WGU FVC1.1.A Global Business Pre-Assessment (WGU Global Business FVC1 PA )Complete 2022

What is an advantage of using intermediaries in an indirect distribution channel? A. It displays a sense of ownership of the products B. It reduces up-front costs with the use of an existing channel C. It controls the marketing efforts D. It maintains the company's interests at the forefront B Which negative outcome on political systems comes from globalization? A. Increase in the amount of taxes B. Increase in the number of laws C. Creation of translation problems D. Creation of isolationist policies D Which factor results in a higher rate of globalization? A. Lower cross-border migration B. Higher costs of doing business C. Decreased direct foreign investments D. Reduced trade barriers D What is a major drawback to the home country when companies outsource manufacturing jobs to countries with lower worker wages? A. Loss of manufacturing jobs B. Higher Taxes C. Decreased focus on research and development D. Increased manufacturing costs A In which political system do individuals control all political activity, which eliminates the government creating any laws to help businesses with their globalization efforts? A. Anarchy B. Monarchy C. Democracy D. Oligarchy A 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? A. The globalization process has shortcomings as there are conflicts with other countries B. The globalization process is at a disadvantage as the country has a lower standard of living. C. The globalization process is unaffected as the system does not hinder the process D. The globalization process is steady as he country is not vulnerable to the impact of globalization B A company headquartered in the United States is considering expanding its activities into a different country that follows the same legal system as most states in the United States. Which country is suited for this expansion? A. Chile B. United Arab Emirates C. France D. Australia D Which impact does Islamic law directly have on businesses? A. It limits the globalization of business B. It commercializes the legal system C. It forbids charging interest D. It prohibits sale-buyback of businesses C Which institution helps to maintain liquidity of global funding? A. The World Bank B. International Finance Corporation C. International Monetary Fund D. Federal Reserve C Which structural adjustment of the International Monetary Fund gives to citizen owners businesses that were previously owned by the state? A. Bureaucracy reduction B. Capitalization C. Regulation D. Privatization D What is the current focus of the World Bank? A. Improving quality of life B. Maintaining equity between developing economies C. Supporting structural development D. Maximizing Profitability A For which concern has the World Trade Organization been criticized? A. Impact of tariffs set by developing nations B. Influence of free trade policies on labor rights C. Influence of free trade policies on human trafficking D. Impact of high tarriffs on agricultural products B Two countries agree to open their borders to international business transactions with one another without tariffs.How does this affect global business? A. It imposes import restrictions on competing nations B. It provides subsidies and protects a critical industry C. It creates trade surplus for the national economy D. It leads to developing free trade policies with strategic partners D Country A manufactures products less expensively than Country B. Due to changes in international agreements, Country B has decided to stop producing the products that Country A makes. Instead, Country B will purchase the same number of products from Country A that they would have normally produced on their own. How will this affect global trade? A. Develops trade partnerships with other nations B. Increases economies of scale in Country A C. Decreases supply and demand of products D. Adds new trade barriers for partner nations B Why has the Doha Round of the General Agreement on Tariffs and Trade (GATT) been inconclusive? A. Developing countries could not agree to a mechanism to settle trade disputes. B. Developing countries have not been satisfied with the proposed reductions in agricultural tariffs. C. Developing countries could not agree to a common platform to settle international currency transactions. D. Developing countries have not been satisfied with the proposed reduction in export subsidies. B 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? A. Country B prefers to divert trade to another country to enhance its product industry B. Country B wants Country A to divert trade to another country to help Country A's economy C. Country B seeks to protect its economy and give it the opportunity for long-term expansion D. Country B wants to expand its export to Country A in the product industry C