quota that strictly limits the quantity of goods that may
enter a country
acquisition Ans✓✓✓ The act of taking over ownership or controlling a business
Ad valorem tariffs Ans✓✓✓ Import taxes based on a fixed percentage of the
assessed commercial value of imported goods
antitrust laws, antimonopoly laws, competition laws Ans✓✓✓ Consumer
protection policy used to limit unfair business practices related to competition
and control of prices
autarky Ans✓✓✓ A political or economic system that becomes self-sufficient to
survive
centralized companies Ans✓✓✓ Companies with structures that limit decision-
making to higher levels in the organizational hierarchy
collectivist Ans✓✓✓ Focused on the good of the group or society over the
individual
Compound tariffs Ans✓✓✓ Taxes on imported goods that are a combination of a
fixed amount and an amount based on the value of the goods
, conglomerates Ans✓✓✓ Large corporations made up of several combined
companies, often formed through mergers and takeovers
convertible Ans✓✓✓ A currency that can be used to buy or sell without
government restrictions
Countervailing duties Ans✓✓✓ Import taxes imposed on certain goods to
prevent dumping or counter export subsidies
Currency futures contracts Ans✓✓✓ Contracts that require the exchange of a
specific amount of currency at a specific future date and at a specific exchange
rate
Currency option contracts Ans✓✓✓ The option or the right to exchange a specific
amount of currency on a specific future date and at a specific agreed-on rate
Currency risk Ans✓✓✓ The risk of a change in the exchange rate that will have an
adverse effect.
Currency swap contracts Ans✓✓✓ A simultaneous buy and sell of a currency for
two different dates
Current-rate method Ans✓✓✓ A method of foreign currency translation that
translates items on financial statements at the current exchange rate
Customer departmentalization Ans✓✓✓ Organizing a company's people, tasks,
and resources based on the type of customer served
