Lecture Business (4/e): Chapter 3 - Ferrell, Hirt, Ferrell

Chapter 3 - Business in a borderless world. Learning objectives of this chapter include: Explore some of the factors within the international trade environment that influence business; investigate some of the economic, legal-political, social, cultural, and technological barriers to international business; specify some of the agreements, alliances, and organizations that may encourage trade across international boundaries; summarize the different levels of organizational involvement in international trade.

Part Business in a Changing World © 2015 McGraw­Hill Education 3-2   CHAPTER The Dynamics of Business and Economics CHAPTER Business Ethics and Social Responsibility CHAPTER APPENDIX The Legal and Regulatory Environment CHAPTER Business in a Borderless World 3-3 Learning Objectives LO 3-1 Explore some of the factors within the international trade environment that influence business LO 3-2 social, Investigate some of the economic, legal-political, cultural and technological barriers to international business LO 3-3 Specify some of the agreements, alliances and organizations that may encourage trade across international boundaries LO 3-4 Summarize the different levels of organizational involvement in international trade LO 3-5 Contrast two basic strategies used in international business 3-4 Role of International Business 3-5 Role of International Business Exporting – the sale of goods and services to foreign markets 2011 U.S exports = $2.1 trillion+ Importing – the purchase of goods and services from foreign markets 2011 U.S imports = $2.6 trillion+ 3-6 Economic Barriers Level of development is determined in part by a country’s 3-7 Tariffs and Trade Restrictions • Fixed tariff is a specific amount of money levied on each unit of product brought into the country • Ad valorem tariff is based on the value of the item 3-8 Tariffs and Trade Restrictions 3-9 Political & Technological Barriers 3-10 Trade Agreements and Organizations 3-11 Getting Involved 3-12 Getting Involved 3-13 Getting Involved 3-14 Getting Involved 3-15 Getting Involved A strategy that involves standardizing products (promotion and distribution) for the whole world as if it were a single entity A plan used by international companies that involves customizing products, promotion and distribution according to cultural technological, regional and national differences ... item 3- 8 Tariffs and Trade Restrictions 3- 9 Political & Technological Barriers 3- 10 Trade Agreements and Organizations 3- 11 Getting Involved 3- 12 Getting Involved 3- 13 Getting Involved 3- 14 Getting... World 3- 3 Learning Objectives LO 3- 1 Explore some of the factors within the international trade environment that influence business LO 3- 2 social, Investigate some of the economic, legal-political,... involvement in international trade LO 3- 5 Contrast two basic strategies used in international business  3- 4 Role of International Business 3- 5 Role of International Business Exporting – the sale of