MGMT 310 Lecture Notes - Lecture 2: International Monetary Fund, General Agreement On Tariffs And Trade, Opportunity Cost
Document Summary
Managing in difficult times: business leaders respond to changes in the global business environment and try to change it. Integration and interdependence of economic, technological, sociocultural, and political systems across diverse geographic regions: advocated by leading economists and politicians post-world war ii, movement led to the creation of several international trade agreements, global trade agreement. Comparative advantage: countries should specialize in producing goods for which they have the lowest opportunity cost of production. Specialization in a particular product, helps become an efficient producer. The business environment: represents all of the external forces that affect the firm"s business, general environment. Technological dimension: the processes, technologies, or systems that a firm can use to produce outputs. Economic dimension: the general economic environment in the markets where the firm performs activities. Social values: the deeply rooted system of principles that guide individuals in their everyday choice and interactions. Meaning is derived from the written and spoken word.