lOMoAR cPSD| 7670600
WGU D080 Managing In A Global Business
Environment Module 1-12 Questions And Answers
Latest Study Solutions
Module 1:
1. What is globalization? It’s the process of increasing connectivity between countries. This
is driven by the flow of goods among countries. “Open to other countries”.
2. What business opportunities are presented by globalization? Globalization allows
businesses to reach customers and locate cheaper manufacturing and labor.
.
3. What are the economic, political, and cultural effects of globalization?
a) Describe economic globalization and its effects. Businesses can move production
to where the costs of making their products are lower, therefore prices decrease as well
for their customers.
b). Describe political globalization and its effects. Pushes countries to work closer
together through trade agreements, etc. Relates to the supernational
c). Describe cultural globalization and its effects: globalization allows businesses to adapt
to global trends and cultural differences. This can also lead to the spread of cultural ideas
such as food, fashion, etc. Negative is that cultures may lose their uniqueness.
4. What are the arguments for and against globalization from a country's perspective?
Arguments for Globalization Arguments Against Globalization
Opens up trade to other countries Increased competition for local businesses
, lOMoAR cPSD| 7670600
Spreads knowledge and innovation easier Can lead to certain job roles being lost
Economic integration and growth Can negatively affect the environment
Wealthy people become richer at the expense of
others
Can overall increase job opportunities Can lead/create sweatshops and decrease
working conditions
Can cause certain countries to isolate
themselves if they do not want to participate in
globalization
5. Explain the 5 stages of entering a global market. (See Lesson 2)
a) First stage (market entry), figuring out how to enter a new market
b) Second stage (product specialization) When companies transfer production of a
single product to a lower cost area
, lOMoAR cPSD| 7670600
c) Third stage (value chain disaggregation) When companies disaggregate the
production process. Can lead to certain product aspects being produced in
different places
d) Fourth stage (value chain reengineering), when companies increase cost savings
by changing their process to best fit the local market. This is done by changing
the lower cost of labor for capital
e) Fifth stage (creation of new markets) When companies focus on market
expansion. This results in lowering prices.
6. Explain Four drivers of globalization (See Lesson 2)
a) Market – explain convergence of needs: focuses on customer needs,
preference
b) Cost – define economies of scale and economies of scope: economies of
scale focuses on increasing production of a single good, while scope
focuses on increasing production of a variety. Both lead to reduced costs
and increase efficiency.
c) Competition: Include technology advancements of competitors and trade polices
d) Government—Give examples of favorable policies and explain support for
industries: Presence or absence of fav trade policies. Subsidies, financial benefit.
7. What is the difference between the world is flat view and the CAGE analysis?
a) Describe the world is flat view Thomas Friedman identified that globalization
levels out (flattens) the competition for countries, companies, etc. distance
is shortened, can see what is happening easily across the world.
b) Describe CAGE analysis : compare to home country and target country/market
i. “C” is for culture –explain: Considers the difference in
cultures between 2 countries
ii. “A” is for administration –provide an
WGU D080 Managing In A Global Business
Environment Module 1-12 Questions And Answers
Latest Study Solutions
Module 1:
1. What is globalization? It’s the process of increasing connectivity between countries. This
is driven by the flow of goods among countries. “Open to other countries”.
2. What business opportunities are presented by globalization? Globalization allows
businesses to reach customers and locate cheaper manufacturing and labor.
.
3. What are the economic, political, and cultural effects of globalization?
a) Describe economic globalization and its effects. Businesses can move production
to where the costs of making their products are lower, therefore prices decrease as well
for their customers.
b). Describe political globalization and its effects. Pushes countries to work closer
together through trade agreements, etc. Relates to the supernational
c). Describe cultural globalization and its effects: globalization allows businesses to adapt
to global trends and cultural differences. This can also lead to the spread of cultural ideas
such as food, fashion, etc. Negative is that cultures may lose their uniqueness.
4. What are the arguments for and against globalization from a country's perspective?
Arguments for Globalization Arguments Against Globalization
Opens up trade to other countries Increased competition for local businesses
, lOMoAR cPSD| 7670600
Spreads knowledge and innovation easier Can lead to certain job roles being lost
Economic integration and growth Can negatively affect the environment
Wealthy people become richer at the expense of
others
Can overall increase job opportunities Can lead/create sweatshops and decrease
working conditions
Can cause certain countries to isolate
themselves if they do not want to participate in
globalization
5. Explain the 5 stages of entering a global market. (See Lesson 2)
a) First stage (market entry), figuring out how to enter a new market
b) Second stage (product specialization) When companies transfer production of a
single product to a lower cost area
, lOMoAR cPSD| 7670600
c) Third stage (value chain disaggregation) When companies disaggregate the
production process. Can lead to certain product aspects being produced in
different places
d) Fourth stage (value chain reengineering), when companies increase cost savings
by changing their process to best fit the local market. This is done by changing
the lower cost of labor for capital
e) Fifth stage (creation of new markets) When companies focus on market
expansion. This results in lowering prices.
6. Explain Four drivers of globalization (See Lesson 2)
a) Market – explain convergence of needs: focuses on customer needs,
preference
b) Cost – define economies of scale and economies of scope: economies of
scale focuses on increasing production of a single good, while scope
focuses on increasing production of a variety. Both lead to reduced costs
and increase efficiency.
c) Competition: Include technology advancements of competitors and trade polices
d) Government—Give examples of favorable policies and explain support for
industries: Presence or absence of fav trade policies. Subsidies, financial benefit.
7. What is the difference between the world is flat view and the CAGE analysis?
a) Describe the world is flat view Thomas Friedman identified that globalization
levels out (flattens) the competition for countries, companies, etc. distance
is shortened, can see what is happening easily across the world.
b) Describe CAGE analysis : compare to home country and target country/market
i. “C” is for culture –explain: Considers the difference in
cultures between 2 countries
ii. “A” is for administration –provide an
