Consider some examples of successful global business. Complete either an interview with a manager doing business...

Consider some examples of successful global business. Complete either an interview with a manager doing business internationally or an analysis of global business news (your choice). Use this information to answer the following question: How might you incorporate your previous learning on the supply and demand curve to understand how exchange rates and trade embargoes influence global business?

Solutions

Expert Solution

Trade embargoes recently imposed by US on Chinese exports have led widescale global firms disrupted and the continued devaluation of Yuan by China to make exports competitive has become subdued. Firms have started posing losses and exacerbated debt as US remained largest importer of Aluminium and Steel from Chinese firms.

The biggest issue been surfaced is US China Trade War, Immigration Laws, US National Debt, Foreign Relations policy

US and china have great history of trade wars however recent times has been largely due to sanctions been imposed on china by USA.

Recently, USA slpped tarrifs on 40% of chinese goods. which has caused prices of US goods to go up substantially becuase cheap imports fro china have been stopped.USA has also stopped cheap imports of steel and as a result Chinese government too has imposed substantial tarrifs on USA goods.

As a result, there has been currency devaluation in China to make it goods look more cheaper and attractive and has started selling Goods in emerging markets. US goods however have become more costlier and hence sales have decreased.

Chinese government has aggravated trade war by imposing fresh round of tarrifs , however before G20 summit which will be held in 2018, such issues will be resolved.

Since, China has imposed tarrifs we see there has been lack of entry of chinese workrs and visas in USA which has nullified the clear cut winner. Because of trade war, India has managed to export steel and aluminium to US markets and hence has been the greatest beneficiary.

Given the Presidential Power following economic strategies need best case implementation :

Resolution of NAFTA deal with negotiation as well as maintenance of great relationships with South Korea on denuclearization by maintaining an eye on all developments

US China pact and removal of tarriffsby signing of MOU and economic cooperation

Immigration laws been relaxed by allowing H1B for Indians who look to create startups IN UsA and generate more employment

Debt refinancing and additional taxation on corporates with large market Capitalization to decrease debt in short term.

Increasing interest rates to appreciate dollar and control inflation and money supply in market

References:

Bailey, Martin Neil, What Happened to The Great American Job Machine!? The impact of trade and electronic Offshoring.

Cline, William R 2004. Trade policy and Global Poverty. Washington : Institute for International economics

Goldman Sachs, 2003. Dreaming with BRICS: the path to 2050. Goldman Sachs Global Economics paper 99

Zoelick, Robert B 2001. American Trade Leadership : What is at Stake? Speech before Institute of International Economics washing mton, September 24.

Schott, Jeffrey, 2004. Free trade agreements :US strategy and Priorities. Washington: Institute for International economics

PLEASE UPVOTE INCASE YOU LIKED THE ANSWER WILL BE ENCOURAGING FOR US THANKYOU VERY MUCH ALL THE BEST IN FUTURE

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

Consider some examples of successful global business. Complete either an interview with a manager doing business...

To be successful in doing business or investing in a foreign country, should you be knowledgeable...

To be successful in doing business or investing in a foreign country, should you be knowledgeable about that country’s history and culture and learn that country’s language? Illustrate with examples how history, culture and language may affect your business dealings.

Identify a business (either in Australia or a global business) that is working towards achieving the...

Identify a business (either in Australia or a global business) that is working towards achieving the SDG number 13. Outline and discuss 2 changes the business has implemented in their alignment to SDG Number13. In your response outline to what extent this businesses actions to move toward achieving the SDG Number 13 will be economically advantages to them. (900 Words)

Sybil, as the global team manager, was hired to manage some new global teams for Alternating...

Sybil, as the global team manager, was hired to manage some new global teams for Alternating Energy Inc. (AEI), an alternative-energy company implementing wind and solar-generated energy systems throughout the globe. Sybil had worked previously for a gas exploration company in North America, so she simply hired many of her previous company’s employees who had worked for her at the gas exploration company. Sybil deployed the teams along with their families to work with Indian nationals and clients in India....

Scenario: Jorge, as the global team manager, was hired to manage some new global teams for...

Scenario: Jorge, as the global team manager, was hired to manage some new global teams for AlternativeSource Inc. (ASI), an alternative-energy company implementing wind, solar, and water-generated energy systems throughout the globe. Jorge had worked previously for a gas exploration company in North America, so he simply hired many of his previous company’s employees who had worked for him at the gas exploration company. Jorge deployed the teams along with their families to work with Indian nationals and clients in...

Successful business outperform their competitors due to some advantages that make them successful. Businesses also remain...

Successful business outperform their competitors due to some advantages that make them successful. Businesses also remain profitable due to their core competence. Discuss the concepts 'competitive advantage' and 'core competence'.

You are a manager at a firm like Sanofi, a French pharmaceutical company doing business in...

You are a manager at a firm like Sanofi, a French pharmaceutical company doing business in China, the United Kingdom, and the United States. Like Sanofi, your stock is traded on the New York Stock Exchange and on the London Stock Exchange. Some of your sales representatives gave doctors employed in state-owned Chinese hospitals very expensive Rolex watches for prescribing your drugs. Is your firm potentially liable under FCPA? Under the U.K. Bribery Act? Explain your answers.

You are the production manager for a global business with assembly facilities around the world. The...

You are the production manager for a global business with assembly facilities around the world. The business has tended to manufacture in the home country, a developed one, with the assembly of the products taking place in a strategically located country in each of the major groupings of markets. You have been asked to look at relocating some of the production of the older product lines in some of these assembly facilities and using them as production plants. Traditionally production...

Doing business in global markets can be tricky,but the benefits that come from overseas successjustify much...

Doing business in global markets can be tricky,but the benefits that come from overseas successjustify much of the risk. That’s what Electra BicycleCompany’s founders discovered after theirbusiness’s growth suddenly halted. Throughoutthe early 2000s, many bicycle manufacturers concentratedon producing mountain and speed bikeswhile discontinuing casual models. BennoBazigerand JeanoErforth of Electra didn’t follow the fad,though, choosing instead to stick with cool,upright bikes perfect for cruising city streets. The company thrived for years thanks to theirunique “comfort bikes.” However, major competitorslike Schwinn eventually...

1. Describe the major threats in doing business in global markets? 2. Discuss the disadvantages associated...

1. Describe the major threats in doing business in global markets? 2. Discuss the disadvantages associated with offshore outsourcing? Include examples in your responses. 3. Describe the differences between compliance and integrity-based ethics. Include examples is your analysis. 4. Why is it importance for businesses to giving back to the community? Discuss the long-term economic benefits companies receive for their philanthropic activities.

Subjects