...International Business Management Set up and operate a Business in Foreign Country Abstract This paper deals with the international business. It emphasizes on the means to start the business and the cost associated with the initiation of the business. It also describes the most important aspect of managing human resource. Because of the competitive environment, the need to do the business internationally has increased. This paper provides the overview of the two countries i.e. china and South Africa. Broad description of the legal processes that were supposed to be followed by the company to initiate business in the China has been explained. Apart from this, the staffing of local and expatriate staff along with the labor organization and legislation of the foreign country has been described. Therefore, the paper provides detailed analysis of the conditions that should be kept in mind while establishing business in the foreign country. Introduction International business is a term, which is used collectively to describe issues relating to the firm’s operations with interests in numerous countries. These firms are sometimes referred as multinational corporations. The main area of concern in the international business is the cultural considerations. These considerations include dissimilarity in law and legal systems, living standards, language barriers, climate and many more (Cherunilam, 2005). All these issues need to be overcome for an MNC in order to obtain success in...
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...critical support necessary for countrywide economic and social development. When a multinational invests in a host country, the scale of the investment (given the size of the firms) is likely to be significant. Indeed governments will often offer incentives to firms in the form of grants, subsidies and tax breaks to attract investment into their countries. This foreign direct investment (FDI) will have advantages and disadvantages for the host country. There are some advantages while facing the multinational corporation. One of the primary advantages that multinational companies enjoy over companies that limit their operations to smaller geographical regions is that they have a larger pool of potential customers. According to the U.S. Small Business Administration, about 96 per cent of consumers and two-thirds of the world's purchasing power reside outside the U.S. Sources of revenue from other countries help businesses survive periods of low domestic sales. Access to labour is another advantage that multinational companies enjoy over other companies. A firm that has operations in many countries can set up its production operations in China or...
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...8 Vertical Collaboration in the Supply Chain Sanda Renko Faculty of Economics & Business University of Zagreb Croatia 1. Introduction Supply chain is a research area which has attracted the attention of many researchers for more than 20 years (Mehrjerdi, 2009) due to costs and time involved in managing materials, information and financial flows from the point of origin to the point of consumption. The simplest definition of the supply chain suggests (Waters, 2003) that it consists of series of activities and companies that move materials through on their journey from initial suppliers to final customers. On that journey each company somehow is adding value to the product. However, due to an increasing competition on the market and due to more demanding and more sophisticated customers, the picture of supply chain is getting more complicated. If we take into consideration that many companies have crossed their borders and have included some geographically separate operations into their supply chain, it is very difficult to successfully integrate and to manage all related activities. In the praxis, it is normally that every company is working for its own benefit resulting in duplicating effort and reducing productivity, lowering efficiency, higher costs and decreasing the level of customer services. However, environmental uncertainty expressed through shortening product life cycle, expanding product proliferation, and more demanding customers requires from...
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...INTERNATIONAL BUSINESS MANAGEMEMENT ASSIGNMENT 2 Question 1 When the Mexico’s currency is pegged to the United States dollar, it means that the exchange rate is set and artificially maintained by the government. The rate will not fluctuate from day to day. The pegged exchange rate is usually used to stabilize the value of a currency against the currency it is pegged to which makes trade and investments between the two currency areas easier and more predictable. Pegged exchange rate system can also be used as a means to control inflation. The difference between a free/clean float, a managed float and fixed exchange rate systems of exchange rate is that: Clean/free float In the clean/free float also known as a pure exchange rate the value of a currency, which is the exchange rate is determined purely by market forces of supply and demand. Clean floats can only exist where there is no government interference, as would be the case in a purely capitalistic economy. Therefore, clean floats are a result of Laissez-Faire or free market economies. Managed float In a managed float also known as “dirty float” the government or the country's central bank occasionally intervenes to change the direction of the value of the country's currency. In most instances, the intervention aspect of a dirty float system is meant to act as a buffer against an external economic shock before its effects become truly disruptive to the domestic economy. Therefore, with a managed or dirty float the government...
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...family preferences, peer acceptability, familiarity with the supplier, reputation of the supplier, certification mark and promotions and discounts… 2. How have Economies of Scale helped/hindered Tata tea in their overall global operations – in what areas are there advantages and disadvantages for Tata tea? In microeconomics, economies of scale are the cost advantages that enterprises obtain due to size, output, or scale of operation, with cost per unit of output generally decreasing with increasing scale as fixed costs are spread out over more units of output. The purpose of mergers and acquisitions of Tata Tea is reaching the operational efficiency in the worldwide The restructuring combined with business strategy will bring many benefits for Tata tea brand in the international tea market; to be a global brand, gaining economics of scale, holding more market share and generating higher profits. However, there are not only benefits, Tata Tea have also some challenges from Economics of scale. Benefits * Helping the company easy to raise capital, streamlining operations, reducing costs, making ensure a global professional sourcing, bringing...
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...BA356 International Business Management 1) You are the risk manager assigned to a municipal public works team in charge of school construction and operations. It has become clear that the current elementary schools in your town are inadequate for the number of students that are currently being served; in addition, many of the schools were built in the 1950s and are in serious need of repair. Project Document: Risk is a powerful force in innovative organizations for the obvious reason that it means the future outcomes of decisions are uncertain and, less obviously, because it can foster decision biases like loss aversion and over-optimism. The construction or retrofitting of a school building is a valuable educational opportunity with the potential to further strengthen community ownership of the school and demonstrate hazard-resilient techniques that can be replicated in homes and other buildings. Every school must be constructed as a safer school and existing unsafe schools must be retrofitted to be disaster resilient. The Education for All will not be achieved without the construction of safer and more disaster resilient education facilities. At a time when the frequency and magnitude of extreme climatic events is rising, a growing number of the world’s school-going children are increasingly exposed to earthquakes, wildfires, floods, cyclones, landslides and other natural hazards. For example: • The Sichuan earthquake (2008) killed more than 7,000 children...
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...School/Portfolio | The Business School | Course Code/ID | BSMAN3007 | Course Title | International Business Management | Program(s) | Bachelor of Applied Management | Lecturer | Chirs Pan | Author | Wang Lin yu | Email | lynne.lowkey@gmail.com | FIN | G0961866Q | Date | 10 Jan 2013 | 1. Exective summary This case study discusses the business strategies used by Apple, Microsoft and Google in internet industry。Everyone know the Internet has developed into an enormous information infrastructure. This new economy is driven by a relentless force of technological and conceptual innovations stemming from an innumerable number of parties scattered around the globe. Its speed of change and innovation make it to a highly competitive arena. Apple, Microsoft and Google have been the most successful companies within this arena for a long time. Throughout the previous decades, they have internalized the economic laws and technological characteristics of the Internet in their business thinking. Their strategies and competitive moves did not only form the information economy as we know it today, but do also provide showcase examples of how profitable market positions can be achieved in the Internet. Table of content Introduction My report answers some questions: How did Apple, Microsoft and Google successfully navigate and define the competitive arena of the Internet? Which roles did their unique strengths play for their business strategies? Which...
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...[pic] MGT 3446 – International Business and Management Final Project Microsoft -Business in China Megan DeMeo August 23, 2013 1. Case Summary Microsoft decided to enter into China back in 1992 and opened its first sales office in Beijng. China has an extremely large market of consumers which is the main reason many, including Microsoft, have been lured into China to start business. China also has a large number of inexpensive laborers that allows for work to be completed on a product and then to be sold at the same price but made for much less. Microsoft was also lured into China by the size of its market and its phenomenal economic growth as well as the Chinese engineering talent that was available. Microsoft has experienced complications over the years while performing business in China which has included piracy of its products. This was a major problem in the beginning, has been a constant issue over the years, and is still troubling Microsoft today. 2. Company Background The Microsoft Corporation is a multinational software company that was created in America and is headquartered in Redmond, Washington. The company was founded in 1975 by Bill Gates and Paul Allen. The company develops, manufactures, licenses, and supports a wide range of products and services related to computers and other electronic devices including video gaming systems. Microsoft operating systems, such as Vista...
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...INTRODUCTION KENGEN (Kenya Electricity Generating Company Limited) is the leading electric power generation company in Kenya, producing about 80 percent of electricity consumed in the country. The company utilizes various sources to generate electricity ranging from hydro, geothermal, thermal and wind. Hydro is the leading source, with an installed capacity of 766.88MW, which is 64.9 per cent of the company’s installed capacity. KENGEN has a workforce of 1,670 staff located at different power plants in the country. With its wealth of experience, established corporate base and a clear vision, the company intends to maintain leadership in the liberalized electric energy sub-sector in Kenya and the Eastern Africa Region. HEALTH AND SAFETY. Health and safety (HS) is a cross-disciplinary area concerned with protecting the safety, health and welfare of people engaged in work or employment. The goal of occupational safety and health programs is to foster a safe and healthy work environment. As secondary effects, Health and safety may also protect: - ➢ Co-workers ➢ Family members ➢ Employers ➢ Customers ➢ Suppliers ➢ Nearby communities and other members of the public who are impacted by the workplace environment as well as reduce medical care, sick leave and disability benefit costs. Health and safety aims to protect workers form discomfort and physical injury at work. Providing a healthy and safe environment in which to work is now a legal requirement in...
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...For example, an Atlanta woman who posts that she has become engaged might be offered an ad for a wedding photographer on her Facebook page. However, Facebook’s goal is to get it users to share as much data as possible, because the more Facebook knows about user, the more accurately it can serve relevant advertisement to users. The only option that user have is that Internet companies should be forced to ask for permission before using user’s personal information and want the ability to opt out of online tracking. Ethical dilemma in this case study is Facebook monitors its subscribers and then sells the information to advertisers and app developers. 2) What is the relationship of privacy to Facebook business model? The relation between user’s privacy and Facebook business model is important because Advertising is the mainly revenue of Facebook. 70% of its five million users log in every day and they all between 18 and 24 that advertisers want to collaborate with Facebook to make...
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...foreign investment in order to supply it's mega-projects, and thus, this is the prime time to expand into Thailand. Although there are some difficulties right now in Thailand, such as the political state which involves the Red and Yellow Shirts, the Minister of Foreign Affairs assures other countries that they will do their best to protect the foreign companies when they expand into Thailand. Furthermore, the cultural problems involved when expanding into a different country is slightly reduced due to the fact that Thailand and Malaysia are neighbours, and thus, share some similar culture. Therefore, this is the correct time to expand into Thailand, in order to get a foothold into what is forecasted to be an excellent country to have a business in later. Thus, Grippy Tyres should take advantage of this opportunity to expand into Thailand when they are welcoming foreign investors. 1.0 Introduction The main purpose of this research is to examine the different environmental...
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...International Business ManagementRegional Trading Blocs | | | | | | | | Table of contents Introduction……………………………………………….……………………. 3 Section one...…………………………………………………………………….4 Section two …………………………………………...……………………...….7 Section three ……………………………….………........………………...….10 Conclusion …………………………………………………………….......…..11 References …………………………………………………………………..…12 Introduction Regional trading blocs have originally emerged since late 1950s, and overtime have posed significant contributions towards international business activities among certain regions, particularly Eastern Europe, Latin America and East Asia. This has guaranteed great opportunities for the countries across these regions to increase trade with their neighbors and work toward a broader free trade system. As an example, the European Union (EU) is a confederation which has been formed in 1958 and includes 27 member states which are primarily located throughout the European continent. Its major activities and policies are concerned about the free movement of capital, goods, services and even people, while maintaining common policies on trade, agriculture, regional development and fisheries within the 27 countries. Such collaboration among countries is a key factor towards further developments and growth in the region. Similarly, Latin American countries have made several attempts towards effective integration of their economies and societies. The outcomes of such...
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...STUDENT ID: 4232393 STUDENT NAME: (Prashant Shukla) GreenHomeConstruction ------------------------------------------------- 375 West Street, Springfield, IL 62705; Tel: 217-555-3202; www.greenhomeconstruction.com Proposal of Renovation Date: April 23, 2014 Work to be performed for and at: Lucy Franklin and Alex Thomas 287 Miller Street Springfield, IL 62711 Scope of work: Renovation of second floor bathroom and bedroom according to architectural plans supplied by the customer. 1. Demo of all partitions, bathroom, and chimney. $4,125 2. Framing and drywall (skim coat), including ceilings and closets. $5,125 3. Finish work: window casings, door casings, ceiling molding. $3,750 4. Floor, wall, and ceiling prep and patch work. $2,500 5. Floor tile — installation only (100 sq. ft.). $625 6. Wall tile — installation only (100 sq. ft.). $750 7. Cabinet installation in bathroom. $600 8. Bamboo floor: layover in bedroom. (182 sq. ft.). $1,456 9. Shower door and recessed medicine cabinet. $500 10. Blown-in insulation, work area (approx. 800 sq. ft.). $2,000 11. Shelving above dryer and closets and poles (2 closets). $800 12. Patching of duct, trim, and offset duct. $937 13. Coordination of patching and boxing of pipes and heading-off joists. $1,875 14. Permit and inspection services. $500 Total estimated job cost: $25,543 Approximate job time: Six weeks ...
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...巴西经济增长 政局潜在不稳定因素 张宝宇 关于巴西当前的政治经济形势，笔者提出以下3个基本看法，以期共同探讨。 (一)经济形势明显好转，但基础并不坚实。1990年至1992年巴西经济连续3年处于停滞状态。然而，自1992年最后一个季度起，经济形势渐趋好转。在工业生产方面，汽车、拖拉机、柴油机、电子产品、电力等都取得了较大幅度的增长。由于销售市场看好，企业家充分利用闲置设备，纷纷投资更新设备以扩大生产，把更大的发展希望寄托于未来。在农业生产方面，1993年是自1986年以来巴西农业生产形势最好的一年，粮食产量可达7600万吨。更重要的是农业生产的发展主要靠自筹资金而不是依靠银行贷款。外贸总额估计可达624亿美元，其中出口额380亿美元，进口额240亿美元，但通货膨胀仍居高不下。对于巴西1993年的经济形势，巴西舆论界作以下概括:工业的进军号又重新吹响，生产停滞即将过去，通货膨胀猖狂如故。巴西官方对 1993年经济形势非常乐观，认为1993年巴西国内生产总值可望增长500。若果然如此，这将是自1986年以来最好的成绩。更有乐观者认为，国民生产总值可能达到或超过6%，从而超过智利、阿根廷和墨西哥。但包括拉美经委会在内的国际权威机构对巴西的经济形势持更加谨慎的态度。国际货币基金组织甚至认为，巴西经济在1993年仍将处于衰退之中。笔者认为，1993年巴西经济形势虽已取得明显好转，但只是恢复性增长，不能估计过高。 从宏观经济环境来考察，导致巴西经济形势好转的原因是多方面的。诸如国外市场的相对扩大，国外资金流入增加，外债偿还期推迟，在部分行业中，国家、企业和工人签订新的契约，从而形成新的关系，使生产稳定运行。利率下调也是极为重要的条件。1992年12月30日，佛朗哥总统向全国发表演说时指出，国家面临的衰退局面不能再继续下去。并表示他的政府不能接受其前任科洛尔政府的正统的反通货膨胀政策。这种政策将降低利率列为财政收支取得平衡之后的目标，因而它是以恶化经济形势为代价的。佛朗哥政府则以降低利率来诱导生产投资的恢复和扩大。1992年利率为42%, 1993年降至16%。利率的降低有利于扩大生产性贷款，也因减少了金融投机活动的利润而使资金转向生产领域，从而导致生产增长。 在1993年经济的恢复增长过程中，前向关联产业的带头增长作用非常明显。汽车工业1993年上半年产量估计达62.5万辆，是自1980年以来同期最高水平。8月份生产汽车达13.4万辆，是自1957年以来的36年间月产量最高纪录。民用建筑业经过13个“冬天”之后，迎来了可喜的“春天”。以圣保罗城为例，1992年上半年出售民用住宅仅58栋，1993年协1季度即销售124栋。建筑业的繁荣与13年前的景气尚有不同之处。当时主要是靠国家的资助和补贴，而现在的民用建筑业主要靠自身融资发展。汽车工业与民用建筑业的发展带动了一系列相关行业的发展。 近年来巴西企业生产率的提高对1993年经济形势的好转起了重要作用。在科洛尔执 政期间，由于紧缩银根，国内市场萎缩，也由于放宽进口，巴西企业面临来自国外产品的激烈竞争。在这种严峻的考验面前，巴西企业不得不进行技术改进和提高管理水平， 以质优价廉的产品求得生存和发展，生产率 因此而得以提高。这种情况在巴西被称为 “悄悄的革命”。据统计，大圣保罗地区的A、B、 C、 D地区的生产率提高了30%至50%。生产一件产品的时间由平均10小时降为2小时;产品出厂价格下降20%,库存减少80%。另外，最近几年，农村也在...
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...and thinking are determination. There has been a long journey for Leicester city to reach its goal in Premiership success which is within 132 years. LC got their Premier League Champion this year because of their dogged spirit and determination, fought for the last minute goal and finally grinding out their triumph. Hence, if we truly know that we are doing the right thing, we should have the determination and persistence to practice it every day as well as treat every failure and obstacles as our learning possibilities, believe something that is unbelievable, it will get us a long way to success. Besides, an entrepreneur who wants to succeed more and driving sustained business success, they are few lessons can be learned from LCFC victory for every entrepreneur in order to assimilate and apply in their business. Therefore building a right winning culture for the entrepreneurial is a key to success. The achievement of LC look like overnight success for a casual fan, but behind the story there are many important element which lead to the success. In order to justify that culture is a key element in entrepreneurial; Claudio Ranieri the manager of Leicester City has created a culture among player by inspiring and gets the player bond by each other. Therefore the player will seem the team as a whole without any selfishness. In 2014, according to Gallup survey stated that there a less than 1/3 of American employees who actually engaged in their job. Therefore, to build a solid and winning...
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