|COURSE MANUL: Title:||International Economics|
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.
How to Overcome It
Fluctuations in industry
Change in preferences
Costs and expenses
Government monetary policy
Government fiscal policy
Internal and external wars
Difference in culture and religion
Ownership of factories and property
Human resource restrictions
Red tape and corruption
Blockage of funds or capital accounts
Change in government
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.
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