WGU D080 Managing in a Global
Business Environment with
verified solutions
A company is considering establishing a subsidiary in a new host
country and wishes to prepare its expatriates to adapt to the local
environment.
How should this company prepare its expatriates?
Negotiation
Operational training
Repatriation
Cultural Training
Cultural training
What happens to consumer surplus when tariffs and quotas are
discontinued?
They increase
Brainpower
Read More
Which type of tariff is put in place to specifically ensure that
domestic industries are given an advantage?
Protective
What is a benefit of implementing a system of free trade?
Reduced tariffs would result in lower costs of imported raw
materials.
How are free trade agreements handled differently than treaties in
the United States?
Treaties must be approved by the Senate, whereas a free trade
agreement must pass both houses of Congress.
Treaties must be approved by the Senate, whereas a free trade
agreement must pass both houses of Congress.
Tariffs
,An airplane manufacturer outsources the manufacture of some its
parts and sub-assemblies. They are then returned to the
manufacturer's main plant for final assembly.
Value chain
Country A exports more goods to Country B than it imports from
Country B. Country A receives more monetary gain by using this
practice.
Which relationship does Country A have with Country B?
Trade surplus
Country A has been criticized by other countries for giving generous
tax credits to its corn farmers, which in turn, enables the country's
farmers to sell corn on the international markets cheaper than all
other countries.
Which term is used by other countries to describe this practice?
Government subsidies
A farmer knows that it takes 100 hours of labor to produce 100
bushels of corn. It only takes 50 hours of labor to produce 100
bushels of soy. Currently, a bushel of corn is selling at three times a
bushel of soy.
Which type of cost should the farmer use to determine what to
plant?
Opportunity
A country produces goods more efficiently than all other countries in
the same industry.
Which type of advantage does this country have?
Absolute
Country A exports farming equipment to Country B, while Country B
exports car manufacturing equipment to Country A. Both countries
are highly developed and could develop these industries separately
but instead made the decision to export and import these products
from each other.
Which unique condition caused this practice between the two
countries?
Skill specialization
A company produces the same product over and over, and it has
caused the manufacturing cost of the product to become cheaper
,and more competitive in international markets than similar products
in the industry.
Which approach is this company using to achieve this ability?
Economies of scale
A country with a new economy implemented trade protectionism in
relation to countries with more developed economies.
Why did the country take this action?
To restrict international economic trade
How do anti dumping laws protect a domestic market?
They prevent foreign companies from selling goods and services at
or below cost.
How do Congress and the Department of Agriculture use quotas to
their advantage?
To increase domestic prices to specific levels to make products
profitable
Which strategy should a government use to offset the cost of
manufacturing domestically?
Subsidies
Which type of globalization refers to the international movement of
goods, capital, and services?
Economic
The CEO of an international company reminds the executive vice
presidents that while the company may do good while performing
corporate social responsibilities, the business has one ultimate goal
since it is engaged in commercial activities with corporate
shareholders.
Which ultimate goal is the CEO emphasizing to the executive vice
presidents?
Profitability
A CEO decides to expand the company's business internationally by
purchasing production capability in another country, including the
foreign country's buildings and equipment.
Which type of market entry is the CEO using?
Direct investment
, A CEO seeks to better use the economies of scale and scope of
production to increase the international company's profits.
Which type of globalization driver is the CEO seeking to use?
Cost
A CEO is discussing an expansion of production of a company's
highly perishable dairy line in a country that can offer low labor
costs and good internet connections. The country has no highways,
and roads are poorly maintained.
Which challenge to international business expansion do the road
conditions present?
Infrastructure
Which argument is used by critics who wish to discourage
movement towards globalization?
It increases the wealth of the rich rather than the poor
Anarchism
Individuals control political activities, and the government has no
control over these activities
Totalitarianism
A centralized government creates oppressive policies based on
ideas from powerful leadership.
Direct democracy
The government provides a method of voting for the people of a
country, not for elected officials.
What is a free trade zone?
A geographic region in which a county will reduce restrictions that
might prevent or reduce trade
Which term describes a government giving a tax break to a
producer to increase their global competitiveness?
Subsidies
Industrialized
Prevalent formation of new markets with possibility of saturation
Less-developed
Business Environment with
verified solutions
A company is considering establishing a subsidiary in a new host
country and wishes to prepare its expatriates to adapt to the local
environment.
How should this company prepare its expatriates?
Negotiation
Operational training
Repatriation
Cultural Training
Cultural training
What happens to consumer surplus when tariffs and quotas are
discontinued?
They increase
Brainpower
Read More
Which type of tariff is put in place to specifically ensure that
domestic industries are given an advantage?
Protective
What is a benefit of implementing a system of free trade?
Reduced tariffs would result in lower costs of imported raw
materials.
How are free trade agreements handled differently than treaties in
the United States?
Treaties must be approved by the Senate, whereas a free trade
agreement must pass both houses of Congress.
Treaties must be approved by the Senate, whereas a free trade
agreement must pass both houses of Congress.
Tariffs
,An airplane manufacturer outsources the manufacture of some its
parts and sub-assemblies. They are then returned to the
manufacturer's main plant for final assembly.
Value chain
Country A exports more goods to Country B than it imports from
Country B. Country A receives more monetary gain by using this
practice.
Which relationship does Country A have with Country B?
Trade surplus
Country A has been criticized by other countries for giving generous
tax credits to its corn farmers, which in turn, enables the country's
farmers to sell corn on the international markets cheaper than all
other countries.
Which term is used by other countries to describe this practice?
Government subsidies
A farmer knows that it takes 100 hours of labor to produce 100
bushels of corn. It only takes 50 hours of labor to produce 100
bushels of soy. Currently, a bushel of corn is selling at three times a
bushel of soy.
Which type of cost should the farmer use to determine what to
plant?
Opportunity
A country produces goods more efficiently than all other countries in
the same industry.
Which type of advantage does this country have?
Absolute
Country A exports farming equipment to Country B, while Country B
exports car manufacturing equipment to Country A. Both countries
are highly developed and could develop these industries separately
but instead made the decision to export and import these products
from each other.
Which unique condition caused this practice between the two
countries?
Skill specialization
A company produces the same product over and over, and it has
caused the manufacturing cost of the product to become cheaper
,and more competitive in international markets than similar products
in the industry.
Which approach is this company using to achieve this ability?
Economies of scale
A country with a new economy implemented trade protectionism in
relation to countries with more developed economies.
Why did the country take this action?
To restrict international economic trade
How do anti dumping laws protect a domestic market?
They prevent foreign companies from selling goods and services at
or below cost.
How do Congress and the Department of Agriculture use quotas to
their advantage?
To increase domestic prices to specific levels to make products
profitable
Which strategy should a government use to offset the cost of
manufacturing domestically?
Subsidies
Which type of globalization refers to the international movement of
goods, capital, and services?
Economic
The CEO of an international company reminds the executive vice
presidents that while the company may do good while performing
corporate social responsibilities, the business has one ultimate goal
since it is engaged in commercial activities with corporate
shareholders.
Which ultimate goal is the CEO emphasizing to the executive vice
presidents?
Profitability
A CEO decides to expand the company's business internationally by
purchasing production capability in another country, including the
foreign country's buildings and equipment.
Which type of market entry is the CEO using?
Direct investment
, A CEO seeks to better use the economies of scale and scope of
production to increase the international company's profits.
Which type of globalization driver is the CEO seeking to use?
Cost
A CEO is discussing an expansion of production of a company's
highly perishable dairy line in a country that can offer low labor
costs and good internet connections. The country has no highways,
and roads are poorly maintained.
Which challenge to international business expansion do the road
conditions present?
Infrastructure
Which argument is used by critics who wish to discourage
movement towards globalization?
It increases the wealth of the rich rather than the poor
Anarchism
Individuals control political activities, and the government has no
control over these activities
Totalitarianism
A centralized government creates oppressive policies based on
ideas from powerful leadership.
Direct democracy
The government provides a method of voting for the people of a
country, not for elected officials.
What is a free trade zone?
A geographic region in which a county will reduce restrictions that
might prevent or reduce trade
Which term describes a government giving a tax break to a
producer to increase their global competitiveness?
Subsidies
Industrialized
Prevalent formation of new markets with possibility of saturation
Less-developed
