100 CORRECT WELL DETAILED

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100% CORRECT WELL DETAILED

UPDATE!!!!2025/2026|GUARANTEED

What is Foreign Direct Investment? - ANSWER is direct investment in, control, and management of value-added activities in other countries.

What different political views exist on FDI? - ANSWER Radical, Free Market, and Pragramatic Nationalism

What benefits exist to a country receiving FDI? - ANSWER Capital inflow, Technology, management, job creation

What costs exist to a country receiving FDI? - ANSWER Loss of sovereignty, adverse effects on competition, and capital outflow

How do resources and capabilities influence the competitive dynamics of a business? - ANSWER Value, rarity, imitibility, and organization (VRIO)

Globalization new view - ANSWER A new force sweeping through the world in recent times

Evolutionary globalization view - ANSWER long-run historical evolution since the dawn of human history

"Pendulum" view on globalization - ANSWER One that swings from one extreme to another from time to time

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What is resource similarity and how does this impact competitive dynamics? - ANSWER The degree to which two firms with similar resources are likely to have

competitive actions. ie: market commonality

Give a description of the classical theory of international trade. - ANSWER The major theories typically studied consist of mercantilism, absolute advantage, and comparative advantage

How would the modern theory compare to the classical theory? - ANSWER the major theories typically studied consist of product life cycle, strategic trade, and national competitive advantage.

Absolute advantage - ANSWER involves being more efficient than anyone else in the production of any good or service

comparative advantage - ANSWER is the relative (not absolute) advantage in one absolute activity that one nation enjoys in comparison with other nations

Mercantilism - ANSWER Classical trade theory that viewed international trade as a zero-sum game

What are the critical features of the product life cycle? - ANSWER An economic theory that accounts for changes in the patterns of trade over time

How would you describe strategic trade? - ANSWER A theory that suggests that strategic intervention by governments in certain industries can enhance their odds for international success

How are supply and demand related to the exchange rate of a country? - ANSWER Exchange rates rise and fall based on the underlying economic conditions that prompt traders, investors and others to want more of a particular currency.

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