AFM131 Lecture Notes - Lecture 5: Comparative Advantage, Single Market, General Agreement On Tariffs And Trade

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM131
• Professor: Tracy Hilpert

Document Summary

Ge(cid:374)erall(cid:455) do(cid:374)(cid:859)t (cid:374)eed to k(cid:374)o(cid:449) statisti(cid:272)s, or spe(cid:272)ifi(cid:272) (cid:271)usi(cid:374)ess e(cid:454)a(cid:373)ples for the e(cid:454)a(cid:373) Consumer: increased access and connectivity leads to more choice, lower prices for products due to competition. Employee: interact with customers, clients, or business partners in different parts of the world country: companies could move operations to different countries less jobs for home country, globalization adds both complexity and opportunities. Business owner: global competition drives innovation; increased access to resources allows businesses to focus on what they do best, however owners can move production to different countries. Increased risk with entering global markets ethics/regulations change from country to country (complications like child labour) Going global success stories slide 6 (mcdonalds and canada goose) Going global not so successful (target canada): consumer expectations affect success of businesses going global. Consumer perspective: limited selection, lack of deals, expectations from us stores not met.