INSTRUCTORS MANUAL - for INTERNATIONAL BUSINESS The Challenges of Gl...

INSTRUCTOR’S MANUAL

for

INTERNATIONAL BUSINESS

The Challenges of Globalization 1st Edition (C anadian Edition) Prepa red by Gerry Taft 1 / 4

Copyright © 2015 Pearson Canada Inc.Contents Chapter 1 Globalization ................................................................................................2 Chapter 2 Cross-Cultural Business .............................................................................17 Chapter 3 Politics and Law .........................................................................................39 Chapter 4 International Ethics ....................................................................................54 Chapter 5 Economics and Emerging Markets ............................................................61 Chapter 6 International Trade .....................................................................................78 Chapter 7 Foreign Direct Investment .........................................................................97 Chapter 8 Regional Economic Integration ...............................................................111 Chapter 9 International Financial Markets and Foreign Exchange ..........................129 Chapter 10 International Strategy and Organization ..................................................144 Chapter 11 Selecting and Managing Entry Modes .....................................................157 Chapter 12 Developing and Marketing Products .......................................................173 Teaming Up ..................................................................................................................187 2 / 4

Ch 1: Globalization 2

Copyright © 2015 Pearson Canada Inc.

CHAPTER 1

G

LOBALIZATION

LEARNING OBJECTIVES:

1.Describe the process of globalization and how it affects markets a nd production.

2.Identify the two forces causing globalization to increase.

3.Summarize the evidence for each main argum ent in the globalization debate.

4.Identify the types of companies that participate in international business.

5.Describe the global business environment and identify its four main elements.C

HAPTER OUTLINE:

Introduction International Business Involves Us All Technology Makes It Possible Global Talent Makes It Happen Globalization Globalization of Markets Reduces Marketing Costs Creates New Market Opportunities Levels Uneven Income Streams Yet Local Needs Are Important Globalization of Production Access Lower-Cost Workers Access Technical Expertise Access Production Inputs Forces Driving Globalization Falling Barriers to Trade and Investment World Trade Organization Regional Trade Agreements Trade and National Output Technological Innovation E-ma il and Videoconferencing Internet and World Wide Web Company Intranets and Extranets Advancements in Transportation Technol ogies Measuring Globalization Untangling t he Globalization Debate Today’s Globalization in Context Introduction to the Debate Globalization’s Impact on Jobs and Wages Against Globalization Eliminates Jobs in Developed Nations Lowers Wages in Developed Nations Exploits Workers in Developing Nations For Globalization Increases Wealth and Efficiency in All Nations Generates Labor Market Flexibility in Developed Nations 3 / 4

Ch 1: Globalization 3

Copyright © 2015 Pearson Canada Inc.Advances Economies of Developing Nations Summary of the Jobs and Wages Debate Globalization’s Impact on Labor, the Environment, and Markets Labor Standards Environmental Protection Future Markets Globalization and Income Inequality Inequality within Nations Inequality between Nations Global Inequality Summary of the Income Inequality Debate Globalization and National Sovereignty

Globalization: Menace to Democracy?

Globalization: Guardian of Democracy?

Globalization’s Influence on Cultures Key Players in International Business Multinational Corporations Entrepreneurs and Small Businesses Why International Business Is Special The Global Business Environment The Road Ahead for International Business Bottom Line for Business A comprehensive set of specially designed PowerPoint slides is available for use with Chapter 1. These slides and the lecture outline below form a completely integrated package that simplifies the teaching of this chapter’s material.Lecture Outline

1. INTROD UCTION

Globalization is reshaping our cultures, our political, legal, and economic systems, and affecting our standards of living. It alters the global pattern of trade and investme nt by expanding markets and multiplying production possibilities.

• International Business Involves Us All
• Each of us encounters the result of inte

rnational business transactions every day whether we realize it or not.

• International business is any commercial transaction that crosses the

borders of two or more nations.

• Imports are goods and services purchased abroad and brought

into a country. Exports are goods and services sold abroad and sent out of a country.

• Technology

Makes It Possible 1.Technology is a remarkable facilitato r of international business and change.

• E-business (e -commerce) is the use of computer networks to pur

chase, sell, or exchange products; service customers; and collaborate with partners.

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