International Business

OBJECTIVES:

• To understand the multinational dimensions in management of a MNC company and the business operations in more than one country.

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UNIT I - AN OVERVIEW OF INTERNATIONAL BUSINESS

‍Definition and drivers of International Business- Changing Environment of International Business- Country attractiveness- Trends in Globalization- Effect and Benefit of Globalization-International Institution: UNCTAD Basic Principles and Major Achievements, Role of IMF, Features of IBRD, Role and Advantage of WTO.

UNIT II - THEORIES OF INTERNATIONAL TRADE AND INVESTMENT‍

Theories of International Trade: Mercantilism, Absolute Advantage Theory, Comparative Cost Theory, Hecksher-Ohlin Theory-Theories of Foreign Direct Investment : Product Life Cycle, Eclectic, Market Power, Internationalisation-Instruments of Trade Policy : Voluntary Export Restraints, Administrative Policy, Anti-dumping Policy, Balance of Payment.

UNIT III - GLOBAL ENTRY

‍Strategic compulsions-– Strategic options – Global portfolio management- Global entry strategy, different forms of international business, advantages – Organizational issues of international business – Organizational structures – Controlling of international business, approaches to control – Performance of global business, performance evaluation system.

UNIT IV - PRODUCTION, MARKETING, FINANCIALS OF GLOBAL BUSINESS‍

Global production: Location, scale of operations- cost of production- Standardization Vs Differentiation- Make or Buy decisions- global supply chain issues- Quality considerations. Globalization of markets: Marketing strategy- Challenges in product development- pricing- production and channel management. Foreign Exchange Determination Systems: Basic Concepts-types of Exchange Rate Regimes- Factors Affecting Exchange Rates.

UNIT V - HUMAN RESOURCE MANAGEMENT IN INTERNATIONAL BUSINESS‍

Selection of expatriate managers- Managing across cultures -Training and development- Compensation- Disadvantages of international business – Conflict in international business- Sources and types of conflict – Conflict resolutions – Negotiation –Ethical issues in international business – Ethical decision-making.

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