Based on the video you chose and the required readings, briefly discuss the following questions. Support your arguments with data and concepts from the readings:
Assess the arguments presented by Ghemawat; the activist; the business executive; and the government trade official. How do their opinions reflect the three major viewpoints on the future of international business and globalization presented by DRS on pp. 23-24?
Outsourcing services has always been wrapped in myths and there is a need to separate the truth from fiction. There are just plenty of misleading concepts about industries that are evolving on their own, becoming a catalyst of change in the way the world works. Like ...view middle of the document...
Those who hold this view also argue that governments will be pressured to place fewer rather than more restrictions on the international movement of goods and the means of producing them. The question is how to spread the benefits of globalization equitably while minimizing the hardships placed on their parties – both people and companies – who “suffer” from increased international competition.
* International business will grow primarily along regional rather than global lines – this premise is based on studies which show that almost all firms that consider themselves global conduct a dominant portion of their business in their home and neighboring countries. It may be possible; however, that regionalization is a transitional step on the route to globalization.
* Forces working against further globalization and international business will slow down the growth of both – historically, pressure groups have often been successful in obstructing policies and activities that threatened their own well-being. In addition, recent anti-globalization interests have successfully promoted a variety of causes in numerous countries that span the globe. Whether institutions and people can work together to effectively manage the complexities of today’s interconnected world remains to be seen.
It must be kept in mind that doing business, traditional or virtual, comes with pros and cons. Outsourcing needs can turn into a success story if there is a careful plan in the first place. Outsourcing is a powerful weapon in achieving a win-win deal, and it can also be a weapon of destruction.
What are the challenges and unintended consequences of international business?
Successful international corporations are those that recognize the diversity of the world marketplace and are able to cope with the uncertainties of doing business in continually changing market environments. The task of understanding the diversity of the world marketplace is immense. International executives must cope with the following: political diversity as world markets may be governed by autocracies (chiefs, kings, dictators, one-party governments) or democracies, economic diversity as national wealth disparities vary from $107 per capita per year in Burundi to over $71,000 per capita in Norway, regional diversity in distributions of wealth and population, cultural/linguistic diversity, diversities in country size and populations, and developmental diversities between industrialized nations. In addition, the world marketplace is characterized by constant change, resulting in major political, economic, cultural, and financial uncertainties.
What is the role...