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International Business

December 2021 Examination

 

Question 1. “In International Business an organization should be able to cope up with the international differences that arises from different culture and for that the international culture has to be understood by the managers”.

In light of above statement explain various factors an organization need to understand about cultural difference while making strategies for international business. Also explain interaction between national culture and organizational culture.      (10 Marks)

 

Ans 1.

Introduction

I believe that culture often refers to the effects of cultural structures, such as severe, own family, instructional, and social structures, on individuals, how they remember their lives, and the decisions they make. Progress can only be made within subcultures that have been forged by using their subcultures as the rules. There are companies that would like to publicize things in specific countries, however they must be sensitive to certain elements of the social structure of eac

Question 2. “Titan Watches” is known for transforming the watch industry in India. Company wants to evaluate Bangladesh as a potential market for business expansion. Titan wants to conduct a market research to identify this opportunity.

What is the scope and process involved in conducting International Market Research?  (10 Marks)

Ans 2.

Introduction

It is evident that the international market is evolving very rapidly, and this influx of modification prompts a relationship with favorable and not so favorable circumstances. While these moves take into account fast growth, global activity change, the advances in worldwide capital, as well as the needs of customers, they do not neglect fast progress. In this series of changes in frameworks and regulations, as well as processes, multiple industries are impacted to the extent

Question 3. Nike   Inc.,   the   world’s   leading   apparel   and   footwear   manufacturer,   outsources   the manufacturing part of the production to a number of factories in Asia where there is plenty of cheap labor available.

Usually, it chooses countries where cheap labor is available, where there is an authoritarian government, and the lack of union rights appeals and union movements.

Since the 1970s,  Nike, Inc. has been accused of using  sweatshops to produce  footwear and apparel. It was built on the business model of finding the lowest cost of labour possible which led to child labour and exploitation

As to remain competitive in the market, Nike searched for cheaper resources and markets. Therefore, Nike had shifted its production to lower manufacturing cost countries such as Japan, Korea and Taiwan. Later in the 1980s, production had moved to Southern China. However, as Japan’s economic started expanding, the manufacturing cost increased. Therefore, Nike shifted its contracts to Vietnam, Indonesia and China

Nike has the highest number of contract factories in China followed by Thailand, South Korea, Vietnam, Pakistan, Bangladesh, and India. By opting for such places, Nike has made huge margins due to cheap labor…

Starting from the mid 1990s, there were criticisms from human right protectors and media regarding labour health and safety conditions, low wages and discrimination in the hiring and firing process. Therefore, Nike started to take actions as to rescue its reputation.

a. Briefly describe the ethical issues involved in sweatshop conditions and the treatment of workers in Nike’s factories. (5 Marks)

b. Nike has failed to follow the labor laws of the countries it operates in and has not succeeded in effectively implementing its Code of Conduct. What measures must Nike take to convince the public that it really wants to put an end to the maltreatment and exploitation of workers in its Asian factories? (5 Marks)

Ans 3.

Introduction

It is now a widely accepted fact that ethical conduct has dynamically become one of the single most offensive topics within the modern business society. Globalization is generating more and more multinational companies (MNCs) using new methods of integrating morals into the workplace and further empowering them to manage moral issues in the many areas where they

Ans 3B.

Introduction

Due to pressure from savants who have endeavored to translate its famous shoe logo into a phrase that implies misleading, Nike Inc. has committed the sin of showing immature employees and requiring overseas manufacturers of its products to follow extreme United States prosperity

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