Key Assignment
Draft
As a business
owner making a final decision regarding the international aspects of a business
decision, you may decide to set up a table with the risks and weigh their
relative importance against the rate of return you foresee. You also need to
put a plan in place to overcome it.
Assume that your
business is visible and an important member of the community. Would the
government encourage a decision to expand? How would it affect the reputation
of the business?
Here is what the
list looks like. Your assignment is to fill in the table.
|
Risk |
Importer |
Exporter |
L/M/S |
How to Overcome |
|
Economic |
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|
Fluctuations in |
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Competition |
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|
Technological |
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Change in |
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|
Costs and |
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|
Regulations |
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|
Expropriation |
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|
Interest rates |
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|
Government |
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|
Government |
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|
Internal and |
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Difference in |
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|
Ownership of factories |
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|
Human resource |
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|
Intellectual |
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Discrimination |
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|
Red tape and |
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Blockage of |
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|
Change in |
Comment on whether
the U.S. government would support a business owner’s decision to expand
internationally or import in light of the balance of payments and how the move
internationally may affect the business’s reputation as a local small-business
owner.
