IB 3101 Lecture Notes - Lecture 1: Cultural Imperialism, World Bank, Outsourcing

28 views4 pages
Published on 19 Mar 2017
Course
Week 1- Chapter 1- Globalization
International business
o Any firm which does trade as well as foreign direct investment in
other countries
Multinational company
o Any firm which has production activities in more than one country is a
multinational company
International trade
o Occurs when a firm exports goods or services to consumers in another
country
Foreign direct investment
o When firms invest their resources in business activities in foreign
countries
Foreign subsidiary
o Operation in a host country which gives the local firm to conduct its
business activities in that foreign country
Multinational Enterprises
Activities
o Trade- exports and imports
o Foreign direct investment (FDI)
Ways they participate
o Equity modes of international participation (FDI)
Acquisition, wholly owned subsidiaries (start your own)
Joint venture (equity, strategic alliances)
o Non-equity modes (FDI)
Exporting
Licensing
Tech transfer
Non-equity strategic alliances
Globalization
Shift toward greater independence among national institutions and
economies
Trend towards a more integrated global economic system
1. Globalization of markets
Selling all around the world
Merging of historical distinct and separate national markets
into one huge global marketplace
Tastes and preferences of global consumers are converging
upon some global norm
o Ex. Coca-Cola, Apple, Ikea
2. Globalization of production
Making products in different countries
find more resources at oneclass.com
find more resources at oneclass.com
Unlock document

This preview shows page 1 of the document.
Unlock all 4 pages and 3 million more documents.

Already have an account? Log in

Get OneClass Notes+

Unlimited access to class notes and textbook notes.

YearlyBest Value
75% OFF
$8 USD/m
Monthly
$30 USD/m
You will be charged $96 USD upfront and auto renewed at the end of each cycle. You may cancel anytime under Payment Settings. For more information, see our Terms and Privacy.
Payments are encrypted using 256-bit SSL. Powered by Stripe.