tailieunhanh - Lecture Exploring management - Chapter 17: Globalization and international business

After reading this chapter, you should be able to answer the following questions: Discuss ways that globalization affects international business, understand what global corporations are and how they work. | Chapter 17 Globalization and International Business Exploring Management Chapter 17 How does globalization affect international business? What are global corporations and how do they work? There is no doubt that globalization is here to stay. However, success is not easily accomplished. There is a lot to learn about doing business internationally. 2 Globalization Globalization involves the growing interdependence of the world’s economies Globalization creates a variety of international business opportunities International business is done by global sourcing, import/export, licensing and franchising Internal business is done by joint ventures and wholly owned subsidiaries International business is complicated by different legal and political systems GLOBALIZATION World Economies Global economy Resources, markets and competition are worldwide in scope Globalization Process of growing interdependence of global economies Many factors including economical communication and transportation have fueled globalization. 4 GLOBALIZATION World Economies Insourcing Domestic jobs are created by foreign employers Outsourcing Jobs are shifted to foreign locations to take advantage of lower wages, infrastructure, educated workforce or government support Globalization creates jobs, but not always the same types of jobs than those lost. 5 GLOBALIZATION International Opportunities International Business Conducts transaction across international boundaries Reasons to “go international” Most reasons for pursuing international business are economic. 6 GLOBALIZATION International Opportunities These market entry strategies are “entry level” ways to expand globally. Licensing and franchising represent low cost / low risk methods of entering international markets, but partners must be chosen carefully. 7 GLOBALIZATION International Opportunities All of these require substantial investments in capital and time. Joint ventures and strategic alliances are the most risky because you do . | Chapter 17 Globalization and International Business Exploring Management Chapter 17 How does globalization affect international business? What are global corporations and how do they work? There is no doubt that globalization is here to stay. However, success is not easily accomplished. There is a lot to learn about doing business internationally. 2 Globalization Globalization involves the growing interdependence of the world’s economies Globalization creates a variety of international business opportunities International business is done by global sourcing, import/export, licensing and franchising Internal business is done by joint ventures and wholly owned subsidiaries International business is complicated by different legal and political systems GLOBALIZATION World Economies Global economy Resources, markets and competition are worldwide in scope Globalization Process of growing interdependence of global economies Many factors including economical communication and .

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• International business
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• Exploring management
• Lecture Exploring management
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