International Business Writing

Chapter questions:

1. “Increased globalization in the market creates opportunities for businesses to compete in larger markets and provides substantial revenue growth through regional sales and targeted marketing. It also provides consumers with an exponentially greater quantity of available products and services at globally competitive prices.” Social media and internet connectivity have made it easy for a small business in the Midwest to sell a product to consumers in Europe

2. Financial globalization on the world economy has caused the standardization of accounting principles. This has cost businesses a lot of money. The government has offered some subsidies in order to help businesses afford software and training for this, but it doesn’t really help the fact that people have a negative opinion on it. In the long run, it will work out and actually be helpful for the world economy, but right now the outlook is grim.

3. The economic downturn has caused an increase in protectionism and nationalization. Concerns are being raised that countries might try to improve their own trade positions in order to help their domestic markets.

4. One recent macro political risk event is the leaking of files by former NSA employee Edward Snowden. He leaked several files that had the possibility to put the USA’s relations with other companies on edge. He then traveled to Russia and they gave him protection, which in turn put our relationship with them on edge. A micro political risk event is something that happens that affects only a few industries or companies. A good example of that is the number of fakes that the Chinese market makes of Apple products. Since the Chinese decides to rip off Apple by making these, Apple decided that they would not sell their products to Chinese markets.

5. Many companies use consulting firms to keep tabs on the political actions of countries they are working with. This method is fairly effective considering these firms are...