Final Review IBP

Refers to the processes by which a company makes its product or service known to the rest of the world….   Political / Economic term

• Globalization

• Internationalization

• Offshoring

• Nearshoring

Is the practice of designing products, services and internal operations to facilitate expansion into international markets ….  Technology and growth.

• Globalization

• Internationalization

• Offshoring

• Nearshoring

This occurs when a company moves all or some of its activities in order to reduce expenses.

• Globalization

• Internationalization

• Offshoring

• Nearshoring

The transfer of business processes to companies nearby country, where both parties expect to benefit each other due to proximity.

• Globalization

• Internationalization

• Offshoring

• Nearshoring

Relation between two or more countries designed to reduce or eliminate certain barriers to trade and investment, and to facilitate stronger trade and commercial ties between participating countries.

• Globalization

• Trade Agreements

• Offshoring

• Nearshoring

Is the risk an investment's returns could suffer as a result from lack of awareness or misunderstanding of, ambiguity in the way regulation apply to your business, processes, products and services

• Financial risk

• Political risk

• Legal risk

• Cultural risk

If I am a company dedicated to health products (medicines) , what socio/cultural indicators should I consider for the expansion of my business internationally?

• Health level & Population

• Health level & Global peace index

• Health level & Lifestyle trends

At Wiklund what formula do we use when a positive performance on the indicator is desirable?

•  Points = value / min value

• Points = 1 – (value / max value)

• Points = value / max value

What is an example of a strategy that companies can use when they decide to transfer a risk?

• Exchange rate contractual agreement

• Political Risk Insurance

• CSR

When might a company decide to accept a risk?

• When the risk is greater than the expected benefit

• When the benefit is greater than the impact of the risk.