Developed by the UNCTAD
United Nations Conference on Trade and Development
Based on three things
Revenue (Home Country vs. Host Country)
Globalization: is the interconnection of countries , shrinking the world, link between international trade, politics, and culture.
Individuals, Companies, Countries
More markets, trade routes, products, expansion.
Broad Global Issues
Natural Advantages declining
Culture blending curiosity
Flood of exports: competition issues.
Increase income, economic opportunity.
Diseases, Medical Knowledge
Domino Effect (Ripple Effect)
(Feb 3, 2014)
World’s Largest Economies
Countries economies are measured by their value of production GDP.
Globalization: socio-economic reform process, decreases barriers, increased economic growth, geo-political growth.
An alternative way of looking at globalization is: interdependence, diversity, ambiguity, fast flux.
Open system Model
The term comes from a biology term.
OrganizationBusiness EnvironmentGeneral Environment (Demographics, Culture, Politics, Events)
The organization effects the environment & The environment affects the organization
Inputs: Costumers, competitors, suppliers, government, community, financial institutions, special interest groups factors of production(Environment affect Organizations)
Outputs: Subsystems, byproducts (Organization affect Environments)
Shareholders: buy parts of a company
Stakeholders: not the same
E=Economics (Systems & Indicators)
Institution: group of people coming together to work for a purpose.
Ideologies: set of beliefs and way of thinking that guide an institution
Anarchy, Libertariansim, Democracy(Simple & Rep)
Communism, Authoritarianism, Totalitarianism (theocratic/Secular), Nationalism, Fascism, Dictator.
Capitalism (Black Market, Free market) Mixed Economics, Socialism
Command Economy/Centrally Planed Economy, Socialism
*socialism: government controls some aspect of production
Types of Risk
Political: Something that can happen that is driven by the government in some manner. Makes it harder to do business there.
Systemic: things that happen related to a localization
Procedural: holding or slowing down things for a business.
Distributive: The benefit of the company, who are the benefits distributed to and who is receiving more.
(Expropriate: buying under value)
Catastrophic: Is not a natural disaster that defines it but the response to the disaster.
Corruption: the use of power for personal gain and not the well being of another
Corruption Perception Index
Pages 152-156 cover different levels of law
Types of Legal Systems
Civil / Code Law: The government has established laws and has them codified. That law is placed by government and any ruling is prestated.
Common Law: Prestated law that is open to interpretations.
Theocratic Law: Based on religion
Intellectual Property Rights
Copyrights: Media information
British penal colony in 1788
Free settlers in 19th century due to gold & natural resources.
Considered part of the British common wealth
Large foreign policy for Asians
Agriculture s main stable of economy.
Plays active role in Pacific affairs
Anti-Nuclear stances created issues with USA
Strict authoritarian gov
Largest cotton, oil, gas and gold deposit.