International Business Research Assignment Case Study

International Business Research Assignment - Case Study Example However, subsidies, grants and governmental support are not sustainable in the long run. This would only create distortions and would also increase the input costs of manufacturing like cost of power, gas etc. Dependence of an Industry on subsidies, grants and support would only make demand for more support. Globalization calls for augmented interdependence of countries because of their enlarged economic integration via foreign direct investment, joint ventures, trade, migration of immigrants and foreign investment, foreign aid, and international migration of people and ideas. With the eradication of quotas, now, the survival in the international trade markets for countries depends on using the benefits of propinquity from a marketing, design and production point of view and also with an ability to counter the highly volatile market demand. New News about globalization is that the comparative productivity, price, exchange rates, transportation costs and custom duties and or tariffs will continue to affect patterns of sourcing; a new set of factors related to the distribution of products plays an increasingly vital role. Globalization and free trade economy can be termed as synonyms. Globalization is much more than an monetary event. ... ut the limitations of quotas, consumers and manufacturers in one area of the world seek for consumers and manufacturers in another part of the world, and with the international division of labor, greater efficiency can be achieved in catering the market needs and demands. Having better access to overseas suppliers and more sourcing options, companies with established and pliant brands will be able to realize upside potential by taking advantage of outsourcing and partnership opportunities. The ongoing process of evolution in the industry will favor companies with strong brand equity, a loyal group of recurring customers and a proven record in innovation. The economic advantage of integration of free market economies has always been interpreted. Quantitative restrictions / quotas ended under the General Agreement on Tariffs and Trade (GATT) and World Trade Organization kicked in. Approximately over 150 countries are members of the WTO. Gains of WTO and end of quotas can be seen now because of various bilateral and or regional agreements. These agreements provide a free movement of capital and labor which ultimately promotes competitiveness. The most important result of trade and investment, however, is economic growth, which in turn leads to a better environment. That is true because, as incomes rise, the demand for improved environmental quality also rises. Numerous studies have confirmed that, in practice, trade and investment activities usually have a positive impact on the environment. Criticism on Globalization There are various thoughts on the bilateral and regional trade agreements. One thought views that in a multilateral regime, bilateral trade agreements create trade distortions. The level playing field as envisaged by the WTO is thus distorted. For

Political Climate in 1980s Essay Example | Topics and Well Written Essays - 750 words

Political Climate in 1980s - Essay Example Liberals were subsequently wont to pronounce, to be sure, that conservatives were giving plain answers to difficult dilemmas. But the predicaments were multifaceted for the liberals only because they persisted on misinterpreting them at a very plain level. The depression time was intensified as conservatives were triumphed two times in the 1980s -- the corollaries of which prolong to reverberate - the first was the victory of the West in the Cold War; the second the intellectual victory of free-market economics over economic planning. Altogether, these have united to generate a noticeable move to the Right in the political world - as similar to the world's move toward liberalism after the crush of the Axis powers and the dishonoring of any kind of right-wing tyranny in 1945 (Ehrman, John., 2005). The political game continues for an indefinite period - but it goes on with a dissimilar ground and under shifting regulations. And though the Left have to be more baffled than the Right by the philosophical instability of the post-Cold War world, it is actually moving more rapidly to define again the rudiments and basics of the climate of political regime. With Reagan's assurance to reinstate the country's military force, the 1980s observed considerable spending on military, amounting to approximately $1.6 trillion in just five years. The administration then favored a lofty approach to the Cold War era, particularly in the Third World superpowers competition. Following the Vietnam fiasco, though, Americans were more disbelieving of swallowing the financial loss of troop promises. The government then sought to trounce this by supporting the fairly cheap policy of specially-trained counterinsurgencies in place of huge wars like Vietnam and Korea (Ehrman, John., 2005). The US administration then adopted a hard-hitting standpoint for USSR. Early in Reagan's first appearance, he assailed the competitor as the "wicked realm." When Jimmy Carter had justifiably ruined the plan of dtente following Soviet intervention in Afghanistan, the worries in East and West touched the levels that haven't seen since the crisis of Cuban Missile. And by the late 1980s, it turned out to be obvious that the Soviet Union would no longer make use of its forces to maintain the Eastern-European communists in control (Busch, Andrew E, 1997). Peoples have had lost their trusts that the communist system could bring a healthier lifestyle to them. In 1989, people came out in the streets and upturned the communist hold consecutively. After few months, the system inflicted on nations of Eastern Europe by Stalin for forty years vanished as if it were a bad delusion. Two years afterward, the European communist system is collapsed. Timeline for the 1980s January 5, 1980: Margaret Thatcher performed a Cabinet reorganize, firing Norman St. John-Stevas. January 20, 1980: Ronald Reagan succeeded Jimmy Carter, becoming the 40th head of the US. March 30, 1980: U.S. President Ronald Reagan is gunshot in the chest outside a Washington, D.C. hotel. November, 1980: Republican Party's Ronald Reagan became president. Reagan goes on to take on a hard-hitting anti-communist foreign strategy and tax-cutting strategies. 1985 - Chernenko passed away and Mikhail Gorbachev joined the office as general secretary of the Communist Party;