MNGT 4800 EXAM 3 QUESTIONS AND
ANSWERS 100% PASS 2026/2027
Globalization - ANS A process involving closer integration and exchange between countries
and peoples worldwide
Made possible by falling trade and investment barriers, advances in telecommunications, and
reductions in transportation costs
Global strategy - ANS Part of a firm's corporate strategy to:
•Gain and sustain a competitive advantage.
•Compete against foreign and domestic companies.
Foreign direct investment:
•Investments in value chain activities abroad.
Multinational enterprise:
•Deploys resources and capabilities in two countries or more.
Stages of globalization - ANS 1.0: 1900-1941
2.0: 1945-2000
3.0: 21st century
@2026 ALLRIGHTS RESERVED 1
, Advantages of international expansion - ANS -access new markets
-access lower cost inputs
-develop new competencies
disadvantages of international expansion - ANS -liability of foreignness
-loss of reputation
-loss of intellectual property
integration-responsiveness framework - ANS strategy framework that juxtaposes the
pressures an MNE faces for cost reductions and local responsiveness to derive four different
strategies to gain and sustain competitive advantage when competing globally
- Cultural.
•Administrative and political.
•Geographic.
Economic - ANS What does CAGE stand for?
CAGE distance framework - ANS Distance is the main cost and risk of expansion.
Guides multinational enterprise decisions on which countries to enter.
local responsiveness - ANS tailoring to specific preferences in global competition
international strategy - ANS trying to create value by transferring core competencies to
foreign markets where indigenous competitors lack those competencies
@2026 ALLRIGHTS RESERVED 2
ANSWERS 100% PASS 2026/2027
Globalization - ANS A process involving closer integration and exchange between countries
and peoples worldwide
Made possible by falling trade and investment barriers, advances in telecommunications, and
reductions in transportation costs
Global strategy - ANS Part of a firm's corporate strategy to:
•Gain and sustain a competitive advantage.
•Compete against foreign and domestic companies.
Foreign direct investment:
•Investments in value chain activities abroad.
Multinational enterprise:
•Deploys resources and capabilities in two countries or more.
Stages of globalization - ANS 1.0: 1900-1941
2.0: 1945-2000
3.0: 21st century
@2026 ALLRIGHTS RESERVED 1
, Advantages of international expansion - ANS -access new markets
-access lower cost inputs
-develop new competencies
disadvantages of international expansion - ANS -liability of foreignness
-loss of reputation
-loss of intellectual property
integration-responsiveness framework - ANS strategy framework that juxtaposes the
pressures an MNE faces for cost reductions and local responsiveness to derive four different
strategies to gain and sustain competitive advantage when competing globally
- Cultural.
•Administrative and political.
•Geographic.
Economic - ANS What does CAGE stand for?
CAGE distance framework - ANS Distance is the main cost and risk of expansion.
Guides multinational enterprise decisions on which countries to enter.
local responsiveness - ANS tailoring to specific preferences in global competition
international strategy - ANS trying to create value by transferring core competencies to
foreign markets where indigenous competitors lack those competencies
@2026 ALLRIGHTS RESERVED 2
