WGU D080 Managing in a Global
Business Environment Exam Q&A 100%
Solved
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
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.
1|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
,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
2|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
,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
3|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
, 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.
4|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
Business Environment Exam Q&A 100%
Solved
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
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.
1|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
,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
2|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
,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
3|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
, 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.
4|Page
©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025.
