WGU C211 Study Guide Questions
Latest 2022 Already Passed
Views of globalization (Chp 1.4) ✔✔1. It's a new phenomenom, starting in the late 20th century.
2. It's a long term part of human history.
3. Neither recent nor one directional, it's a pendulum that swings back and forth.
Strategic goal = Natural resource—seeking ✔✔Location specific advantage = Possession of
natural resources and related transport and communication infrastructure
Strategic goal = Market-seeking ✔✔Location specific advantage = Abundance of strong market
demand and customers willing to pay
Strategic goal = Efficiency-seeking ✔✔Location specific advantage = Economies of scale and
abundance of low-cost factors
Strategic goal = Innovation-seeking ✔✔Location specific advantage = Abundance of innovative
individuals, firms, and universities
Name first mover advantages: (Chp 10.3) ✔✔1. Proprietary, technological leadership
2. Pre-emption of scarce resources
3. Establishment of entry barriers for late entrants
4. Avoidance of clash with dominant firms at home
5. Relationships with key stakeholders such as governments
Name late mover advantages: (Chp 10.3) ✔✔1. Opportunity to free ride on first-mover
investments
2. Resolution of technological and market uncertainty
3. First mover's difficulty to adapt to market changes
, Name strategic goals supported by location specific advantages (Chp 10.2) ✔✔1. Natural
resources
2. Market
3. Efficiency
4. Innovation
Proposition (1) underpinning an institution based view of global business. ✔✔Managers and firms
rationally pursue their interests and make choices within the formal and informal constraints in a
given institutional framework
Proposition (2) underpinning an institution based view of global business. ✔✔While formal and
informal institutions combine to govern firm behavior, in situations where formal constraints are
unclear or fail, informal constraints will play a larger role in reducing uncertainty and providing
constancy to managers and firms
Market economy ✔✔An economy that is characterized by the "invisible hand" of market forces.
Command economy ✔✔An economy that is characterized by government ownership and control
of factors of production.
Mixed economy ✔✔An economy that has elements of both a market economy and a command
economy.
Property rights ✔✔The legal rights to use an economic property (resource) and to derive income
and benefits from it.
Purpose of property rights ✔✔The formal protection of property rights helps to facilitate economic
growth.
Latest 2022 Already Passed
Views of globalization (Chp 1.4) ✔✔1. It's a new phenomenom, starting in the late 20th century.
2. It's a long term part of human history.
3. Neither recent nor one directional, it's a pendulum that swings back and forth.
Strategic goal = Natural resource—seeking ✔✔Location specific advantage = Possession of
natural resources and related transport and communication infrastructure
Strategic goal = Market-seeking ✔✔Location specific advantage = Abundance of strong market
demand and customers willing to pay
Strategic goal = Efficiency-seeking ✔✔Location specific advantage = Economies of scale and
abundance of low-cost factors
Strategic goal = Innovation-seeking ✔✔Location specific advantage = Abundance of innovative
individuals, firms, and universities
Name first mover advantages: (Chp 10.3) ✔✔1. Proprietary, technological leadership
2. Pre-emption of scarce resources
3. Establishment of entry barriers for late entrants
4. Avoidance of clash with dominant firms at home
5. Relationships with key stakeholders such as governments
Name late mover advantages: (Chp 10.3) ✔✔1. Opportunity to free ride on first-mover
investments
2. Resolution of technological and market uncertainty
3. First mover's difficulty to adapt to market changes
, Name strategic goals supported by location specific advantages (Chp 10.2) ✔✔1. Natural
resources
2. Market
3. Efficiency
4. Innovation
Proposition (1) underpinning an institution based view of global business. ✔✔Managers and firms
rationally pursue their interests and make choices within the formal and informal constraints in a
given institutional framework
Proposition (2) underpinning an institution based view of global business. ✔✔While formal and
informal institutions combine to govern firm behavior, in situations where formal constraints are
unclear or fail, informal constraints will play a larger role in reducing uncertainty and providing
constancy to managers and firms
Market economy ✔✔An economy that is characterized by the "invisible hand" of market forces.
Command economy ✔✔An economy that is characterized by government ownership and control
of factors of production.
Mixed economy ✔✔An economy that has elements of both a market economy and a command
economy.
Property rights ✔✔The legal rights to use an economic property (resource) and to derive income
and benefits from it.
Purpose of property rights ✔✔The formal protection of property rights helps to facilitate economic
growth.
