1. Which of the following is a benefit of pursuing a global

strategy?

a) Increased market share and profitability

b) Reduced costs and risks

c) Enhanced learning and innovation

d) All of the above

Answer: d) All of the above

Rationale: A global strategy allows a firm to access new

markets, customers, and resources, which can lead to

increased sales, profits, and economies of scale. It also

enables a firm to diversify its sources of revenue and

reduce its exposure to fluctuations in demand, exchange

rates, and regulations. Furthermore, a global strategy can

foster learning and innovation by exposing a firm to

different technologies, best practices, and customer

preferences.

2. Which of the following is a challenge of pursuing a

global strategy?

a) Managing cultural differences

b) Adapting to local preferences

c) Dealing with trade barriers

d) All of the above

Answer: d) All of the above

Rationale: A global strategy requires a firm to deal with

various cultural, political, legal, and economic differences