Republic of the Philippines CAPIZ STATE UNIVERSITY PONTEVEDRA CAMPUS Bailan, Pontevedra, Capiz College of Management Module 3: Worksheet 1 in BA 316 International Business Environment: Essay Part 1 1st Semester, A.Y. 2022-2023 Evaluation Name: Vanisa D. Castillo Course/Yr./Sec.: BSBA 3D Professor: Mr. Justine Joshua Bermudez Directions: Essay. Be brief and concise in writing your answers to the following questions. 1. “Though society and culture do not appear to be a part of business situations, yet they are actually key elements in showing how business activities will be conducted”. Discuss. Answer: A group's beliefs, values, attitudes, and behaviours are referred to as its culture. It includes the group's norms and behavioural patterns as well as its specific rules, presumptions, perceptions, logic, and reasoning. 3. How relevant is the political environment in international business? Enumerate different types of political systems that exist around the globe. Answer: A company's ability to conduct business in a foreign market can be aided or hindered by a variety of political factors and governmental actions in that market, which are referred to as the political environment in international business. Democracies, monarchies, oligarchies, as well as totalitarian and authoritarian regimes, are the main categories of political structures. Totalitarian and authoritarian governments are more unstable from a political standpoint because their rulers do not possess legitimate power and instead impose fear on the populace. 4. Describe the different types of economic systems. Explain with suitable examples. Answer: Market Allocation system is one that relies on consumers to allocate resources. Consumers “write” the economic plan by deciding what will be produced by whom. The role of the state in a market economy is to promote competition and ensure consumer protection. Command Allocation system, the state has broad powers to serve the public interest. These include deciding which products to make and how to make them. Consumers are free to spend their money on what is available, but state planners make decisions about what is produced and, therefore, what is available. Because demand exceeds supply, the elements of the marketing mix are not used as strategic variables. Republic of the Philippines CAPIZ STATE UNIVERSITY PONTEVEDRA CAMPUS Bailan, Pontevedra, Capiz Mixed System There are, in reality, no pure market or command allocation systems among the world’s economies. All market systems have a command sector and all command systems have a market sector; in other words, they are “mixed”. In a market economy, the command allocation sector is the proportion of Gross Domestic Product (GDP). 5. “The development of new technologies helped international business”. Do you agree? Justify your answer. Answer: Technology has a significant impact on how businesses operate. Therefore, I concur that new technology development benefited global business. Regardless of the size of your business, technology has both concrete and abstract advantages that will help you generate revenue and deliver the outcomes your customers expect. Technology infrastructure has an impact on a company's culture, productivity, and relationships. It also has an impact on trade advantages and the security of sensitive information. 6. Can the emerging technologies pose a challenge for an international marketer? Give valid arguments to support your answer. Answer: The emergence of new technologies gives global marketers the chance to efficiently and more quickly reach a larger customer base. These new technologies, though, can also present difficulties for marketers. I will go over the difficulties and possibilities that these new technologies may present to an international marketer in this article. Three significant technological fields—artificial intelligence (AI), virtual reality (VR), and blockchain—that may present opportunities or challenges to an international marketer are listed below to support my claim. The first technology sector is AI –a broad category that includes machine learning, which allows programmes to learn from data without being explicitly programmed which has taken offin recent years alongside advancements in computing power. Republic of the Philippines CAPIZ STATE UNIVERSITY PONTEVEDRA CAMPUS Bailan, Pontevedra, Capiz College of Management Module 3: Worksheet 2 in BA 316 International Business Environment: Essay Part 2 1st Semester, A.Y. 2022-2023 Evaluation Name: Vanisa D. Castillo Course/Yr./Sec.: BSBA 3D Professor: Mr. Justine Joshua Bermudez Directions: Essay. Be brief and concise in writing your answers to the following questions. 1. Discuss the various key economic issues that influence international business. Answer: This are key economic issues that influence international business: Inflation - is the pervasive and sustained rise in the aggregate level of prices measured by an index of the cost of various goods and services. Inflation results when aggregate demand grows faster than aggregate supply- essentially, too many people are trying to buy too few goods, thereby creating demand that pushes prices up faster than incomes grow. Consider the impact of inflation on the cost of living. Rising prices make it more difficult for consumers to buy products unless their incomes rise at the same or faster pace. Unemployment - The unemployment rate is the number of unemployed workers divided by the total civilian labor force, which includes both the unemployed and those with jobs. In practice, measuring the number of unemployed workers actually seeking work in various countries is difficult given the lack of a standard measurement method. Generally, people out of work and unable to find jobs depress economic growth, create social pressure, and provoke political uncertainty. Debt - Debt, the sum total of government’s financial obligations, measures the state’s borrowing from its population, from foreign organizations, from foreign governments, and from international institutions. More recently, many countries have borrowed from international lenders to finance their movement to freer markets, a process of economic transition. Many countries that began with this ambition but that eventually failed then increasingly had to rely on foreign debt. Income Distribution - GNI or PPP, even weighted by the size of the population, can misestimate Republic of the Philippines CAPIZ STATE UNIVERSITY PONTEVEDRA CAMPUS Bailan,Uneven Pontevedra, Capiz the relative wealth of a nation’s citizens. income distribution is not a problem of poorer nations. There is a strong relationship between skewed income distributions and the split between those who live in urban settings versus those who live in rural areas. Poverty - A related but separate issue concerns poverty- the state of having little or no money, few or no material possessions, and little or no resources to enjoy a reasonable standard of life. In many parts of the world, workers and consumers struggle for food, shelter, clothing, and clean water, health services, to say nothing of safety, security, and education. 2. You are a marketing manager of a textile company that is looking to venture into international business. The country you want to target first is the UK. You want to start by exporting to UK. What environmental factors would you keep in mind and how would you analyze the business environment of the UK? Answer: Assess your company's export readiness. Build an export plan. Research and select your target market. Create an export marketing plan. Determine the best methods of delivering your product or service to your target market. Develop a sound financial plan. Understand the key legal aspects of international trade. 3. Why is it difficult for a marketer to position products in a culturally diverse nation like Philippines? Answer: At every level, including consumer behaviour and preconceived notions about how advertising functions, cultural diversity has an impact on marketing and advertising concepts and executions. The most important cultural element in advertising is typically the nation's ideals. 4. Is the economic environment same all across the globe or it differs? Give valid arguments to support your answer. Answer: No, because some nations are developed, others are developing, and still others are in a poor state, the economic climate varies around the world. As a result, a country's economic situation is influenced by both its population and level of development; if a country is developing, the economic climate may be slightly more favourable. 5. How does the technological environment of the Philippines differ from that of Japan? Answer: Both nations are tropical; in the summer, Japan is almost as hot and humid as the Philippines; both countries are island-based, and both experience devastating typhoons and earthquakes. Republic of the Philippines CAPIZ STATE UNIVERSITY PONTEVEDRA CAMPUS Bailan, Pontevedra, Capiz
