WGU D080 PRE-ASSESSMENT: MANAGING IN A
GLOBAL BUSINESS ENVIRONMENT (QHC1) (PQHC)
(Full Screenshots, GET IT HERE!! | Questions and -
answer :- s | 2026 Update | 100% Correct.
Which negative outcome on political systems comes from globalization? - ANSWER-Creation of
isolationist policies
Which factor results in a higher rate of globalization? - ANSWER-Reduced trade barriers
What are the four factors in Ghemawat's CAGE analysis? - ANSWER-Culture, administration,
geography, economy
What is a major drawback to the home country when companies outsource manufacturing jobs to
countries with lower worker wages? - ANSWER-Loss of manufacturing jobs
A country has a characteristic traditional economic system with poor infrastructure and limited
economic opportunity.
What is the impact of this system on the process of globalization? - ANSWER-The globalization
process is at a disadvantage as the country has a lower standard of living.
What is a characteristic of a market economy? - ANSWER-Firms seek to maximize profi ts.
Which impact does Islamic law directly have on businesses? - ANSWER-It forbids charging interest.
Which institution helps to maintain availability of global financing to solve trade deficit issues? -
ANSWER-International Monetary Fund
What is the current focus of the World Bank? - ANSWER-Improving quality of life
For which concern has the World Trade Organization been criticized? - ANSWER-Adoption of labor
standards protecting labor rights
How is the Special Drawing Right of the International Monetary Fund (IMF) valued? - ANSWER-It is
based on the value of the five most significant members' currencies.
Two countries agree to open their borders to international business transactions with one another
without tariffs.
How does this affect global business? - ANSWER-It leads to developing free trade policies with
strategic partners.
1
,A country uses its established technology infrastructure to produce a good.
What is the impact of this infrastructure on trade? - ANSWER-It will create barriers to entry for other
nations.
What was the economic impact of the North American Free Trade Agreement (NAFTA)? - ANSWER-
The shift of jobs away from low comparative advantage industries
A company that is located in Country A would like to sell products in Country B. The government of
Country B is pushing for a tariff-based international trade agreement on the product.
What is the reasoning behind Country B's decision? - ANSWER-Country B seeks to protect its
economy and give it the opportunity for long-term expansion.
Countries A and B participate in trade agreements that allow free trade among participant countries.
However, Country A imposed quotas on several imported products to protect its domestic products.
What is the effect, if any, on the domestic prices of these products? - ANSWER-Increases
Two countries decide to open up trade with each other.
What is likely to happen when trade opens up? - ANSWER-Jobs will increase in comparative
advantage industries.
What is a purpose of a country implementing trade protectionism? - ANSWER-To protect an infant
industry
Country A and Country B are trying to mend their relationship. A company from Country A would like
to invest in a company in Country B.
Which action by Country B will help these two countries meet their goal? - ANSWER-Provide tax
exemptions
Which level of regional economic integration is a key feature of a Customs Union? - ANSWER-
Unified trading policies with non-members
What is a drawback of creating regional trade agreements? - ANSWER-They shift employment
opportunities.
The United States-Mexico- Canada Agreement (USMCA), a modification of the North American
FreeTrade Agreement (NAFTA), broadened the scope of free trade between member nations and
tightened restrictions in the region.
Which regulation was established by this new agreement? - ANSWER-Almost half of all automobile
parts must be made by a labor force that earns a minimum of $16 per hour by 2023.
2
, A U.S. capital investment firm is researching new markets to enter to diversify its portfolio. The
director of foreign investments presented a pitch to the board of directors encouraging entry into the
Costa Rican telecommunications market by investing in local companies in the region through
acquisition.
Which alliance supports this director's suggestion? - ANSWER-Central America Free Trade Agreement
A firm based in Country A manufactures its products in Country B and pays the manufacturing
employees in the currency in which they are located.
Which currency situation will result in the maximum profit for the firm? - ANSWER-The currency in
Country A is strong relative to the currency in Country B.
Which drawback is associated with regional economic integration? - ANSWER-Increased exclusive
internal trade
Which factor contributes to the creation of a monopoly? - ANSWER-Control of natural resources
Which convention provides gap fillers for terms that may not be expressly stated in agreements
between two companies? - ANSWER-Contracts for the International Sale of Goods
Which laws are violated by practices such as price-fixing, price discrimination, restraints, and
monopolization? - ANSWER-Anti-trust
An international company's consumers are demanding that the owners make socially ethical business
decisions concerning their packaging, but the company is finding that the suggested green
modifications are increasing the costs of producing the product.
Which concern is this company facing by meeting these ethical demands? - ANSWER-Decreased
profitability
A business is entering a global market at the same time it has been trying to improve its level of
corporate social responsibility (CSR).
Which CSR goal should this company remember during this process? - ANSWER-Increase shareholder
trust via high ethical standards
A company would like to expand its corporate social responsibility (CSR) initiatives to a global level.
Which strategy should the company use to meet this goal? - ANSWER-Engage stakeholders on the
issue of air quality
An individual is encouraged to provide a small, quiet fee to local offi cials to get some critical work
doneoverseas for a global offi ce. The individual was told that this would greatly expedite the work.
Theindividual took that advice, and the work was completed, but the manager in the United States was
upsetwith the action and called the individual to discuss the matter.
3
GLOBAL BUSINESS ENVIRONMENT (QHC1) (PQHC)
(Full Screenshots, GET IT HERE!! | Questions and -
answer :- s | 2026 Update | 100% Correct.
Which negative outcome on political systems comes from globalization? - ANSWER-Creation of
isolationist policies
Which factor results in a higher rate of globalization? - ANSWER-Reduced trade barriers
What are the four factors in Ghemawat's CAGE analysis? - ANSWER-Culture, administration,
geography, economy
What is a major drawback to the home country when companies outsource manufacturing jobs to
countries with lower worker wages? - ANSWER-Loss of manufacturing jobs
A country has a characteristic traditional economic system with poor infrastructure and limited
economic opportunity.
What is the impact of this system on the process of globalization? - ANSWER-The globalization
process is at a disadvantage as the country has a lower standard of living.
What is a characteristic of a market economy? - ANSWER-Firms seek to maximize profi ts.
Which impact does Islamic law directly have on businesses? - ANSWER-It forbids charging interest.
Which institution helps to maintain availability of global financing to solve trade deficit issues? -
ANSWER-International Monetary Fund
What is the current focus of the World Bank? - ANSWER-Improving quality of life
For which concern has the World Trade Organization been criticized? - ANSWER-Adoption of labor
standards protecting labor rights
How is the Special Drawing Right of the International Monetary Fund (IMF) valued? - ANSWER-It is
based on the value of the five most significant members' currencies.
Two countries agree to open their borders to international business transactions with one another
without tariffs.
How does this affect global business? - ANSWER-It leads to developing free trade policies with
strategic partners.
1
,A country uses its established technology infrastructure to produce a good.
What is the impact of this infrastructure on trade? - ANSWER-It will create barriers to entry for other
nations.
What was the economic impact of the North American Free Trade Agreement (NAFTA)? - ANSWER-
The shift of jobs away from low comparative advantage industries
A company that is located in Country A would like to sell products in Country B. The government of
Country B is pushing for a tariff-based international trade agreement on the product.
What is the reasoning behind Country B's decision? - ANSWER-Country B seeks to protect its
economy and give it the opportunity for long-term expansion.
Countries A and B participate in trade agreements that allow free trade among participant countries.
However, Country A imposed quotas on several imported products to protect its domestic products.
What is the effect, if any, on the domestic prices of these products? - ANSWER-Increases
Two countries decide to open up trade with each other.
What is likely to happen when trade opens up? - ANSWER-Jobs will increase in comparative
advantage industries.
What is a purpose of a country implementing trade protectionism? - ANSWER-To protect an infant
industry
Country A and Country B are trying to mend their relationship. A company from Country A would like
to invest in a company in Country B.
Which action by Country B will help these two countries meet their goal? - ANSWER-Provide tax
exemptions
Which level of regional economic integration is a key feature of a Customs Union? - ANSWER-
Unified trading policies with non-members
What is a drawback of creating regional trade agreements? - ANSWER-They shift employment
opportunities.
The United States-Mexico- Canada Agreement (USMCA), a modification of the North American
FreeTrade Agreement (NAFTA), broadened the scope of free trade between member nations and
tightened restrictions in the region.
Which regulation was established by this new agreement? - ANSWER-Almost half of all automobile
parts must be made by a labor force that earns a minimum of $16 per hour by 2023.
2
, A U.S. capital investment firm is researching new markets to enter to diversify its portfolio. The
director of foreign investments presented a pitch to the board of directors encouraging entry into the
Costa Rican telecommunications market by investing in local companies in the region through
acquisition.
Which alliance supports this director's suggestion? - ANSWER-Central America Free Trade Agreement
A firm based in Country A manufactures its products in Country B and pays the manufacturing
employees in the currency in which they are located.
Which currency situation will result in the maximum profit for the firm? - ANSWER-The currency in
Country A is strong relative to the currency in Country B.
Which drawback is associated with regional economic integration? - ANSWER-Increased exclusive
internal trade
Which factor contributes to the creation of a monopoly? - ANSWER-Control of natural resources
Which convention provides gap fillers for terms that may not be expressly stated in agreements
between two companies? - ANSWER-Contracts for the International Sale of Goods
Which laws are violated by practices such as price-fixing, price discrimination, restraints, and
monopolization? - ANSWER-Anti-trust
An international company's consumers are demanding that the owners make socially ethical business
decisions concerning their packaging, but the company is finding that the suggested green
modifications are increasing the costs of producing the product.
Which concern is this company facing by meeting these ethical demands? - ANSWER-Decreased
profitability
A business is entering a global market at the same time it has been trying to improve its level of
corporate social responsibility (CSR).
Which CSR goal should this company remember during this process? - ANSWER-Increase shareholder
trust via high ethical standards
A company would like to expand its corporate social responsibility (CSR) initiatives to a global level.
Which strategy should the company use to meet this goal? - ANSWER-Engage stakeholders on the
issue of air quality
An individual is encouraged to provide a small, quiet fee to local offi cials to get some critical work
doneoverseas for a global offi ce. The individual was told that this would greatly expedite the work.
Theindividual took that advice, and the work was completed, but the manager in the United States was
upsetwith the action and called the individual to discuss the matter.
3
