...available to purely domestic competitors. Deciding Whether to Go Abroad ■ The company discovers that some foreign markets present higher profit opportunities than the domestic market. ■ The company needs a larger customer base to achieve economies of scale. ■ The company wants to reduce its dependence on any one market. ■ Global firms offering better products or lower prices can attack the company’s domestic market. The company might want to counterattack these competitors in their home markets. ■ The company’s customers are going abroad and require international servicing. The company must weigh several risks: ■ The company might not understand foreign customer preferences and fail to offer a competitively attractive product. ■ The company might not understand the foreign country’s business culture or know how to deal effectively with foreign nationals. ■ The company might underestimate foreign regulations and incur unexpected costs. ■ The company might realize that it lacks managers with international experience. ■ The foreign country might change its commercial laws, devalue its currency, or undergo a political revolution and expropriate foreign property. The internationalization process has four stages:8 1. No regular export activities. 2. Export via independent representatives (agents). 3. Establishment of one or more sales subsidiaries. 4. Establishment of production facilities abroad. Deciding Which Markets to Enter ■ Market entry and market...
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...The results of global home- and personal-care peers could be tested further this year by currency volatility, the emerging-markets slowdown and inflation. Sales reported by the group are expected to fall 1% in 2015, based on consensus, due to the strong-dollar drag on revenue reported by U.S. companies operating abroad. Yet a weaker euro supported European peers' sales, and a stronger yuan in 1H led to higher Chinese-visitor purchases boosting the sales of Japanese and South Korean beauty and cosmetics peers. Companies Impacted: P&G, Kimberly-Clark and Colgate are among peers whose 2015 sales may have fallen the most. Sales of Amorepacific, Fancl, Kose and L'Oreal may have risen the most. Organic sales, excluding forex translations and M&A impacts, are the growth benchmark in personal and home care. Modest price rises, 2015 cost savings and lower oil costs may ease currency-inflated expenses, curbing margin declines for home- and personal-care peers. Higher pricing, if linked to innovation while ensuring affordability in low and mid tiers, is vital for cushioning volume and gaining market share, especially as currency depreciation and inflation persist in slowing developing markets, like Russia and Brazil. Unilever's 4Q emerging-market volume fell to 2% vs. 3% in the first nine months. (Corrects timeframe.) Peer Comparison: Unilever has the most emerging-market sales exposure among BI personal- and home-care peers, with 58% of group sales in these areas. Colgate has more than...
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...and more refined solutions, as well as a better interconnectivity between customers and suppliers around the globe. As the internet has deeply integrated itself into the economic performance of companies and countries at meso and macro levels, the competition between suppliers is increasing and fostering a more rapid innovation cycle. As new markets open up and offer new profit pools for companies, it is essential for firms such as IBM to be on top of their game. They need to analyze and understand market trends before they are even born and respond with a global solution, which is capable of taking transnational strategies and skillfully translating them for the local market needs. The biggest market for any company might not always be its home market. Free markets around the world create many opportunities for growth. However, if IBM fails to identify these opportunities, it can cost the company its survival, as the competition quickly moves in and takes over. Globalization means more options and power for customers, as all over the world people can virtually connect with companies, goods and services anywhere. Therefore, open markets, new market entries, developing government policies, increased customer purchasing power as well as rapidly developing innovations forced IBM to globally-integrate itself in order to expand its business around the world, while understanding local needs and being accepted into new cultures and economies. (2) How has IBM adapted thus far? Have they...
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...The advantages of studying abroad far outweigh the disadvantages. Discuss In today’s world, a considerable number of students are not limited to study in their local countries. Instead, they choose to study abroad. This phenomenon becomes a trend especially in recent years. A variety of different attitudes have been come up with on both sides of the question. It is in this background that this essay begins by outlining the arguments for students choose to study abroad and point to the problems with these views. Afterwards, it will conclude with a summary of the main ideas canvassed. An important reason for students choose to study abroad is to improve their language skills. It is generally known that English is the official language in a large number of countries, in other words, English is a world language. If people want to enter a global workforce, speaking English fluently is very important for themselves. Studying abroad gives them a chance to practice their language skills. According to Lafford (2006), Study abroad has traditionally been assumed to be the best environments in which to acquire a second language. He argued that study abroad could help students to improve their target languages’ pronunciation, grammar and vocabularies through their usual life. Coincidentally, Freed (1995) pointed out that the students who study abroad could improve their speaking skills and make their second language become more fluent. However, as Anastasia (2014) has indicated, the second...
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...barbieri@unibo.it 4 Department of Electric, Managerial and Mechanical Engineering, Via Delle Scienze, 206, 33100 UDINE UD ITALY nassimbeni@uniud.it 5 Department of Management, University of Bologna Via U. Terracini 28, 40131 BOLOGNA BO ITALY andrea.zanoni@unibo.it ABSTRACT Interest in back-reshoring strategies – intended as companies’ decisions to reverse previous off-shoring by bringing manufacturing back home – has gained momentum recently. However, little is known so far about the magnitude of this phenomenon, about its geographical boundaries, and about the underlying motivations. In this paper a characterization of back-shoring as part of the dynamics of firms’ internationalization strategies is offered. Next, building on emerging empirical evidence, open questions are identified and an agenda for research is proposed. KEYWORDS Reshoring Back-reshoring Near-reshoring Off-shoring Internationalization 1. Introduction In the last few years numerous manufacturing companies have announced the return of part of their off-shored production (either in-sourced or out-sourced) to their home countries. Industrial giants such as Caterpillar, Bosch, and Philips are featured among them, but also a plethora of smalland medium-sized enterprises that are reconsidering their international...
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...risks Risks related to injecting drug use Risks to local communities 6. Potential for prevention interventions 7 Conclusions . Acknowledgements References 3 4 4 4 6 9 9 10 11 13 13 14 14 14 15 17 19 21 22 Travel and drug use in Europe: a short review emcdda.europa.eu 3 1. Introduction Recent decades have seen a growth in travel and tourism abroad because of cheap air fares and holiday packages. This has been accompanied by a relaxation of border controls, especially within parts of Europe participating in the Schengen Agreement. As some people may be more inclined to use illicit substances during holiday periods and some may even choose to travel to destinations that are associated with drug use — a phenomenon sometimes referred to as ‘drug tourism’ — this means that from a European drug policy perspective the issue of drug use and travel has become more important. This Thematic paper examines travellers and drug use, with a focus on Europeans travelling within Europe, although some other relevant destinations are also included. For the purpose of this publication, a ‘traveller’ is defined as someone who goes abroad for reasons ranging from a weekend visit to a music festival or a short holiday, through to backpacking for longer periods. Using drugs in a foreign country can be associated with...
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...5 Reasons Living in a Less Developed Country is Better Than Living At Home By Rachel Denning My husband and I and our four small children have been traveling together since our oldest was four and the youngest was 2 months old. We’ve travelled to Mexico, Guatemala, Honduras, Panama, Nicaragua, and we’ve lived in Costa Rica and the Dominican Republic. People from home often ask my husband and me, “Why do you live abroad, especially with little children? Isn’t it just scary, uncomfortable and inconvenient?” While I must admit there are a few ‘luxuries’ from home that I long for, like a library (I really miss that), the convenience of online shopping, and a well developed infrastructure, the benefits my family and I garner by living third world can’t compare to what we’re ‘giving up’. As a family, we’re driven to live abroad. It’s a part of who we are. Every single day the zeal we feel for this lifestyle is reaffirmed with everyday encounters. 1 – Experience Growth comes through new experiences. A baby learns at an exponential rate, in part because every experience they are having is new to them. New experience = learning = growth. As adults, our rate of development and expansion decreases, because the number of new and unique experiences we encounter plateaus, or even declines. Living abroad supplies new experiences every day. Eating becomes a thrill as you relish in new flavors and tastes. Driving becomes a challenge as you encounter new rules and conduct (or livestock)...
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...balance: between economic efficiency and income inequality. 2. 啥是taxes on consumption how to choose the balance between direct tax and indirect tax Question: why social security contributions can be even regressive (taking a higher proportion of lwer incomers.) 3. what are the trends in the OECD? (1). 观察VAT在1965-1975年之间在OECD的变化 average: decrease this change balanced by the increase of tax on income<<strong increase in the share of social security contributions. (2). The role VAT played in the development of consumption tax over the past 40 years. Figure 2: Revenue from general consumption taxes (and VAT in particular) has grown faster across the OECD as a whole that all taxes on consumption. Continuing increase in VAT vs historically downward trend in taxes on consumption. 4. Does the taxes on consumption promote growth? Question: taxes on income & taxes on consumption, which is better for growth? (1)我的观点： we should focus on not only the specific rate, but the...
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...GDP? Solution 1. Farmer’s value added: 1,00 € 2. Miller’s VA: 2,00 € 3. Baker’s VA: 3,00 €. 4. GDP = 1 + 2 + 3 = 6 (sum of incomes) 5. GDP = Price of Bread! Final Goods, Value Added and GDP GDP = the total value of final goods and services produced. GDP = the total value added of all firms in the economy. The value of intermediate goods is already included as part of the market price of the final goods in which they are used. To add the intermediate goods to the final goods would be double counting. The Components of Expenditure Consumption (C) Investment (I) Government purchases (G) Net exports (NX) Consumption (C) def: the value of all goods and services bought by households. Includes: • durable goods: last a long time ex: cars, home appliances • non-durable goods: last a short time ex: food, clothing • services: work done for consumers ex: dry cleaning, air travel. Investment (I) def1: spending on [the factor of...
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...the pressure for convergence or integration may in fact create an equal, if not stronger pressure for divergence or fragmentation. o E.g. protests against learning English as second language in Switzerland, different neighborhoods in NYC (Chinatown, Little Italy etc.). o Executives across Europe are reading many of the same publications, but still more often they read national magazines and newspapers. Management is management • Management is management, consisting of a set of principles and techniques that can be universally applied. • However, different practices (such as management) are shaped by its cultural origins, and so is management. • Also, different notions of organizations (relationships vs. tasks) and different HRM practices based on motivations of employees (intrinsic vs. extrinsic). • Good management is culturally sensitive management: best fit between people’s motivation and tasks. • Sensitivity towards invasion of foreign companies and their business ideologies and practices. 2. Despite technological & economic forces for integration/convergence, there are equal or greater forces for fragmentation, one of them being culture. Culture as a source of competitive advantage/disadvantage • Culture can provide source of competitive advantage (Michael Porter): availability of resources, size and sophistication of the market, nature of government intervention and type of strategic linkages/networks. Culture & institutional...
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...Ball Corporation and Tyson Foods Ball Corporation In 2006 the Ball Corporation purchased Formametal then 3 months later was accused of bribing officials of the Argentine government from July 2006 to October 2007. These bribes were recorded as regular business expenses on the Ball Corporation books for over a year. Because of these bribes Ball Corporation was considered not to have enough internal controls in place to prevent such bribes. As punishment Ball was to pay $300,000 to the United States Treasury. If the Commission finds that the company gave false information the Commission reserved the right to reopen the case to ferther sanctions and punishment. Tyson Foods From 2004 to 2006 Tyson de Mexico were accused of making payments to veterinarians wifes by putting them on their payroll even though they did not actually work for them. Later the wives were taken off the payroll and the veterinarians submitted invoices for payment for services that were not done totaling $100,311. Tyson was charged with violating Foreign Corrupt Pratices Act . The Security Exchange Comission charged Tyson with inaccurate bookkeeping and records, imperfect internal controls. Tyson punishment was disgorgement and pre-judgment of $1.2 million in interest. Tyson also agreed to pay a criminal penalty of $4 million in a related criminal proceeding. Both of these companies failed terribly in being compliant with the Security and Exchange Commission and the Foreign Corrupt Practices Act. The Ball...
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...Standardisation vs. adaptation international marketing approach with regards to McDonald’s operations in India Introduction The central purpose of the study is to determine the best international marketing strategy for McDonalds in India and shedding light on these strategies- Standardisation or Adaptation. Background McDonald's™ is a pioneer in the foodservice industry with over 32,000 restaurants in about 130 countries. The brand is handled and overseen by two following business organisations in India: * Connaught Plaza Restaurants Private Limited, headed by Mr. Vikram Bakshi, JV Partner and Managing Director, East and North India * Hardcastle Restaurants Private Limited, headed by Ms. Smita Jatia, Managing Director (MD), West and South India McDonalds believes in Q-Quality, S-Service, C-Cleanliness and V-Value. This motto is their driving force in the Indian marketplace. For McDonalds, India was the first country wherein no-beef or pork products were served. McDonalds in India catered to wants and needs of the people, with different menus as well as food processing plants for vegetarian and non-vegetarian customers. Currently, in India there are 300 McDonalds. Discussion Standardisation approach is quite different from the adaptation international marketing approach. When the needs and wants of the target market are same, standardization strategy comes into the picture. On the other hand, if the wants and needs of the target audience are different, and also...
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...Empathy in Flannery O’ Connor’s “A Good Man is Hard to Find” Through the usage of dramatic irony and person vs society conflict in the short story, “A Good Man is Hard to Find,” Flannery O’ Connor is able to elicit empathy in her story, adding a captivating new level of interpretation. “A Good Man is Hard to Find,” is about a myopic and manipulative grandmother who struggles to live in the present, because her mind is stuck in the past. To the grandmother’s great discontent, she and her family went on a road trip to Florida. In one situation, the grandchildren, John Wesley and June Star, offended the grandmother by talking negatively about Georgia and Tennessee. “If I were a little boy...I wouldn’t talk about my native state...
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...country in the next ten years despite financial obstacles and lack of professionalism. HISTORY History tells us why football is still popular in the country. During the liberation war in 1971, football was the way to create international awareness about the war of independence. The Swadhin Bangla football team was established which played 16 matches in India and was officially received by the BFF in 2009 The period before the 1990s saw national soccer fever in league football, specifically in the Dhaka League, which possessed club teams which were famous both at home and abroad. League football was popular even before independence, from the 1940s to 1960s under Pakistan. There were quite a number of premier football clubs in Dhaka, in the 1940s, most prominent among them were Dhaka Wanderers, Victoria SC, Wari Club, Mohammedan SC, EP Gymkhana, Railways, and Fire service. A match between East Pakistan Governors XI vs. West Bengal XI was held at...
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...BUS100 Assignment 1: The Business Environment Chad McCarl Professor Keisha A. Nelson July 12, 2012 Business in the economy Without business, we have no economy. People are able to consume and enjoy far more goods and services than they otherwise could if individuals were required to produce everything for themselves. People consume food that is grown by farmers or manufacturers. In many cases, the food is prepared by a restaurant as well. Very few people still sew their own clothing. They buy their wardrobes from department stores which carry clothing from large manufacturers. Your car, MP3 player, computer, and cell phone were produced by someone else. Our business based economy is responsible for of all the incredible technologies that people have access to today. Businesses bring people, equipment, and other resources together and coordinate the production of goods and services. Then the sell their goods and services on the open market for a profit. This exchange of currency, as trade, for the goods and services created fuels our economy. The employees, owners and investors of a business earn income for their services performed and then are able to use their incomes to buy the goods and services created by others. For-profit and nonprofit businesses and the economy Both for-profit and nonprofit businesses play an important role in our economy. For-profit organization is the Internal Revenue...
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