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C211 WGU OA exam questions with correct solutions

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C211 WGU OA EXAM questions with correct solutions

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C211 WGU OA

1. Which political view of foreign direct investment (FDI) is most widely used by

governments in the current international business environment?: Protectionism

2. Which factors credit the degree of rivalry between a pair of competitors? 2

choices: Market Commonality

Cost Structure

3. Which factors credit how local firms in emerging economics will respond to

multinational competitors?: Competitive assets and industry pressures to globalize

4. During which stage of the product life cycle do sales and profits gradually

increase before seeing more dramatic increases?: Growth

5. Which factor determines the foreign exchange rate of any currency?: Supply and demand

for the currency

6. Which risk must corporation minimize if it is to effectively manage short-term

currency fluctuations?: Transaction Risk

7. Which policy does a country use to determine the exchange rate of their

currency in relationship to another country's currency if they do not rely on market

forces?: Fixed Rate Policy

8. Which term refers to trading currencies and currency derivatives in order to earn

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, profits and help make prices efficient?: Brokering

9. Which type of advantage is gained by a company based on where it operates?-

: Location-Specific

10. Who gains from erecting significant entry barriers for other entrants?: First

Movers

11. Which strategy for entering into a foreign market has the lowest degree of

risk?: Licensing

12. What is a non-equity mode involving some type of contractual agreement?-

: Licensing

13. After the Lehman Brothers collapse, the federal Reserve stood ready to lend

financial institutions funds. When the Federal reserve did this, it was acting in its role as

a lender of last resort. Which type of group has this role?: Non Governmental Organization

14. What is the comprehensive free-trade settlement among Canada, US, and

Mexico, that address issues of protecting workers rights, the environment and

reducing tariffs and non-tariff trade barriers?: NAFTA

15. What is one of the core propositions underpinning an institution-based view of

global business?: Managers and corporations make rational decisions within their formal and informal framework

16. Which type of system allows businesses to be privately owned with a strong

individualistic profit orientation?: Market economy
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