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business
international business

Questions and Answers of International business

Will the stability of the world’s economy increase or decrease as a result of the fracking revolution?What about the stability of the world from a political perspective? Joseph Schumpeter, an
What environmental concerns does widespread use of fracking create? What is the appropriate tradeoff between environmental concerns and economic growth? Joseph Schumpeter, an Austrian-born economist
Discuss the changing role of China in the world economy. Does China’s rise help or hurt people in developed countries?What about people in other emerging markets? Go to mymanagementlab.com
Has globalization and increased international trade and investment helped or hurt the world’s poorest peoples and countries? Go to mymanagementlab.com
Mymanagementlab Only—comprehensive writing assignment for this chapter Go to mymanagementlab.com
1. Describe the major types of legal systems confronting international businesses.
2. Explain how domestic laws affect the ability of firms to conduct international business.
3. List the ways firms can resolve international business disputes.
4. Describe the impact of the host country’s technological environment on international business.
5. Identify the factors that influence national accounting systems.
6. Explain how firms can protect themselves from political risk
3-1. Describe the four different types of legal systems with which international businesses must deal.
3-2. What is extraterritoriality?
3-3. How can an MNC affect its host country?
3-4. How do expropriation and confiscation differ?
3-5. Why do countries impose restrictions on foreign ownership of domestic firms?
3-6. How do restrictions on repatriation of profits affect MNCs?
3-7. What factors influence the accounting procedures a country adopts?
3-8. How do German firms use accounting reserves?
3-9. What is the impact of differing accounting standards on the international capital market?
3-10. What is political risk? What forms can it take?
3-11. What is OPIC’s role in promoting international business activity?
3-12. What options do firms have when caught in conflicts between home country and host country laws?
3-13. What is the impact of vigorous enforcement of intellectual property rights on the world economy?Who gains and who loses from strict enforcement of these laws?
3-14. Does your country impose restrictions on the export of dual-use items? Have other countries imposed restrictions on your country importing dual-use items?What do these restrictions include and
3-15. What is the impact on the global economy if governments fail to restore investors’ faith in firms’ accounting statements?
3-16. What impact would harmonization of national accounting standards have on international businesses?
3-17. What is meant by “aggressive accounting,” and is it used by any businesses in your own country?
3-18. Identify the key groups or organizations that are likely to oppose the setting up of the business. How strong are they and what kind of influence do they exert? Both government and competitors
3-19. What power and influence do the different branches of government have? Which is likely to be the most resistant? Both government and competitors can have a marked impact on the ability of a new
3-20. Assess the probability that the right to establish the business is going to be denied, regardless of any safeguards you promise to make. Both government and competitors can have a marked impact
3-21. What are the existing regulations that could impact the potential setting up of the business? Can they be circumvented in some way? Both government and competitors can have a marked impact on
3-22. Pick one of the island chains (Paracel, Spratly, Pinnacle/Senkaku/Diaoyu/Tiaoyutai) under dispute.Research the claims of the parties asserting ownership of the island chain. Prepare a short
3-23. Suppose you are an executive for Forum Energy PLC, which was granted exploration rights in the Spratlys by the Philippines. What political risks do you face?What can you do to lessen these
3-24. Suppose you are an executive for Toyota, which has extensive FDI in China and has targeted the Chinese market as critical to the company’s future growth.What political risks do you face? What
3-25. Discuss the differences in accounting systems and procedures adopted by countries. What are the primary influences on a country’s accounting system? Go to mymanagementlab.com
3-26. What is political risk? How can companies protect themselves from political risk? Go to mymanagementlab.com
3-27. Mymanagementlab only—comprehensive writing assignment for this chapter. Go to mymanagementlab.com
1. Discuss the primary characteristics of culture.
2. Describe the various elements of culture and provide examples of how they influence international business.
3. Identify the means by which members of a culture communicate with each other.
4. Discuss how religious and other values affect the domestic environments in which international businesses operate.
5. Describe the major cultural clusters and their usefulness for international managers.
6. Explain Hofstede’s primary findings about differences in cultural values.
7. Explain how cultural conflicts may arise in international business.
4-1. Briefly describe culture and its main elements.
4-2. What are the primary characteristics of culture?
4-4. What are cultural clusters?
4-5. What are individualism and collectivism? How do they differ?
4-7. What is power orientation?
4-8. What is uncertainty orientation?
4-9. What are aggressive and passive goal behaviors?How do they differ?
4-10. What is the self-reference criterion?
4-12. U.S. law protects women from job discrimination, but many countries do not offer women such protection.Suppose several important job opportunities arise at overseas factories owned by your
4-14. As International Business (IB) Manager of ABC Inc., your team is considering investing in a foreign country.List the attractiveness of top 25 countries in terms of FDI and your strategy. (Hint:
4-15. What were your primary sources of information about the three countries? How easy or difficult was it to find information? This exercise will help give you insights into how cultural and social
4-16. Why are the following products popular in the global market? Do they relate to the culture of the countries they represent?(1) Japanese Cars, (2) Malaysian Rubber, (3) Indian Cinema, (4) Kenyan
4-17. Create a group on cultural dimension in class based on nationality, age, education and occupation. Discuss the effects of culture on businesses This exercise will help give you insights into
4-18. AFLAC introduced the AFLAC duck in the U.S.market to build brand awareness there. However, AFLAC’s brand awareness is high in Japan. Should AFLAC use the same advertising campaign in Japan as
4-19. How important is it for AFLAC to adapt its business practices to the Japanese way of doing things?Should AFLAC act more Japanese or more American in doing business in Japan? Fifteen years ago,
4-20. AFLAC built its dominant position in the Japanese supplemental insurance market because Japanese regulators actively discouraged new entrants into this market. The Financial Big Bang policy now
4-21. AFLAC is a rarity among U.S. companies inasmuch as the Japanese market accounts for more than 75 percent of its business. Does this reliance on the Japanese market create any special challenges
4-22. Explain the high context-low context approach developed by Edward and Mildred Hall. What are the primary differences observed in business settings between high context and low context cultures?
4-23. One of the most influential schemes for analyzing cultural differences among countries was developed by the Dutch researcher Geert Hofstede. Discuss the various dimensions of culture that
4-24. Mymanagementlab only—comprehensive writing assignment for this chapter Go to mymanagementlab.com
1. Describe the nature of ethics.
2. Discuss ethics in cross-cultural and international contexts.
3. Identify the key elements in managing ethical behavior across borders.
4. Discuss social responsibility in cross-cultural and international contexts.
5. Identify and summarize the basic areas of social responsibility.
6. Discuss how organizations manage social responsibility across borders.
7. Identify and summarize the key regulations governing international ethics and social responsibility.
5-1. Define business values.
5-2. Distinguish between ethical and unethical behavior.
5-3. Do national environments shape the ethical orientation of a firm?
5-4. How do organizations attempt to manage ethical behavior across borders?
5-5. What is social responsibility?
5-6. What is the difference between ethics and social responsibility?
5-7. Identify the major areas of social responsibility for international business.
5-8. What are the four general approaches a firm can take with regard to social responsibility?
5-9. Do sustainable ethical businesses exist?
5-10. Identify and briefly summarize representative laws and regulations that attempt to address international ethics and social responsibility.
5-12. Is it valid to describe someone as having “no ethics”?Why or why not?
5-13. What do you think would happen if an individual’s belief system conflicted with a global firm’s values?
5-14. Under what circumstances is a code of ethics most and least likely to be effective? Why?
5-16. Do you think social responsibility for an MNC is something best managed locally or best managed globally?
5-17. Discuss how a firm’s global corporate strategy is shaped by its various local business environments.
5-19. Under what circumstances, if any, might you see yourself as a whistle-blower? Under what circumstances, if any, might you keep quiet about illegal acts by your employer?
5-20. Do you think there should be more or fewer attempts to regulate international ethics and social responsibility?Why?
5-21. The oil industry has long been accused of degrading the natural resources of the countries it operates. Some aspects of this unethical behavior can be traced back to the governments in some
5-22. Are the ethics of gift-giving different between high-context and low-context cultures?
5-24. Symbolically, what potential role does the Internet serve in helping to promote ethical conduct and social responsibility as evidenced by the websites you visited?Identify an industry that
5-25. Which firm has the most effective website vis-à-vis ethics and social responsibility? In your opinion, what makes it the best?Identify an industry that interests you personally and that has a
5-26. Which firm has the least effective website vis-à-vis ethics and social responsibility? In your opinion, what makes it the worst?Identify an industry that interests you personally and that has
5-27. How do the websites affect your view of each company from the standpoint of a potential investor? A potential employee? A potential supplier?Identify an industry that interests you personally
5-28. If asked, what advice might you offer to each company to improve its attention to ethical conduct and social responsibility as reflected by its website?Identify an industry that interests you
5-29. BP replaced the deficient pressure-relief valves identified by OSHA during a 2006 inspection of its Toledo refinery. It did not replace valves suffering similar problems that OSHA inspectors
5-30. What would you have done if you were the manager of the Toledo refinery? On April 20, 2010, the Deepwater Horizon, a drilling rig operating in the Gulf of Mexico, exploded, killing 11 workers
5-31. Suppose you (the manager of the Toledo refinery)had just received a memo from corporate headquarters that your plant operating costs were over budget. Would that affect your answer? On April
5-32. Should BP put safety first or profits first? On April 20, 2010, the Deepwater Horizon, a drilling rig operating in the Gulf of Mexico, exploded, killing 11 workers and injuring another 17.

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