GMS 200 Lecture Notes - Lecture 3: Foreign Direct Investment, Intrapreneurship, Insourcing

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: Kenneth Kalu

Document Summary

Growing interdependence of these components in global economy. Resource supplies, etc are global, not local (markets, competition) Producing in one country and purchased by another. Bring item produced in another country into your country. Expanding operations of an existing business in that country. People within company do jobs normally done by contractors. Operates in a foreign country through co-ownership by foreign & local partners. Agreement (2+ parties) to pursue a set of agreed upon objectives needed while remaining independent organizations. Product a in japan and product b in canada. Use coke"s distribution system to improve p&g products. Negative - job losses to mexico, lower wages for canadian & american workers. Multinational corporation (mnc) with extensive business operations in more than one foreign country. Mnc - operates worldwide on a borderless basis. View that one country/culture is superior to others. Most communication takes place via written or spoken word. Rely on non-verbal & situational cues as well as on spoken/written words.