Fall, 2012-13
Instructor
Office
Telephone
Email
Office hours
Class
David Cray
920 Dunton Tower
520-7802 david_cray@carleton.ca
Tuesday 10:00-11:00, Wednesday 1:00-2:00 or by appointment
Wednesday and Friday, 10:30-11:30, 279 Unicentre
Tutorial: Tuesday 8:30-9:30, C164 Loeb
Text Global Business Today, 3 rd Canadian edition, Charles Hill and
Thomas McKaig Boston: McGraw-Hill Ryerson, 2012.
Course Objectives
This course has three main objectives. The first is to introduce the student to basic concepts and theories underpinning the context, operation and flow of international business. This discussion includes the conduct of international trade, the institutions and agreements that provide structure for global commerce and the organizations, both large and small, which facilitate international business. This material is meant to provide an integrated framework that allows the student to understand various aspects of international business not as individual facts but as parts of a systematic whole.
This provides a basis for more advanced courses that address specific aspects of international business and international management.
The second objective of the course is to heighten students’ awareness of current issues in the field. Every country has to address concerns with international trade and foreign investment. While many of these issues persist, their importance varies in unpredictable ways. Since all the students in the class have embarked on a degree in international business, they require an understanding not only of basic principles but how they impact on countries, businesses and individuals on a daily basis. Discussion in class, informal quizzes and country analyses will highlight these issues.
The third aim of the course is to refine students’ communication skills. Success in university and in your later career will depend largely on your ability to communicate your ideas clearly and convincingly. Facility in communication goes beyond being

Week 4
Reading:
Oct. 2
Oct. 3
Oct. 5
Week 5
Reading:
Oct. 9
Oct. 10
Oct. 12
Week 6
Reading:
Oct. 16
Oct. 17
Oct. 19
Week 7
Week 2
Reading
Sep. 18
Sep. 19
Sep. 21
Week 3
Reading
Sep. 25
Sep. 26
Sep. 28 able to read and write clearly. The capacity to reason clearly, to analyze complex issues and to evaluate and integrate information from multiple sources is the basis for effective communication. As part of the course you will write four papers of varying length which will be evaluated on how well they are crafted as well as on their content. Each paper will be critiqued with information provided on how they can be improved. Students will also participate in an oral presentation.
Course Schedule
Week 0
Reading
Sep. 7
Week 1
Reading
Sep. 11
Sep. 12
Sep. 14
Introduction
No reading required
Why study international business?
Globalization
Hill, chapter 1
Tutorial
The process of globalization
Evaluating globalization
Political, Economic and Legal Differences
Hill, chapter 2
Tutorial
Varieties of economic systems
Political and legal structures
Ethics and Corporate Social Governance in International Business
Hill chapter 4
Tutorial (paper 1 due)
Ethical issues in international business
Approaches to corporate and personnel responsibility
Theories of International Trade
Hill, chapter 5
Tutorial
Mercantilism, comparative advantage and modern theories
University Day, no class
The Politics of International Trade
Hill, chapter 6
Tutorial
Subsidies and protection
The WTO and trade liberalization
Foreign Direct Investment
Hill, chapter 7
Tutorial (paper 2 due)
Drivers of FDI
Costs and benefits of FDI
International Business in Developing Countries
2

3
Readings:
“Serving the World’s Poor, Profitably”, C.K. Prahalad and Allen
Oct. 23
Oct. 24
Hammond, Harvard Business Review , 80 (9): 48-57, 2002.
“Managing Risk in an Unstable World”, Harvard Business Review , 83
(6): 51-59.
Tutorial
Investing in the bottom of the pyramid
Oct. 26
Week 8
Reading:
Oct. 30
Managing in developing countries
Trade Blocs
Hill, chapter 8
Tutorial (paper 3 due)
Oct. 31
Nov. 2
Week 9
Reading:
Nov. 6
Nov. 7
Nov. 16
Week 11
Reading:
Nov. 20
Nov. 21
Nov. 23
The drive toward regional integration
The effects of trade blocs
Foreign Exchange
Hill, chapter 9
Tutorial
The foreign exchange market and exchange rate risk
Factors affecting exchange rates Nov. 9
Week 10
Reading:
Nov. 13
Nov. 14
The International Monetary System
Hill, chapter 10
Tutorial
The evolution of the world monetary system
Exchange rates, the IMF and the World Bank (paper 4 due)
Exporting
Hill, chapter 13
Tutorial
Export strategies
Mechanisms of exporting
Presentations Nov. 24*
Week 12
Reading:
Nov. 27
Nov. 28
Nov. 30
International Production and Logistics
Hill, chapter 15
Tutorial
Logistics in an integrated world
Outsourcing
*On Saturday, November 24 students will be required to participate in a two hour block of presentations. Details and schedule will be arranged early in the term.
Assignments and Assessment
The weights for the six assignments in this course are given below. The four papers are due in class on the days indicated . Late papers will have two points per day deducted from their final mark. Papers will not be accepted more than five days after they are due.
These will be relatively short papers on a subject that will be announced in class. Each paper will be evaluated both for writing style and content.
The grade will be assigned on content and organization, but papers that are deemed as

4 unsatisfactory in terms of style will be returned for rewriting and the grade not assigned until the paper has been revised satisfactorily. These papers must be revised and resubmitted with a week of their return. The fourth paper will be a more extensive analysis of a topic that will be assigned in class. Students receive two grades for the presentation. One reflects their own presentation performance while the other is based on the content of the presentation as a whole. The final exam will cover material from the entire course. The date and time of the final exam will be announced approximately half way through the semester.
Papers 1 through 3 each
Paper 4
Presentation
Final
10%
20%
20%
30%