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MGMT 2850 (8)
Chapter 4

MGMT 2850 Chapter 4: Ch 4 Globalization
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Department
Management
Course
MGMT 2850
Professor
Novak Kathleen
Semester
Spring

Description
Ch 4 Globalization 3 strategies for Globalization: o Sell produce in one, sell in many o Make produce in many o BuySource partner with global supply chain partners US Corporate Responses to Competitive Threats from Globalization? o Tariffs imports more expensive o Partnerships with suppliers o Outsourcing o Improving productivity o Mergers and acquisitions o Increasing foreign direct investments Benefits: o Economic productivity o Transfers technology o Reduces prices from customers o Spreads democracy and freedom, and reduces military conflict o Gives developing countries access to foreign investment funds to support economic development Costs: o Job insecurity o Weakens environmental and labor standards o Compatible with despotism o Erodes regional and national cultures o Prevents individual nations from adopting policies promoting environmental and social objectives The globalization debate o Will you personally benefit from globalization? o Who does and who doesnt within the US? Benefit: o Low income consumers; any consumer? o Mobile, educated workforce Hurt: o Manual labor o Small businesses o US based companies o Unions
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