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Chapter 1: Assessing the Environment Political, Economic, Legal, Technological,PowerPoint by: Mohamad Sepehri, Ph.D. Jacksonville University,1-1,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Chapter Learning Goals,Understand the global business environment and how it affects the strategic and operational decisions which managers must make. Critically assess the developments, advantages, and disadvantages of globalization. Review the role of technology in international business. Develop an appreciation for the ways in which political, economic, legal, and technological factors and changes impact the opportunities that companies face. Discuss the complexities of the international managers job.,1-2,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Opening Profile: Economic Crisis Spreads Through Financial Globalization,What caused the global economy to collapse? Toxic Assets: 不良资产 Highly leveraged securities Subprime mortgage mess Finance has become one of the most international of industries Failure of banks and other financial institutes: Fannie Mae & Freddie Mac Lehman Brothers AIG And many more,1-3,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Opening Profile: Typical Challenges that Managers Face in the 21st Century,Political and cultural differences Global competition Terrorism Technology Finding ways to balance their social responsibilities, their images, and their competitive strategies,1-4,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,What is International Management?,1-5,The process of developing strategies, designing and operating systems, and working with people around the world to ensure sustained competitive advantage,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,What is Globalization?,Global competition characterized by networks of international linkages that bind countries, institutions, and people in an interdependent global economy,1-6,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,视频: 200 countries in 200 years,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,7,Benefits of Globalism,Access to more markets Growth of developing economies Opportunities for flexibility and efficiency Opportunities for small and medium-sized enterprises (SMEs),1-8,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Chinese reform and opening-up policy,From 1978 to 21 Century,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,9,living standard,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,10,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,11,transportaion,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,12,dressing,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,13,Challenges to Globalism,Backlash against capitalism and rekindling of nationalism Increased protectionism of high-demand resources Need to develop top managers with international understanding and experience,1-14,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,15,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,16,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,17,Regional Trading Blocks,The dominance of the United States is already over. What is emerging is a world economy of blocs represented by: NAFTA, EU, and ASEAN. Much of todays world trade takes place within these three regional free-trade blocs: Western Europe, Asia, and the Americas Much of todays world trade are grouped around three dominant currencies: euro, yen, and the dollar,1-18,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall, 2006 Prentice Hall,1-19,Regional Trading Blocs,TRIAD Market European Union(欧盟) Asian Market China, Japan, South Asia NAFTA (北美贸易自由协定) CAFTA(中国-东盟自由贸易区), 2006 Prentice Hall,1-20,Europe Union,欧洲联盟盟旗 (这12颗星代表圣母玛利亚的守护 ), 2006 Prentice Hall,1-21,欧洲联盟(简称欧盟(EU),总部设在比利时首都布鲁塞尔,是由欧洲共同体发展而来的。 其实是一个集政治实体和经济实体于一身、在世界上具有重要影响的区域一体化组织。 1993年11月1日,马约正式生效,欧盟正式诞生。, 2006 Prentice Hall,1-22,欧共体创始国为法国、联邦德国、意大利、荷兰、比利时和卢森堡六国。 至2009年1月止共有27个成员国,他们是: 英国、法国、德国、意大利、荷兰、比利时、卢森堡、丹麦、爱尔兰、希腊、葡萄牙、西班牙、奥地利、瑞典、芬兰、马耳他、塞浦路斯、波兰、匈牙利、捷克、斯洛伐克、斯洛文尼亚、爱沙尼亚、拉脱维亚、立陶宛、罗马尼亚、保加利亚。, 2006 Prentice Hall,1-23,Asia, 2006 Prentice Hall,1-24,总部:印尼首都雅加达 成员国:文莱、柬埔寨 印度尼西亚、老挝、 马来西亚、缅甸、 菲律宾、新加坡、 泰国、越南, 2006 Prentice Hall,1-25,NAFTA(北美自由贸易协定),北美自由贸易协议(NAFTA) 是美国、加拿大及墨西哥在1992年8月12日签署了关于三国间全面贸易的协议。,北美自由贸易区是典型的南北双方为共同发展与繁荣而组建的区域经济一体化组织,南北合作和大国主导是其最显著的特征。,思考:北美自由贸易协定对美国和对墨西哥的影响有何不同?,The European Union EU,A unified market over 400 million people living in 27 nations EU poses two challenges for global managers: “Fortress” Europe Dealing with multiple cultures within this unified market,1-26,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Asia,China India ASEAN South Asia Association of Regional Cooperation (SAARC) Japan Asian Tigers: Hong Kong Singapore South Korea Taiwan,1-27,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Americas,North American Free Trade Agreement (NAFTA) Central America Free Trade Agreement (CAFTA) MERCOSUR,1-28,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Other Regions in the World,The Russian Federation Middle East The African UnionAU South Africa Less developed countriesLDCs Low Gross National Product (GNP) Low Gross Domestic Product (GDP) Large, relatively unskilled workforce High international debt,1-29,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Comparative Management in Focus: China Keeps on Chugging,The fastest growing GDP rate (over 9 percent/year) for 30 years Economy has doubled every eight years for 30 years Surpassed Germany in 2009 as the worlds largest exporter Investing heavily in energy and other natural resources in 2009 that could give it an economic advantage it has never had before However: Weakening demand for Chinese exportsdue to global recession Chinese government may not be able to prevent the financial crisis from derailing the countrys economic miracle The political, legal, and social environments create unpredictability for businesses,1-30,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Management Focus: Intel Brings Changes to Vietnams Economy and Culture,United States opened trade relations with Vietnam in 2000. Vietnams rapid growth can be contributed to those aspects of globalization that attracts corporations such as Intel. Intel is taking advantage of new markets and lower costs of production. Intels success started with awareness of the tight control of the Vietnamese government.,1-31,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,2010年10月,英特尔宣布投资10亿美元位于越南芯片封装和测试工厂建成开工,这是英特尔全球范围内最大的同类型工厂,将为越南创造数千个就业机会。 英特尔本在公报中说明了越南的工厂的大致情况,越南新工厂位于胡志明市第9区西贡高科技园区,这也是英特尔自从1997年在胡志明市建立办公室以来投建的最大项目。越南工厂总面积超越46000平方米,等同于5个半足球场。和英特尔在中国大连投资25亿美元建成的芯片制造工厂不同,该厂主要负责芯片瑕疵测试以及内部封装工作。 英特尔官方表示:“对英特尔硅工业来说封装和测试工作是整个工作链产业中非常重要的一个环节。” 越南芯片封装厂目前主要负责笔记本和移动设备芯片的最后封装制造工作,未来一旦完全投入运营,那么将为越南带来巨大的出口额。 英特尔表示之所以被吸引到越南主要是因为看中了其丰富的人力资源,并且这也和越南政府连续四年持之以恒的诚恳邀请分不开。英特尔越南工厂项目宣布于2006年,2007年3月动工。,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,32,The Impact of the Information Technology,Making Geographic barriers less relevant Lowering cultural barriers Encouraging convergence of consumers tastes and preferences,1-33,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall, 2006 Prentice Hall,1-34,The Globalization of Human Capital,Globalization means we share jobs as well as goods. - FINANCIAL TIMES, August 27, 2003,视频: Did you know?,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,35,Globalization of Human Capital,Increasing trend in the offshoring of manufacturing jobs and outsourcing of white-color jobs Prediction that 3.3 million U.S. jobs in service sector may be lost/outsourced by 2015,1-36,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Global Managers Role,1-37,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Political and Economic Environment,Sustainabilityeconomic, political, social, and environmentalhas become a significant worldwide issue 可持续发展 Ethnicitya driving force behind political instability around the world 种族 Religionreligious disputes lie at the heart of regional instabilities: former Yugoslavia, Northern Island, the Middle East 信仰,1-38,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Political Risk,Examples:,1-39,Any governmental action or politically motivated event that could adversely affect the long-run profitability or value of a firm,Venezuela took control of cement plants and offices belonging to Mexico, after failing to reach an agreement in nationalization talks.,Bolivian presidents move to nationalize the national gas industry followed that in Venezuela.,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Political Risk Cont.,Typical Political Risks,Political Risk Assessment,1-40,Expropriation and confiscation征用和充公 Nationalization Terrorism Macro-political risk event Micro-political risk event Discriminatory treatment差别对待 Barriers to repatriation of funds资金遣返 Interference in managerial decision making Dishonesty by government officials,Helps companies manage exposure to risk and minimize financial loss Two forms: Consultation with experts Development of internal staff capabilities,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Managing Political Risk,Avoidance and Adaptation,Dependency and Hedging,1-41,Equity sharing Participating management Localization of the operation Development assistance,Input control Market control Position control Staged contribution Political risk insurance (OPIC and FCIA) Local debt financing,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Managing Terrorism Risk,Develop a benevolent image (IBM and Exxon). Maintain a low profile and minimize publicity. Using teams to monitor terrorist activities Hiring counterterrorism consultants,1-42,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Economic Risk,Is closely related to political risk Is determined by a countrys ability or intention to meet its financial obligations,1-43,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Categories of Economic Risk,Loss of profitability due to abrupt changes in monetary and fiscal policies Loss of profitability due to changes in foreign investment policies Risk of currency exchange rate Example: devaluation of peso in 1990s,1-44,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,Managing the Economic Risk,1-45,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Legal Environment,Consists of the local laws and legal systems of those countries in which an international company operates and of international law, which governs relationships between sovereign countries,1-46,Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall,The Legal Environment,Types of Legal Systems,Approaches to Contrac

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