LO 3-1 Explore some of the factors within the international trade environment that influence business.
LO 3-2 Investigate some of the economic, legal-political, social, 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.
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Part 1Business in a Changing World© 2015 McGraw-Hill Education. CHAPTER 1The Dynamics of Business and EconomicsCHAPTER 2Business Ethics and Social ResponsibilityCHAPTER 2 APPENDIX The Legal and Regulatory EnvironmentCHAPTER 3Business in a Borderless World3-2Learning ObjectivesLO 3-1 Explore some of the factors within the international trade environment that influence business.LO 3-2 Investigate some of the economic, legal-political, social, 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.3-3Role of International Business3-43-5Role of International BusinessExporting – the sale of goods and services to foreign markets2011 U.S. exports = $2.1 trillion+Importing – the purchase of goods and services from foreign markets2011 U.S. imports = $2.6 trillion+Economic Barriers3-6Level of development is determined in part by a country’sTariffs and Trade Restrictions3-7Fixed tariff is a specific amount of money levied on each unit of product brought into the countryAd valorem tariff is based on the value of the itemTariffs and Trade Restrictions3-8Political & Technological Barriers3-9Trade Agreements and Organizations3-10Getting Involved3-11Getting Involved3-12Getting Involved3-13Getting Involved3-14Getting Involved3-15A strategy that involves standardizing products (promotion and distribution) for the whole world as if it were a single entityA plan used by international companies that involves customizing products, promotion and distribution according to cultural technological, regional and national differences
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