Question

1. what are the two risks that you see with doing business with other nations?

2. At this point in the class, do you agree with the theory that if every country specializes in what they manufacture best, all prices will drop and everyone's economy will thrive? discuss why you feel that way.

3. What are the dangers of not being able to produce the products you consume?

Answer 1

Answer-1) The two main risks that I would face while doing business with other nations are as follows:

-- In a globalized business, cultural sensitivity is a major factor. It is vital to understand and know about cultural differences for succeeding in business. To know language nuances, etiquette and cultural time management differences are helpful to navigate several complex interactions. Misinterpreting the words or the cultural meaning associated with them can affect the entire interchange negatively; and this in turn may lead to be a deal-breaker

-- The political issues of a nation make globalisation channelized as per political leaders. Political stability and attitude towards foreign investment also matter a great deal in encouraging participation of multinational corporations. Political stability is a reflection of continuance of policies. Changes in government policies could spell hassles for the profitability potential of the firm.

As per policy we have to answer the first part