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MF 1001, The Context of Business

Take Home Final Examination, Fall, 2003

 

Working alone, answer the following questions pertaining to each of the articles included in this assignment.  You may use further research in sources other than the course textbook, in answering the questions.

 

  1. Why would IBM seek to engage in international business in the Philippines for its “business process outsourcing activities.”
    1. For the Philippines, what mode of carrying out international operations would this action represent?
    2. What cultural factors should IBM consider and how would you assess them for the Philippines location?
    3. What political factors should IBM consider and how would you assess them for the Philippines location?
    4. What other factors should IBM investigate before making a decision.
    5. If you were the IBM decision maker would you go ahead with this endeavor?  Why, or, why not?  (15 points)

 

  1. What cultural aspects should one consider before doing business in Latin America? (15 points)
    1. What strategies for dealing with cultural differences might MNEs use when doing business in Latin America?
    2. What precautions would you take when looking at the financial feasibility and political situation of a foreign direct investment in Latin America?
    3. If you were the decision-maker for your MNE would you go ahead with an investment in Latin America?  Why, or, why not?

 

  1. How does the context of business in Thailand compare with the context of business of the companies in the article “People and Profit?” (10 points)
    1. Can Thai companies complete with MNEs regarding how they manage their people?  Why, or, why not?
    2. As a manager in either an MNE or a Host Country company, which of the principles discussed in the article would you be most likely to apply.

 

  1. Please comment on the article abstracts 4a and 4b pertaining to trade theory (10 points):
    1. What facts or aspects studied during The Context of Business might lead you to either believe or disbelieve the abstract regarding “the convergence hypothesis.”
    2. What facts or aspects of our course might lead you to either believe or disbelieve the abstract regarding “Catch up.”

 

  1. Read and do a case analysis of the “3M and its foreign-exchange risk-management strategy” case. (15 points)

 

  1. Read and do a case analysis of the “Royal Dutch Shell/Nigeria” case (15 points).

 

  1. Read the articles about India.  Would it be a good country for an MNE to select as an FDI?  Using the format presented in chapter 13 and any other material support your answer. (20 points)