This document provides an overview of the course content for BUSN 427 Global Issues in Business, which includes weekly discussion questions, assignments, and a final exam. The course covers topics such as the impact of technology on globalization, ethics of outsourcing, trade agreements, foreign market entry strategies, and human resource management for multinational corporations. Assignments involve analyzing case studies on companies such as Panasonic, CEMEX, and Procter & Gamble conducting international business.
In the Business Perspectives for Emerging Markets 2012-2017 Report from GIA, 431 large and mid-sized companies reveal their true goals and intentions. This presentation shows selected slides from a GIA white paper. To download the entire white paper that you are interested in, please visit http://bit.ly/GIAinsightWP
1. 70% say they want to gain a foothold for long term success
2. 51% say they were keen to gain global market share
3. 4 out of 10 have followed their customers to Emerging Markets
4. A third are looking for growth outside established markets with lackluster growth and profits
5. 1 out of 4 are keen to diversify their risks, as well as tap into short to medium term profits and growth
6. Only 17% said it was to lower supply costs
Many still favor BRIC countries as their top focus between 2012 and 2017, with similar emphasis on individual markets across 10 industries.
However, 91% admit to wanting to have done things differently in their Emerging Market strategies. The main regrets are not adapting more to local conditions, not entering sooner and not acquiring better market intelligence.
Over half say that information on Emerging Markets is not readily available in their organizations, with three out of four doubting the accuracy and completeness of the information that they do have.
Download the Business Perspectives for Emerging Markets 2012-2017 Report (Global Results) from GIA, to find out how companies say they will tackle Emerging Markets and what they see as the success factors and threats for their individual industries. The wide ranging Emerging Markets survey covered questions such as:
- How do you define Emerging Markets in your company?
- Which are the top Emerging Markets for your industry over the next five years?
- What key factors will determine whether foreign companies succeed in Emerging Markets?
- What are the biggest threats to succeeding in Emerging Markets?
- What are your company’s main reasons for investing in Emerging Markets?
- What share of your company’s global revenue do you expect to come from Emerging Markets?
- Which one aspect of your Emerging Markets strategy would you go back and change if you could?
Industries covered include: Manufacturing & Industrial; Telecommunication, Technology & Media; Professional & Business Services; Financial Services; Consumer & Retail; Pharmaceuticals & Healthcare; Energy, Resources & Environment; Automotive; Chemicals; Logistics & Transportation.
Ranking M&A Mergermarket. Primer semestre de 2015 PwC España
PwC continúa como líder en el mercado de asesoramiento en fusiones y adquisiciones en España (M&A) durante los primeros seis meses del año. Según uno de los principales informes del mercado (ver pág.20), elaborado por Mergermarket y que se acaban de publicar, la firma encabeza la lista por número de operaciones cerradas entre enero y junio de este año.
Managing Automotive Export Sales Planning and Order Fulfillment in a Volatile...Cognizant
In today's uncertain business landscape, automotive firms need systems and processes aligned with changing market dynamics to better contend with unplanned disruptions, supply capabilities and strategic direction.
China silicon carbide industry report, 2016 2020ResearchInChina
Since China's silicon carbide export quota was abolished, China’s silicon carbide export volume grew rapidly during 2013-2014, and tended to stabilize during 2015-2016. In 2016, China’s silicon carbide exports came to 321,500 tons, up 2.1% year on year; wherein, Ningxia’s export volume amounted to 111,900 tons, accounting for 34.9% of the total exports and acting as a main silicon carbide exporter in China.
As China's silicon carbide products are mainly low-end preliminarily processed products with moderate added value, the average price gap between export and import is enormous. In 2016, China's silicon carbide exports had the average price at USD0.9 / kg, less than 1/4 of the import average price (USD4.3 / kg).
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15/9A Hồng Hà, P.2, Q.Tân Bình, TP.HCM
Modified approximate 8-point multiplier less DCT like transformIJERA Editor
Discrete Cosine Transform (DCT) is widely usedtransformation for compression in image and video standardslike H.264 or MPEGv4, JPEG etc. Currently the new standarddeveloped Codec is Highly Efficient Video Coding (HEVC) orH.265. With the help of the transformation matrix the computational cost can be dynamically reduce. This paper proposesa novel approach of multiplier-less modified approximate DCT like transformalgorithm and also comparison with exact DCT algorithm and theapproximate DCT like transform. This proposed algorithm willhave lower computational complexity. Furthermore, the proposedalgorithm will be modular in approach, and suitable for pipelinedVLSI implementation.
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
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In the Business Perspectives for Emerging Markets 2012-2017 Report from GIA, 431 large and mid-sized companies reveal their true goals and intentions. This presentation shows selected slides from a GIA white paper. To download the entire white paper that you are interested in, please visit http://bit.ly/GIAinsightWP
1. 70% say they want to gain a foothold for long term success
2. 51% say they were keen to gain global market share
3. 4 out of 10 have followed their customers to Emerging Markets
4. A third are looking for growth outside established markets with lackluster growth and profits
5. 1 out of 4 are keen to diversify their risks, as well as tap into short to medium term profits and growth
6. Only 17% said it was to lower supply costs
Many still favor BRIC countries as their top focus between 2012 and 2017, with similar emphasis on individual markets across 10 industries.
However, 91% admit to wanting to have done things differently in their Emerging Market strategies. The main regrets are not adapting more to local conditions, not entering sooner and not acquiring better market intelligence.
Over half say that information on Emerging Markets is not readily available in their organizations, with three out of four doubting the accuracy and completeness of the information that they do have.
Download the Business Perspectives for Emerging Markets 2012-2017 Report (Global Results) from GIA, to find out how companies say they will tackle Emerging Markets and what they see as the success factors and threats for their individual industries. The wide ranging Emerging Markets survey covered questions such as:
- How do you define Emerging Markets in your company?
- Which are the top Emerging Markets for your industry over the next five years?
- What key factors will determine whether foreign companies succeed in Emerging Markets?
- What are the biggest threats to succeeding in Emerging Markets?
- What are your company’s main reasons for investing in Emerging Markets?
- What share of your company’s global revenue do you expect to come from Emerging Markets?
- Which one aspect of your Emerging Markets strategy would you go back and change if you could?
Industries covered include: Manufacturing & Industrial; Telecommunication, Technology & Media; Professional & Business Services; Financial Services; Consumer & Retail; Pharmaceuticals & Healthcare; Energy, Resources & Environment; Automotive; Chemicals; Logistics & Transportation.
Ranking M&A Mergermarket. Primer semestre de 2015 PwC España
PwC continúa como líder en el mercado de asesoramiento en fusiones y adquisiciones en España (M&A) durante los primeros seis meses del año. Según uno de los principales informes del mercado (ver pág.20), elaborado por Mergermarket y que se acaban de publicar, la firma encabeza la lista por número de operaciones cerradas entre enero y junio de este año.
Managing Automotive Export Sales Planning and Order Fulfillment in a Volatile...Cognizant
In today's uncertain business landscape, automotive firms need systems and processes aligned with changing market dynamics to better contend with unplanned disruptions, supply capabilities and strategic direction.
China silicon carbide industry report, 2016 2020ResearchInChina
Since China's silicon carbide export quota was abolished, China’s silicon carbide export volume grew rapidly during 2013-2014, and tended to stabilize during 2015-2016. In 2016, China’s silicon carbide exports came to 321,500 tons, up 2.1% year on year; wherein, Ningxia’s export volume amounted to 111,900 tons, accounting for 34.9% of the total exports and acting as a main silicon carbide exporter in China.
As China's silicon carbide products are mainly low-end preliminarily processed products with moderate added value, the average price gap between export and import is enormous. In 2016, China's silicon carbide exports had the average price at USD0.9 / kg, less than 1/4 of the import average price (USD4.3 / kg).
Mỹ phẩm chăm sóc da - trang điểm - chăm sóc cá nhân và baby.
Nhà phân phối độc quyền công ty TNHH Phố Mỹ Phẩm.
08 6296 8524
Website: phomypham.com.vn
15/9A Hồng Hà, P.2, Q.Tân Bình, TP.HCM
Modified approximate 8-point multiplier less DCT like transformIJERA Editor
Discrete Cosine Transform (DCT) is widely usedtransformation for compression in image and video standardslike H.264 or MPEGv4, JPEG etc. Currently the new standarddeveloped Codec is Highly Efficient Video Coding (HEVC) orH.265. With the help of the transformation matrix the computational cost can be dynamically reduce. This paper proposesa novel approach of multiplier-less modified approximate DCT like transformalgorithm and also comparison with exact DCT algorithm and theapproximate DCT like transform. This proposed algorithm willhave lower computational complexity. Furthermore, the proposedalgorithm will be modular in approach, and suitable for pipelinedVLSI implementation.
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
help.mbaassignments@gmail.com
or
call us at : 08263069601
Question 11. Using Microsoft Excel, draw a graph illustrating the .docxIRESH3
Question 11. Using Microsoft Excel, draw a graph illustrating the supply and demand in this market.Using Microsoft Excel, draw a graph illustrating the supply and demand in this market.Price/ComputerQuantity DemandedQuantity Supplied2001000220017512502050150150019001251750175010020001600752250145050250013002527501150
Supply22002050190017501600145013001150200175150125100755025Demand10001250150017502000225025002750200175150125100755025
Volumes
Prices
Question 2What is the equilibrium Price and Quantity in the market?Your response comes here
Supply22002050190017501600145013001150200175150125100755025Demand10001250150017502000225025002750200175150125100755025
Volumes
Prices
Question 3Now suppose the government imposes a special tax on these computers. Describe what would happen in this market in terms of the supply and demand curve.Price/ComputerQuantity DemandedQuantity SuppliedPrice supplied + 100 tax2001000220030017512502050275150150019002501251750175022510020001600200752250145017550250013001502527501150125Your response comes here
Supply22002050190017501600145013001150200175150125100755025Demand10001250150017502000225025002750200175150125100755025Supply + 100 tax22002050190017501600145013001150300275250225200175150125
Volumes
Prices
Question 4 Disregard the new tax in part three. Now assume that the government imposes a price ceiling of $100 in this market, as a result of protests of price gauging by the sellers. What would happen to the price and quantity in this market?Price/ComputerQuantity DemandedQuantity SuppliedPrice ceeling2001000220010017512502050100150150019001001251750175010010020001600100752250145010050250013001002527501150100Your response comes here
Supply22002050190017501600145013001150200175150125100755025Demand10001250150017502000225025002750200175150125100755025Price ceeling 10010001250150017502000225025002750100100100100100100100100
Volumes
Prices
Question 5Disregard the events of part four. Assume that the manufacturers of this product lobby the government’s lawmakers, in terms of this product being an essential for college students but they are considering halting production due to the lack of profits. The lawmakers agree and now set a price floor at $150. What would happen in this market?Price/ComputerQuantity DemandedQuantity SuppliedPrice ceeling2001000220015017512502050150150150019001501251750175015010020001600150752250145015050250013001502527501150150Your response comes here
Supply22002050190017501600145013001150200175150125100755025Demand10001250150017502000225025002750200175150125100755025Price ceeling 15010001250150017502000225025002750150150150150150150150150
Volumes
Prices
Question 6If consumers’ expectations were such that they were concerned about the economy and jobs, what would you think would happen in this market?Price/ComputerQuantity DemandedQuantity SuppliedLower demand for bad expectations2001000220070017512502050950150150019001200125175017501450100200016001700752250145019505025001300220025275011502 ...
BUSS2067 - Lecture 3 - Participants in International BusinessPreston Teeter, PhD
In this lecture, we cover some of the major participants in international business. These participants include multinational enterprises (MNE/MNC), born-global firms (such as Uber, covered in this lecture), and SMEs. We also address the rise and fall of the retail sector and the implications of this phenomenon for these players.
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
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Daniele Archibugi - Seminario 'Nuevos enfoques sobre políticas de innovación'Fundación Ramón Areces
Los días 13 y 14 de marzo de 2014, la Fundación Ramón Areces organizó con el Instituto de Estudios de la Innovación (IREIN) y el Foro de Empresas Innovadoras una jornada sobre 'Nuevos enfoques sobre políticas de innovación'. Contó con la intervención de destacados expertos internacionales como Luc Soete, rector de la Universidad de Maastricht; Julia Lane, del American Institutes for Research (AIR) de Estados Unidos; Giovanni Dosi,
del Institute of Economics de la Scuola Superiore Sant'Anna (Italia); Daniele Archibugi, del CNRS y del Birkbeck College de la University of London; John Cantwell, del Rutgers Business School de Rutgers University (Estados Unidos); Jorge Katz, de la Universidad de Chile; Tom Hockaday, del ISIS Innovation de la Universidad de Oxford (Reino Unido), y Johan Schot, del Science and Technology Policy Research de la University of Sussex (Reino Unido).
1. Please visit the following link on the Economist.com and an.docxjackiewalcutt
1. Please visit the following link on the Economist.com and answer the following three questions based
on data from any of the tables here. (There are about half a dozen tables linked under “economic and
financial indicators” on the right side of the page. These tables contain data on output, prices, wages,
inflation, interest rates etc.)
http://www.economist.com/markets-data
For the purposes of answering these questions, assume that interest rates refer to the annual rates on
10-year government bonds. If necessary, please state any other assumptions. Based on Britain (₤)
and Canada (C$):
a. For practical purposes, does real interest rate parity exist between these two countries? Please
show me your calculations.
b. Compared to last year, has the C$ appreciated or depreciated against the pound, and by how
much? (Please provide your reasoning and computations). Is this what you would expect based
on your answer to part a? Explain your reasoning.
c. Identify any two other factors from the tables that, in general, predict exchange rate appreciation
or depreciation, and determine if the appreciation or depreciation of the C$ is consistent with
what you might predict
2. In general, several variables appear to affect the future value of a currency. Everything else being
equal, with reference to the home country, clearly explain in a couple of sentences how each of the
following variables are likely to appreciate or depreciate the country’s currency: (please think
carefully before you answer these questions). (6 points)
a. Increase in GDP/output
b. Increase in money supply (M)
c. Increase in nominal interest rate (In)
d. Increase in real interest rate (Ir)
e. Increase in inflation
f. Increase in current account surplus
3. Compare and contrast home replication, global, transnational and multi-domestic strategies. Please
provide some examples of each type of strategy in your discussion. Please ensure that your
discussion contains an understanding of the conditions under which each strategy might be considered
appropriate.
2 points
2 points
2 points
2 points
3 points
4. You are considering exchanging Swiss Francs (SF) for Japanese Yen (Y). At the bank, you see the
following rates posted. (Please note that for full credit, you must show the steps to the correct answer
clearly and cleanly, not just the final answer.)
SF/$ = 0.9154 Y/$ = 100.26
a. What is the Y/SF exchange rate?
b. What is the SF/Y exchange rate?
c. If the SF appreciated by 10% what would then new rate be?
d. If the Yen depreciated by 25% relative to the original exchange rate (i.e. answer to part a, or
part b), what would the new rate be?
5. In recent months, several emerging markets such as India, Indonesia, Brazil and to a lesser extent
Brazil have seen a sharp depreciation of their currencies against the US dollar, as well as an increase
in volatility of their markets. In orde ...
Chapter 5 How Managers Use Balance of Payments Data – p.213Do.docxrobertad6
Chapter 5: How Managers Use Balance of Payments Data – p.213
Do some research on the items in the table below and see if you see a pattern with the various country’s economies:
1. What is the G7?
2. What is the E7?
G7 Countries
Continent where the country lies
GDP
Ease of Doing Business
1.
2.
3.
4.
5.
6.
7.
NOTE: When you find the GDP (Gross National Product) note the year – you may not have 2018 statistics. That is okay –find the latest data available. You may need to search for the Ranking of Ease of Doing Business – and then find the countries that make up the G7 or the E7.
NEXT PAGE!
E7 Countries
Continent where the country lies
GDP
Ease of Doing Business
1.
2.
3.
4.
5.
6.
7.
A. Compare the 2 groups of countries – explain your findings.
Globalization Effects on Country Institutions, People and Business
Chapter 3
Key Points for the Chapter
Economic development comprises positive economic growth and entails changes in a country’s political, economic, and cultural institutions, as well as in individual values, attitudes, and behaviors.
Economic development requires resources from public and private sectors, both internal and external.
Technology transfers by international corporations comprise manufacturing technologies, management organizations, and marketing know-how.
Intro: The Economic Development Process
Economic development is the progress countries make in living standards as they experience positive economic growth and the changes occurring in societal and cultural institutions and values as nations move toward more advanced stages of industrialization.
Economic progress demonstrates human progress, and more pragmatically, it keeps politicians in power, companies busy, and consumers (and voters) optimistic about the future.
Technology Transfers
International trade, investments, and global media have opened world markets up to a variety of modernizing influences.
In general terms, technology transfers occur as corporations enter new markets with products, technologies, lifestyles, and business methods developed in their home and other international markets.
Technology transfers first affect urban segments of developing countries where there are developed infrastructures and pocket of economically significant customers.
As media become commercialization and distribution channels are built into rural areas, greater proportions of developing-country populations come into contact with modernization influences.
4
Positive Effects
Positive effects occur as societies are exposed to broad varieties of products that make lives easier.
Convenience products such as packaged foods, and consumer durables such as refrigerators, radios, televisions, and stoves have positive effects on consumer lifestyles.
New technologies in manufacturing and distribution make products cheaper and more widely available. They provide employment opportunities for lo.
1. BUSN 427 Entire Course Global Issues in Business
Description:
BUSN 427 Global Issues in Business
Week 1
Week 1 DQ 1
Although the lowering of trade barriers made the globalization of markets and production a
theoretical possibility, technological change made it a tangible reality. How have changes in
technology contributed to the globalization of markets and of production? Would the
globalization of production and markets have been possible without these technological changes?
How does technology create global opportunity?
Week 1 DQ 2
A democratic political system is an essential condition for sustained economic progress. What
are your thoughts? Do you agree? Why or why not?
BUSN 427 Week 1 Assignment:
BUSN 427 Week 1 Assignment (Chapter 3; Differences in Culture Panasonic) 2000+ Words
Week 2
BUSN 427 Week 2 DQ 1
Under what conditions is it ethically defensible to outsource production to a developing world
where labor costs are lower when such actions also involve laying off long-term employees in
the firm’s home country?
2. BUSN 427 Week 2 DQ 2
What are the potential costs of adopting a free trade regime? Do you think government should do
anything to reduce these costs? Why?
BUSN 427 Week 2 Assignment:
BUSN 427 Week 2 Assignment (White collar jobs ) 1900+ Words
BUSN 427 Week 3
BUSN 427 Week 3 DQ 1
How might the political ideology of a host government influence the process of negotiating
access between the host government and a foreign MNE? In what ways or for what reasons
might a country encourage or discourage FDI because of its ideology?
BUSN 427 Week 3 DQ 2
What are the economic and political arguments for regional economic integration? Given these
arguments, why don’t we see more integration in the world economy?
BUSN 427 Week 3 Assignment:
BUSN 427 Week 3 Assignment (Chapter 7 Case Analysis CEMEX)
Week 4
3. BUSN 427 Week 4 DQ 1
Go to the Toys “R” Us sites for both the United States (www.toysrus.com) and the United
Kingdom (www.toysrus.co.uk) and try to identify price differences between markets. As a
consumer, do you have the right to demand equal prices? Why? As a company, how should you
respond to complaints regarding pricing structures?
BUSN 427 Week 4 DQ 2
The standard IMF policy prescribes tight monetary policy and reduced government spending for
developing nations experiencing a currency crisis. Is this always the right course of action? If
there was an alternate approach, how would it affect international businesses?
BUSN 427 Week 4 Assignment:
BUSN 427 Week 4 Course Project (BURLINGTON COAT FACTORY) 1450+ Words
Week 5
BUSN 427 Week 5 DQ 1
Do the Internet and international e-commerce change the choice of using a transnational strategy
that has historically been successful for firms expanding globally? Would it make a difference if
a firm relied heavily on traditional business channels versus just e-commerce?
BUSN 427 Week 5 DQ 2
From the perspective of a domestic firm, what are the advantages and disadvantages of licensing
the rights to the company’s production process and trademark to a firm in a foreign country?
What are some of the ways that a firm can reduce the risk of losing its proprietary know-how to
foreign companies through licensing agreements?
4. BUSN 427 Week 5 Assignment
BUSN 427 Week 5 Assignment (Chapter 11 Case Analysis Proctor and Gamble) 1050+
Words
Week 6
BUSN 427 Week 6 DQ 1
How might a company make strategic use of countertrade schemes as marketing weapons to
generate export sales revenues? What are the risks associated with pursuing such a strategy?
BUSN 427 Week 6 DQ 2
What are make-or-buy decisions? What are the advantages of make versus buy and visa versa?
Are
BUSN 427 Week 6 Assignment:
BUSN 427 Week 6 Assignment (Chapter 14 Case Analysis Boeing 787) 1050+ Words
Week 7
BUSN 427 Week 7 DQ 1
Within 20 years we will have seen the emergence of enormous global markets for standardized
consumer products. Do you agree with this statement? Why or why not?
BUSN 427 Week 7 DQ 2
5. What is the link between an international business’s strategy and its human resource
management policies, particularly with regard to the use of expatriate employees and their pay
scales?
BUSN 427 Week 7 Assignments:
BUSN 427 Week 7 Final Group Project (Group D)BURLINGTON COAT FACTORY 5200
Words
BUSN 427 Week 7 Peer Review
BUSN 427 Week 8 Final Exam
1. Question : (TCO 1) What organization was protested in Seattle in 1999?
2. Question : (TCO 2) According to Francis Fukuyama, the collapse of communism in eastern
Europe was followed by which of the following?
3. Question : (TCO 3) Which language is most widely spoken throughout the world?
4. Question : (TCO 3) Which theory deals with competitive advantage for countries?
5. Question : (TCO 4) In the last 30 years, the world economy has seen
6. Question : (TCO 5) Chile is included in which of the following regional integrations
organizations?
7. Question : (TCO 6) When a firm engages in hedging it is
1. Question : (TCO 8) What are the three staffing policies available to a multinational
corporation?
2. Question : (TCO 8) In distribution strategy, what are the four main differences between
countries?
3. Question : (TCO 3) India’s caste system has been around for many years. Explain why its
influence has diminished among educated urban middle class Indians.
4. Question : (TCO 3) In 2006, two Chinese journalists reported that the working conditions at
Hongfujin Precision Industries where Apple’s iPods are produced were substandard. According
6. to the report, not only were workers at the plant poorly paid, but they were also forced to work
overtime. Apple immediately responded to the allegations and audited the factory in question.
However, managers at the factory filed a defamation lawsuit against the two journalists. Despite
the fact that Apple’s audit did indeed show substandard working conditions at the factory,
Hongfujin did not withdraw the lawsuit. Eventually the Reporters Without Borders group took
up the case for the two reporters and the lawsuit was dropped. The allegations against Hongfujin
Precision Industries were made by two Chinese reporters. Discuss the implications of this for
other Chinese companies.
5. Question : (TCO 3) Exports are largely responsible for China’s recent rapid economic growth.
The country, capitalizing on its cheap labor force, has focused on converting raw materials into
products that are exported to developed countries such as the United States. In 2008, China’s
trade surplus was a record $280 billion, and its holdings of foreign exchange reserves were over
$1.95 trillion. Some critics have suggested that China is following a neomercantilist policy. Are
the claims that China is following a neomercantilist policy valid? Why or why not?
6. Question : (TCO 4) Telefonica is a Spanish telecommunications firm. For decades, Telefonica
had operated as a typical state-owned enterprise, but privatization and deregulation changed that
path in the 1990s. Telefonica began to aggressively pursue expansion opportunities in Latin
America where it quickly became the number one or two player in nearly every country. Later,
Telefonica turned its sights on Europe where its acquisitions helped transform the company into
the second biggest mobile phone operator in the world. What changes in political and economic
environment allowed Telefoncia to start expanding globally? Why did Telefonica initially focus
on Latin America? Why was it slower to expand in Europe even though Spain is a member of the
European Union?
7. Question : (TCO 7) Why did the world shift from a gold standard to fixed exchange rates?
1. Question : (TCO 5) Concerning European Union’s progress toward creating a single financial
market, the quest started in 1999 was to have been completed by 2005, however, progress has
been slowed by various factors related to the tradition of each member country operating
autonomously. By 2007, significant progress had been made. Some 41 measures designed to
create a single market were in place and others were in the pipeline. The current issue facing the
EU revolves around the enforcement of the rules that have been established as law. Some experts
believe that it will be at least another decade before the benefits of the new rules become
apparent. Discussion of this feature can begin with the following questions. What are the benefits
of creating a single financial market in the European Union for companies? Does it make sense
for consumers?
2. Question : (TCO 6) In the 1980s, Caterpillar was negatively affected by a strong dollar and
lost significant market share to Japanese competitor Komatsu. The situation prompted Caterpillar
to revise its global strategy and by the 2000s, the company was in a much better position to deal
with volatile currency values. More recently, a strong dollar has actually helped boost
Caterpillar’s bottom line. In the 1980s, a stronger dollar hurt Caterpillar’s competitive position,
but in 2008 a stronger dollar did not seem to have the same effect. What had changed?
7. 3. Question : (TCO 7) In May 2001, the IMF agreed to lend $8 billion to Turkey to help stabilize
its economy and halt a sharp slide in the value of its currency. Although initially the Turkish
government resisted IMF mandates on economic policy, in 2003 the government passed an
austerity budget. By 2005, significant progress had been made and today, the country appears to
be on track for recovery, with lower inflation rates, an increase in privatization, and a budget
surplus. What led to Turkey’s financial crisis? What goals did the IMF establish as part of the
loan agreement?
4. Question : (TCO 8) MD International is an export intermediary for U.S. medical equipment
manufacturers. The company has been able to capitalize on falling trade barriers, as well as
expand healthcare programs in the Latin American region. MD International currently represents
more than 30 companies and sells to some 600 regional distributors. How does an intermediary
such as MD International create value for the manufacturers who use it to sell medical equipment
in foreign markets? Why do they want to use MD International rather than export directly
themselves?
5. Question : (TCO 8) Boeing made the decision to outsource much of the production of the 787
in the hopes of significantly reducing the time to get the
product to market. Boeing also anticipated that its outsourcing strategy would allow it to
generate additional sales from the countries that were partners in the process and reduce its costs
and risks. Although Boeing’s strategy worked for some components, for other parts the strategy
was a disaster. Suppliers were late and some produced poor-quality parts, forcing Boeing to
commit additional resources to the project. What are the benefits to Boeing of outsourcing so
much work on the 787 to foreign suppliers? What are the potential risks? Do the benefits
outweigh the risks?
6. Question : (TCO 8) By 2015, Ford hopes to compete in North America, Europe, and Asia by
offering several global models including the Fiesta, the Fusion, and the Mondeo. The company,
which refers to its new strategy as One Ford, anticipates that its global models will share the
same components and looks and be positioned in a similar way in each market in which they are
sold. What is behind Ford’s One Ford vision? What is the company hoping to accomplish with
this strategy?