...Electric (GE), has had years of success with its Global Product Company (GPC) concept. The GPC philosophy states that GEMS manufactures wherever in the world products could be carried out to GE’s standard in the most cost effective manner. However, the “In China for China” proposal by the head of GEMS China division, is causing the company to re-evaluate its global positioning strategy. China is the third largest market for medical diagnostics worldwide and is growing rapidly. Core markets are facing decade-long economic challenges and are unlikely to have the growth rates of China. In parallel, technological demands are ever present. The market demand is veering towards biochemistry. GEMS must decide if its growth strategy means focusing on the China market as part of its competitive advantage. GEMS has a number of strengths. Per the financial statements in the Exhibit 1, the company has the financial resources to invest in its desired growth strategy. Changing a corporate strategy often requires the cash flow to hire and train new talent as well cash to pay for capital and operating expenditures. GEMS has a global presence through its extensive sales and marketing organizations; thus, if there was a decision to focus on the China market, the company would probably not lose its current global market share. GEMS core competencies are supply chain management and its vertical alignment structure through acquisitions. The organization has a solid infrastructure which can be leveraged...
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... 2 Centre for the Study of the Economics of Ageing (CSEA), Asia Pacific University of Technology and Innovation, Kuala Lumpur, Malaysia Correspondence: Behrooz Gharleghi, Faculty of Business and Management, Asia Pacific University of Technology and Innovation, TPM, 57000, Bukit Jail, Kuala Lumpur, Malaysia. Tel: 60-19-615-3515. E-mail: behrooz@apu.edu.my Received: April 4, 2014 Accepted: May 30, 2014 doi:10.5539/ass.v10n16p34 Online Published: July 24, 2014 URL: http://dx.doi.org/10.5539/ass.v10n16p34 Abstract As an agricultural country, the export of China's agricultural products are often suffered the restrictions from the green barriers. The positive green barriers can regulate the agricultural production in China, and promote the agricultural development and international trade; on the other hand, the negative green barriers would increase the cost of trade, trade friction, and prevent the development of international trade. So the research of influence of green barriers on China’s agricultural products is very realistic. According to the influence of green barriers on China’s agricultural exports, the corresponding countermeasures can be made to deal with the green barriers and improvement of China’s competitiveness in the international competition. This study examines the causes, influences and methods of green barriers on China’s agricultural products export based on the questionnaires of 200 staffs of agricultural trade companies in Xi’an...
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...development equitable and sustainable. Increasingly, bringing all parts of society up to minimum standards of living is becoming an issue of social responsibility and political requirement in emerging economies through social security programs. However, emerging economies are facing many constraints in implementing widespread social security programs to affect equality, poverty alleviation, and income security. When considering Social Security for emerging economies, there are two central issues that must be addressed; can emerging economies sustain viable social security systems, and is social security vital to the development of emerging economies. To understand these issues, and possible solutions, it is useful to look towards the established models found in Europe for answers. Social Security To analyze the issue at hand, we must first understand the definition of social security, as the benefits offered by the State and society differ from country to country. For example, Social Security is a narrowly defined program in the United States, which offers supplemental income to those of retirement age at 65 and older. However, in Europe, social security encompasses a slate of programs that provide cash transfers and benefits for the aged, unemployed, ill, and poor. These programs are often manifested in the form of pensions, unemployment benefits, and in many countries universal healthcare. For this exercise we will use the broad definition of Social Security defined as programs...
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... Review of World Investment Report 1. Introduction This review is going to talk about the recent trends discussed in the WIR 2014, the reason that developing and emerging economies have attracted FDI, and why will SDGs have a significant resource implication for future investment decisions of MNEs. 2. The recent trends discussed in the WIR 2014 1. Global FDI flows Global FDI flows increased by 9 percent in 2013 to $1.45 trillion, up from $1.33 trillion in 2012. Although the share of developed economies in total global FDI flows remained low, it is expected to rise over the next three years to 52 per cent. Global inward FDI stock rose by 9 per cent, reaching $25.5 trillion. It reflects the rise of FDI inflows and strong performance of the stock markets in many parts of the world. 2. FDI inflows FDI inflows rose 9 percent in 2013 revealed a moderate pickup in global economic growth and some large cross-border M&A transactions. The increase of FDI inflows was widespread in all major economic groupings − developed, developing, and transition economies. Developed countries’ FDI inflows grew by 9 percent, reaching $566 billion. Developing economies reached a new high of $778 billion, accounting for 54 percent of global inflows. Developing Asia remained the world’s largest recipient region of FDI flows, and China remained the recipient of the second largest flows in the world. In 2013, APEC absorbed half of global flows, similar to the G-20, while the BRICS received...
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...low cost to communities and individuals who require education and skills training to aid in their development and welfare. The implementation of an ongoing educational DVD distribution program, using the PDPs as the medium through which education and skills training programs can be delivered to its users, will make up the second element of INNOVATE’s range of product and service offerings. By leveraging alliances and partnerships with governments and other large multinational companies around the world, INNOVATE will be able to utilize a profitable business model, which at the same time will have the potential to benefit millions of people in developing countries. Business Overview Business Opportunity Importance of Education For many years, education has been widely regarded as the means to economic prosperity, the key to combating unemployment, and the route to scientific and technological advancement for developing...
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...School of Commerce and Management Southern Cross University INTERNAL ASSIGNMENT COVER SHEET |Student ID: 21875658 |Student Name: Chew Yini | |Batch No : BIBD5 1119A |Unit Name: International Economics & Trade | |Assignment No: 1 (week 7) |Tutor Name: Chi Ching | |Word count: 1003 |Assignment Due Date: 2 December 2011 | Unless otherwise specified, assignments must comply with the following requirements. Assignments that do not comply with the following may not be marked. Please confirm that your assignment meets these requirements by ticking each of the following boxes before submission: ❑ Assignment is word-processed using 11 or 12 point font ❑ Left-side margin is at least 3 centimeters ❑ Assignment is 1.5 or double spaced ❑ All pages are numbered and include your Student ID and Name ❑ A Bibliography or Reference List is included at the end of the assignment ❑ References have been correctly noted ❑ All works consulted have been cited using an appropriate referencing style ❑ A duplicate copy of the assignment has been retained by the student ❑ Where appropriate, an approval for extension is attached ❑ The below declaration has been read, signed and dated ...
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...country works in cooperation along this supply chain. Meanwhile, globalization is bringing a set of globalized values to every corner of the world. Indeed, the world seems like a truly fair playing ground. However, in my view, the world is just far from being flat. The world is in a huge imbalance. Due to the comparative advantage of labor between developing countries and developed countries, the world capital is flowing from the US and European countries which have high labor cost to emerging economies like China and India where there are abundant supply of cheap and skilled labor. On one hand, China and the other emerging economies are accelerating their integration into the interdependence world factory. Gaps in living standards, wage and technology are quickly shrinking. The benefits of economic boom are spreading from those advanced economies to emerging economies. On the other hand, this economic model results in huge trade imbalance and further solidifies the dominance of the developed economies on the upper end of the value chain. To sustain the high annual growth rate, China has to rely on its export-oriented economic model, which caused huge trade surplus and over-supply of currency. Such...
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...countries can specialize and produce what they are best at. Countries across the world wills also have access to more capital, better technology, cheaper imports and major export markets. This does not mean that all countries have access to the benefits of globalization, in the poorest countries, the international community help with contributions. The question is that is globalization a treat or an opportunity? Some believe that the difference between the rich and poor countries only increased with globalization, while others argue that the difference in income or GDP between countries across the world has increased, but it is not the whole truth. Wider measurements of welfare that takes social conditions in the calculation shows those developing countries have made a great progress (www.imf.org). A well-known concept is that the industries that do not require skilled labor, and is a labor-intensive industry moves to the countries where it is possible to get goods and cheap labor. Cloth production is a well-known example of such and industry. To use low-wage labor for clothes production has always been given and has therefore made these...
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...Presentation China is an ethnically and culturally diverse country. Its dominant cultural tradition has been heavily influenced by Confucianism and Taoism, but within that tradition are many different subcultures. The spoken language also varies greatly from region to region. Most Chinese people attach a great importance to cultivating, maintaining, and developing connections. These social values, which are the key elements for understanding Chinese social behavioural patterns and their business dynamics, are shared by Chinese societies all over the world. Alibaba.com is one of the most successful Internet companies to emerge from China. In fact, China's post-economic reform context has created a very favourable climate for B2B in Asia. If we draw a parallel between this growing sector and often floundering B2C/C2C companies which have faced threats such as the lack of credit systems, online payment problems, poor logistic systems and the old consumer habits we can see why Alibaba.com decided to seize the B2B market opportunity. Alibaba.com choose B2B, but focused on small and medium sized companies because of the disadvantages they faced in international trade until now. This was the basis of the innovation. The barrier abolition linked to the China's economic reform allowed companies to expand into an international trade market. Alibaba.com enabled SME's to find product and partner information around the world via Internet, offering e-commerce capabilities. Quantity...
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...Op-Ed Contributors 'China threat' theory is absurd By Li Yang (China Daily) Updated: 2010-09-02 08:52 Comments(44) PrintMail | | Large MediumSmall | As the sleeping dragon awoke toward the end of the last century, the West felt uneasy. And when it took off on the road to rapid economic development, the West's unease began turning into fear, giving rise to the "China threat" theory which is bandied about so rampantly across the world today. Is there any justification behind this theory? China Daily put this question to Liu Xiaoying, a professor at the Communication Research Institute of Communication University of China. In short, Liu's answer is "no". But he prefers to delve deep into the reasons behind, what he says is, the unjustified fear gripping the West. Some people try to attribute the country's economic rise to "China's development model", Liu says, building an insurmountable barrier between the East and West, between antiquity and modernity. "China is just regaining its long lost right to have its say in world affairs. Harmonious coexistence of countries entails diverse views, not a hegemonic monopoly which presumptuously claims to speak for all the countries." The fact is that the Chinese leadership has too many domestic problems to solve and doesn't have the time to pose a threat to other countries or regions. Historically, the rise of a country has created controversies and raised the concern of its neighbors and, above all, the existing powers. It's natural for...
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...accompanied by increased damages to the socio-economic systems. The notion of sustainable growth is a topic high on the international policy agenda, especially given the rise of China, India and other developing countries whose use of the world’s resources increases significantly each year. The major problem for developing countries focus on sustainability is the cost of slowing down development process and loses the opportunity of becoming convergence with the mainstream economy. It is still being discussed whether or not the tradeoff between sustainability and development is a cost worth making. Economic sustainability is dependent on the following conditions; 1) the rate of decline of non-renewable resources, 2) the excess rate of harvest of renewable resources, 3) the assimilative capacity of nature to absorb waste and, 4) pollution reducing technology and capital1. According to Stern’s review paper, the benefits of strong, early action on climate change can outweigh the costs in the development process as the “next 10 or 20 years can have a profound effect on the climate in the second half of this century and in the next.”2 Greenhouse gas emissions from developing countries will likely surpass those from developed countries within the first half of this century, highlighting the need for developing countries to reduce the risk of climate change. Within Stern’s review, he has pointed out and described the benefits of three...
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...Magazine Luiza: Building a Retail Model of “Courting the Poor” a. Identify the retail model Magazine Luiza employed to grow to the third largest nonfood retailer in Brazil. The key of retail model of Magazine Luiza was its genuinely customer centered and employee centered culture. Looking at the retail market of Brazil in 2004, it was a large and diverse markets, with 84% of its 47 million households were located in urban areas, and regional development and income distribution were very even. In addition, high inflation, interest rates, and cost of capital, which impacted the costs of inventory, marketing, and distribution – made alternative channels such as catalog-based retailing practically nonexistent, and facilitated the growth of small family-run operations and medium-sized chains that developed local expertise. Because of the macro level environment, Magazine Luiza tried to build its retail model that was truly customer centered and matched with the industrial phase of Brazil. Focusing on low-income segments, the major elements of the retail model can be viewed separated in following perspectives: operational evolution, deep customer relationships, people and management and innovative use of technology. I will discuss these building blocks of its retail model in the following paragraphs. Operational Evolution: In order to better serve low-income customers, Magazine Luiza put much effort in operation innovation in order to encourage growth while...
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...1404837 曾延 The Gap between Chinese Business Model and the International Advanced Business Model ----Chinese cannot be the employee of the world China has been regarded as ‘World Factory’ for a long period until now. This appellation was considered as an honor by a vast majority of Chinese people in the past decades. Nevertheless, it was recognized that China cannot be the world factory because the labor cost and the manufacturing costs are increasing. This change reduced the profits of manufacturing industry, which means that the business environment for our manufacturing has been becoming more deteriorative. From government’s perspective, China need industrial transformation and upgrade industries. On enterprises’ viewpoint, the significant method for this situation is innovate the business model. This essay will demonstrate the gap between Chinese business model and the international advanced business model. The control power to industry chain determined the merchant mode. In modern business, controlling the upstream section of the industry chain means that the enterprises make profits and economize the resource and cost furthest. For instance, China only control the one part of industry chain. That is manufacture which is a low-income and high cost part. However, the upstream section of the industry chain was controlled by American companies. The most famous example may be the Apple Inc. that never produce even one element of electronic...
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...October 11 October 11 Case 1: Taobao vs. eBay China E-Business Professor Qiu Ivy Yuwen Cai Case 1: Taobao vs. eBay China E-Business Professor Qiu Ivy Yuwen Cai 08 Fall 08 Fall Ivy Yuwen Cai E-Business Professor Qiu Case 1 Taobao vs. eBay China Due Date: October 11, 2011 A Lesson of “Doing Business in China” eBay had failed to recognize that the Chinese market and its business environment are very different in comparison to the United States. In any country, having local knowledge of your market is good; having local leadership on the ground is better. However, eBay assigns its high management positions to people who are not from Mainland China, who lack understanding of the local market. The fact that eBay had a strong brand in the United States didn’t mean it would be a strong brand in China. Security and Payment One of the most important factors, which let customers make purchase decisions, is security, and security issues are mostly related to payment process. When competing in payment services, Jack Ma and his team use their Chinese “guanxi” with key government officials and leaders in the Chinese banking industry to secure and process payment transactions. eBay has introduced its traditional payment method, Paypal, while Taobao has introduced a similar one, Alipay. Before 2007, the difference between Paypal and Alipay is the process of payment. Through Paypal, buyers pay directly to sellers, without any third party involvement...
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...Case study analysis: "Walmart's Strategies in China" Introduction: Wal-Mart Stores, Inc. (NYSE: WMT), branded as Walmart, is an American multinational retail corporation that runs chains of large discount department stores and warehouse stores. The company is the world's third largest public corporation, according to the Fortune Global 500 list in 2012, the biggest private employer in the world with over two million employees, and is the largest retailer in the world. Walmart remains a family-owned business, as the company is controlled by the Walton family, who own a 48 percent stake in Walmart. It is also one of the world's most valuable companies. The company was founded by Sam Walton in 1962, incorporated on October 31, 1969, and publicly traded on the New York Stock Exchange in 1972. It is headquartered in Bentonville, Arkansas. Walmart is also the largest grocery retailer in the United States. In 2009, it generated 51 percent of its US$258 billion sales in the U.S. from grocery business. It also owns and operates the Sam's Club retail warehouses in North America. Walmart has 8,500 stores in 15 countries, under 55 different names. The company operates under the Walmart name in the United States, including the 50 states and Puerto Rico. It operates in Mexico as Walmex, in the United Kingdom as Asda, in Japan as Seiyu, and in India as Best Price. It has wholly owned operations in Argentina, Brazil, and Canada. Walmart's investments outside North America...
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