International business environment & operations

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International business environment & operations

  1. Multi-national corporations (MNC):  What is the difference between an MNC and a multi-domestic corporation?
  1. Putin’s Russia: Why does the Russian economy have difficulty growing?
  1. Collectivist/individualist cultures: What are the chief differences between collectivism and individualism?
  1. Democracy/totalitarianism: what are the chief differences between democracy and totalitarianism?
  1. Legal systems of the world: Describe at least one difference between a Common Law legal system and a Civil Law legal system.
  1. The following IS NOT necessarily an element of a corrupt act:
    1. A government official
    2. Taking and retaining a thing of value
    3. The official does something he/she wouldn’t normally do
    4. Something happens faster than it normally would
  1. Which of the following IS NOT a Common Law country:
    1. United States
    2. Canada
    3. Germany
    4. Australia
    5. United Kingdom
  1. When Myanmar slipped into totalitarianism, what effect did it have on the country’s economy?
  1. The book (page 68) states that, generally speaking, economic progress begets (supports the formation of) democracy. Provide an example of a country that has enjoyed economic success, that has not been followed by democracy.  Support your choice with facts or circumstances.
  1. Which of the following IS NOT a form of intellectual property:
    1. Trademark
    2. Copyright
    3. Royalty
    4. Patent
  1. Innovation and Entrepreneurship: True or False (circle one).  Free markets and democratic political systems have been found to foster innovation and entrepreneurship.
  1. When a company seeks to enter a new foreign market, name two (2) of the common risks that they should expect to encounter and need to manage.
  1. When Minnesota’s Best Buy entered China in 2006-7 they encountered trouble. What was the problem?
  1. When Minnesota’s Target Corp. entered Canada they encountered trouble. What was the problem?
  1. What is culture?
  1. Social mobility: Give me an example of a country that has low relative social mobility.
  1. What are the world’s three great monotheistic religions?
  1. Culture: Dutch Social Scientist Geert Hofstede divided the world’s culture into four dimensions. Describe Hofstede’s Power/Distance dimension.
  1. Corruption:  If an American company operates in a foreign country where corruption is a common and accepted business practice, is that ok?  Explain your answer.
  1. Ethics: True or False (circle one).  There is no such thing as an inherently ethical business.
  1. Ethics and culture: True or False (circle one).  Some cultures are more ethical than others.
  1. Corporate Social Responsibility: Describe this idea and give me an example of how it is exhibited in practice.
  1. Describe, in a sentence or two, the trade practice called mercantilism.
  1. Describe, in a sentence or two, the trade doctrine of Comparative Advantage.
  1. Describe the Product Life-cycle theory and its significance to international trade.
  1. Porter’s Diamond: please label the empty boxes.

International business environment & operations

  1. What are the reasons why a country should consider free trade?
  1. Trade Barriers: What is a tariff?
  1. What is a subsidy?
  1. How does an import quota operate and what is the reason for it?
  1. Describe how the Local Content Requirement affects international trade.
  1. What is the trade practice of dumping?
  1. What is the function of the Word Trade Organization?
  1. Why can’t the WTO resolve the trade war between the US and China?
  1. China has been accused of dumping low-cost steel on global markets, damaging the steel industries in other countries. What has been the US response?
  1. Review: The Tomato Wars Case on page 265 of the Course Text

This case explores the conflict between U.S. and Mexican tomato producers.  With the support of U.S. growers, the United States signed an agreement under NAFTA to establish a price floor on the price of tomatoes.  However, U.S. growers later realized that the deal did not offer the protection from Mexican growers that they had anticipated.  This led to lobbying for changes to the agreement – lobbying that was met with strong opposition from U.S. tomato companies that have operations in Mexico that would be negatively affected by the proposed changes to the agreement, and also from U.S. companies that supply Mexican growers.

QUESTION: Do you agree with the price floor policy for tomatoes that was initially established under NAFTA?  Should the deal have been changed?  Who benefits from this type of policy?  Who is harmed?

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