WGU C211 - Global Economics for
Managers Latest 2022 Already Passed
Views on Globalization ✔✔New, Evolutionary, and Pendulum
"New" view on globalization ✔✔A force sweeping through the world in recent times.
"Evolutionary" view on globalization ✔✔A long-run historical evolution since the dawn of human
history
"Pendulum" view on globalization ✔✔One that swings from one extreme to another from time to
time
Foreign Direct Investment ✔✔Direct investment in, control, and management of value-added
activities in other countries
Political views on FDI ✔✔Radical View, Free Market View, Pragmatic Nationalism
Benefits to a country receiving FDI ✔✔Capital Inflow, Technology Spillover, Advanced
Management Know-How, Job creation
Costs to a country receiving FDI ✔✔Loss of Sovereignty, Adverse effects on competition,
Capital outflow.
How do resources and capabilities influence the competitive dynamics of a business? ✔✔Resource
similarity and market commonality can yield a powerful framework for competitor analysis.
Resource similarity ✔✔The extent to which a given competitor possesses strategic endowment
comparable, in terms of both type and amount, to those of the focal firm.
, How does resource similarity impact competitive dynamics? ✔✔Firms with a high degree are
likely to have similar competitive actions. (Starbuck's instant coffee & McDonald's iced coffee)
Classical theories of international trade ✔✔Mercantilism, Absolute advantage, and Comparative
advantage
Modern theory view ✔✔Dynamic
Classical theory view ✔✔Static
Absolute advantage ✔✔The economic advantage one nation enjoys that is superior to other nations
Comparative advantage ✔✔The advantage one economic activity nation enjoys in comparison
with other nations (relative, not absolute)
Mercantilism ✔✔A theory that suggests that the wealth of the world is fixed and that a nation that
exports more and imports less will be richer.
Features of the product life cycle? ✔✔New, Maturing, and Standardized
Strategic trade ✔✔Intervention by governments in certain industries can enhance their odds for
international success.
How are supply and demand related to the exchange rate of a country? ✔✔The price of a
commodity, a country's currency, is fundamentally determined by this. Strong demand leads to
price hikes; oversupply results in price drops.
Managers Latest 2022 Already Passed
Views on Globalization ✔✔New, Evolutionary, and Pendulum
"New" view on globalization ✔✔A force sweeping through the world in recent times.
"Evolutionary" view on globalization ✔✔A long-run historical evolution since the dawn of human
history
"Pendulum" view on globalization ✔✔One that swings from one extreme to another from time to
time
Foreign Direct Investment ✔✔Direct investment in, control, and management of value-added
activities in other countries
Political views on FDI ✔✔Radical View, Free Market View, Pragmatic Nationalism
Benefits to a country receiving FDI ✔✔Capital Inflow, Technology Spillover, Advanced
Management Know-How, Job creation
Costs to a country receiving FDI ✔✔Loss of Sovereignty, Adverse effects on competition,
Capital outflow.
How do resources and capabilities influence the competitive dynamics of a business? ✔✔Resource
similarity and market commonality can yield a powerful framework for competitor analysis.
Resource similarity ✔✔The extent to which a given competitor possesses strategic endowment
comparable, in terms of both type and amount, to those of the focal firm.
, How does resource similarity impact competitive dynamics? ✔✔Firms with a high degree are
likely to have similar competitive actions. (Starbuck's instant coffee & McDonald's iced coffee)
Classical theories of international trade ✔✔Mercantilism, Absolute advantage, and Comparative
advantage
Modern theory view ✔✔Dynamic
Classical theory view ✔✔Static
Absolute advantage ✔✔The economic advantage one nation enjoys that is superior to other nations
Comparative advantage ✔✔The advantage one economic activity nation enjoys in comparison
with other nations (relative, not absolute)
Mercantilism ✔✔A theory that suggests that the wealth of the world is fixed and that a nation that
exports more and imports less will be richer.
Features of the product life cycle? ✔✔New, Maturing, and Standardized
Strategic trade ✔✔Intervention by governments in certain industries can enhance their odds for
international success.
How are supply and demand related to the exchange rate of a country? ✔✔The price of a
commodity, a country's currency, is fundamentally determined by this. Strong demand leads to
price hikes; oversupply results in price drops.
