MGT 300 Study Guide - Quiz Guide: Sole Proprietorship, Benefit Corporation, Proxemics
Document Summary
Growing interdependence: globalization: the growing interdependence among the components in the global company, o(cid:373)e see glo(cid:271)alizatio(cid:374) as (cid:272)reati(cid:374)g a (cid:862)(cid:271)orderless (cid:449)orld(cid:863) (cid:449)here e(cid:272)o(cid:374)o(cid:373)i(cid:272) integration becomes so extreme that nation states hardly matter anymore. Trend in global sourcing: first step international businesses take; materials or services are purchased around the world for local use. International division of labor in which activities are performed in countries where they can be accomplished effectively at low cost. Member nations in nafta north american free trade agreement: canada, u. s. , and mexico in an economic alliance, formed in 1994 trade zone that frees the flow of goods and services, workers, and investment among the three countries. Intellectual property is well protected under the agreement and global supply chain issues are making mexico attractive as a manufacturing destination. Foreign subsidiary a local operation completely owned by a foreign firm: represents the highest level of involvement in international operations.
