Crucial Exams

Project Management Professional Practice Question

A project manager is leading a domestic software-as-a-service (SaaS) project that purchases cloud infrastructure from a vendor with data centers located in several countries. The sponsor argues that, because all users and team members are located in the same country, tracking geopolitical developments is unnecessary and wastes effort. Which of the following statements BEST explains why the project manager should still monitor geopolitical trends as part of the external business environment assessment?

  • Because the project's stakeholders have agreed to fixed-price contracts, external economic shifts caused by geopolitics cannot influence the project budget or schedule.

  • Monitoring geopolitical events is the responsibility of the portfolio management office, so the project manager gains no benefit from doing so.

  • Geopolitical events only affect projects that physically cross national borders; domestic projects are insulated from their impact.

  • Geopolitical tensions can trigger changes such as currency fluctuations, trade restrictions, or cloud-service export controls that may increase costs or disrupt the availability of critical resources, even for a purely domestic project.

Project Management Professional
Business Environment
Your Score:
Settings & Objectives
Random Mixed
Questions are selected randomly from all chosen topics, with a preference for those you haven’t seen before. You may see several questions from the same objective or domain in a row.
Rotate by Objective
Questions cycle through each objective or domain in turn, helping you avoid long streaks of questions from the same area. You may see some repeat questions, but the distribution will be more balanced across topics.

Check or uncheck an objective to set which questions you will receive.

Wipe Score
Bash, the Crucial Exams Chat Bot
AI Bot