FOUNDATION CERTIFICATE IN MARKETING
2.04 INTERNATIONAL BUSINESS 2009/10
The objective of this course is that on completion the student will have an understanding of the environmental, social and managerial issues of International Business. This subject acts as a foundation for International Marketing Management and Strategy in Stage 3.
1. An Introduction to International Business
History of International Business. Why is International Business different? The International Business Model. Trading and investing in International Business: foreign investment, motivations for entering foreign markets. Globalisation. Multidomestic or global strategy? Current patterns of world trade.
2. Economic Theories of International Business
International trade theory, trade restrictions. Theories of economic development. International investment theories. Major trading partners; their significance to business.
3. Dynamics of International Organisations
Key international organisations; history, current status and prospects. World Bank, International Monetary Fund, World Trade Organisations, European Union: development, institutions and implications of enlargement. Forms of economic integration. Regional groupings of countries-implications for business.
4. International Monetary System
History of the IMS. Fixed and floating exchange rates-issues and implications for business. European Monetary System (EMS) and the Euro. Implications of the Euro for Irish firms.
5. The Foreign Environment
(a) Financial forces influencing International Business
Fluctuating currency values and currency exchange controls. Balance of payments (BOP). Tariffs, duties, taxation, and inflation issues.
(b) Economic and socio-economic forces
International economic analysis. Dimensions of the economy and relevance for business people.
(c) Physical and Environmental Forces
Effect of location on political and trade relationships. Impact of topography and climate on business and implications for business people.
(d) Sociocultural forces
Defining culture, sociocultural components, understanding national cultures, relevance for business people
(e) Political Forces
Ideological forces; government ownership of business, privatisation, nationalism, political issues of relevance to business. International Organisations. Country Risk Assessment (CRA).
(f) Legal Forces
National and International legal forces. European and American practices.
(g) Labour Forces
Composition of the labour force. Labour mobility and shortages. Considerations for employment policies. The Irish situation.
(h) Competitive and Distributive Forces
Competition at the Macro level. Ireland and national competitiveness. Worldview: EU, USA, Japan etc. Analysis of competitive forces. Distributive forces.
6. Assessing and Analysing Markets
The market screening process. Market entry modes. International Management Information Systems (IMIS).
7. Export and Import Practices
Motivations to export. Locating foreign markets. Government incentives and agencies supporting exporting. Export procedure: freight forwarders and export documents. Payment and financing procedures. Transportation-options and issues and international trade terms, INCOTERMS.
READING LIST
Essential Reading
Ball, Donald A. & McCulloch, W.H. (2007), International Business, The Challenge of Global Competition, 11th International Edition, McGraw-Hill.
Note: The previous 9th/10th editions are also adequate.
MacDonnell, Colum & MacEvoy, Brendan, (2003), International Trade: Policy and Practice, 2nd Edition. Foreward by Peter D. Sutherland, Former Director General of GATT/WTO. This book is only available directly from the Institute of International Trade of Ireland, 28 Merrion Square, Dublin 2. Price €25.
Recommended Reading
Students are required to keep up to date on current international affairs from the media and national press. In addition familiarity with the content of the following websites is recommended:
www.enterprise-ireland.com
www.bordbia.ie
www.irishexporters.ie
www.ida.ie
www.cso.ie
