MAN 4602 Lecture Notes - Lecture 10: Planned Economy, Outsourcing, Profit Maximization
Document Summary
Globalization the process of social, political, economic, cultural, and technological integration among countries around the world. The process by which companies undertake some activities at offshore locations instead of in their countries of origin. Outsourcing the subcontracting or contracting out of activities to external organizations that had been previously been performed by the firm. Goldman sachs argued that the potential of brazil, russia, india, and china is such that they may become the four most powerful economies by 2050. Private enterprises reserves the right to own property and monitor the production/distribution of goods and services, supports competition and efficient practices. Acting like a monopoly like the government, has explicit control over the price and supply of a good or service. Mixed economy the combination of a market and command economy. Individualism one should be free to pursue economic and political endeavors without constraint. Collectivism views the needs or goals of the society as a whole vs the individual desires.
