Economics > QUESTIONS & ANSWERS > WGU C211 - Global Economics for Managers (All)

WGU C211 - Global Economics for Managers

Document Content and Description Below

WGU C211 - Global Economics for Managers Views on Globalization Ans- New, Evolutionary, and Pendulum "New" view on globalization Ans- A force sweeping through the world in recent times. "Evolution... ary" view on globalization Ans- A long-run historical evolution since the dawn of human history "Pendulum" view on globalization Ans- One that swings from one extreme to another from time to time Foreign Direct Investment Ans- Direct investment in, control, and management of value-added activities in other countries Political views on FDI Ans- Radical View, Free Market View, Pragmatic Nationalism Benefits to a country receiving FDI Ans- Capital Inflow, Technology Spillover, Advanced Management Know-How, Job creation Costs to a country receiving FDI Ans- Loss of Sovereignty, Adverse effects on competition, Capital outflow. How do resources and capabilities influence the competitive dynamics of a business? AnsResource similarity and market commonality can yield a powerful framework for competitor analysis. Resource similarity Ans- 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? Ans- 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 Ans- Mercantilism, Absolute advantage, and Comparative advantage Modern theory view Ans- Dynamic Classical theory view Ans- Static Absolute advantage Ans- The economic advantage one nation enjoys that is superior to other nations Comparative advantage Ans- The advantage one economic activity nation enjoys in comparison with other nations (relative, not absolute) Mercantilism Ans- 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? Ans- New, Maturing, and Standardized Strategic trade Ans- 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? Ans- 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. Which theory came first? Ans- Mercantilism (although both are of the idea that governments should actively protect domestic industries from imports and vigorously promote exports) If a company seeks to limit foreign exchange rate exposure in the forward direction, what is the most effective way to do this? Ans- Forward transactions, an act know as currency hedging. Transaction risk Ans- The exchange rate risk associated with the time delay between entering into a contract and settling it. Hedging Ans- A transaction, such as forward transactions, that protects traders and investors from exposure to the fluctuations of the spot rate. Currency hedging Ans- A way to protect traders and investors from being exposed to the fluctuations of the spot rate Strategic hedging Ans- A means of spreading out activities in different currency zones in order to offset the currency losses in certain regions through gains in other regions (currency diversification) First mover advantages Ans- Proprie [Show More]

Last updated: 1 year ago

Preview 1 out of 23 pages

Add to cart

Instant download

We Accept:

We Accept
document-preview

Buy this document to get the full access instantly

Instant Download Access after purchase

Add to cart

Instant download

We Accept:

We Accept

Reviews( 0 )

$8.00

Add to cart

We Accept:

We Accept

Instant download

Can't find what you want? Try our AI powered Search

OR

REQUEST DOCUMENT
74
0

Document information


Connected school, study & course


About the document


Uploaded On

Feb 11, 2023

Number of pages

23

Written in

Seller


seller-icon
Native

Member since 2 years

3 Documents Sold


Additional information

This document has been written for:

Uploaded

Feb 11, 2023

Downloads

 0

Views

 74

Document Keyword Tags

What is Browsegrades

In Browsegrades, a student can earn by offering help to other student. Students can help other students with materials by upploading their notes and earn money.

We are here to help

We're available through e-mail, Twitter, Facebook, and live chat.
 FAQ
 Questions? Leave a message!

Follow us on
 Twitter

Copyright © Browsegrades · High quality services·