China Case
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2. The study of international business is fine if you are going to work in a large multinational enterprise, but it has no relevance for individuals who are going to work in small firms. Evaluate this statement.
In the study of international business a company does not have to be the size of these multinational giants to facilitate, and benefit from, the globalization of markets. In the United States nearly 90 percent of firms that export are small businesses employing less than 100 people, and their share of total U.S. export has grown steadily over the past decade to now exceed 20 percent. Firms with less than 500 employees accounted for 97 percent of all U.S. exporters and almost 30 percent of all exports by value. (Hill,p.7)
3. How have changes in technology contributes to the globalization of markets and production? Would the globalization of production and markets have been possible without these technological changes?
Changes in technology contributes to the globalization of markets and productions by having more access to telecommunication, such as the internet, email, video conferencing, telephone and messaging in order to communicate with any international business deals. It wouldnt be a problem because these are faster ways to communicate just in case of any business emergencies across the globe. Also transportation is another source of technology that contributes to both globalization of markets and production by booking a quick flight within a matter of hours across the globe to take care of any more business in person.
The globalization of production and markets would not be possible without these technological changes because it makes it more easier to communicate with one another. We would do business quicker and faster and everything would be more as ready on time.
5. How does the internet and the world wide web affect international business activity and the globalization of the world economy?
Internet and the associated world wide web affect international business activity and the world economy by making it much easier for buyers and sellers to find each other wherever they May be located and whatever their size it allows businesses, both small and large, to expand their global presence at a lower cost than ever before (Hill, p.15)
6. If current trends continue, China may be the worlds largest economy by 2020. Discuss possible implications for (a) the world trading system,(b) the world monetary system, (c) the business strategy of todays European and U.S. -based global corportations , and (d) global-