Introduction to International Business
Global Lab IB 2000
Spring, Session II, 2014
MWF 3:00-3:55 (SB 320)
Feb 26 – Apr 23, 2014
Professors:
Joyce Steffan
James Oldroyd
223 Mason Hall
Office Hours: MW 2-3 pm, and by appointment
(614) 292-2795
Steffan.10@osu.edu
718 Fisher Hall
MW 2-3 pm, and by appointment
(614) 688-4107
Oldroyd@fisher.osu.edu
1. Required Texts: Hills, Charles. Global Business Today, 8th Edition. McGraw-Hill Irwin
Companies, Inc. ISBN 9781259111914 (13-digit ISBN for Student Value Edition) or ISBN
1259111911 Purchase custom text from McGraw-Hill directly (includes Connect), at $84:
http://shop.mcgraw-hill.com/mhshop/productDetails?isbn=1259111911
2. Course pack: https://cb.hbsp.harvard.edu/cbmp/access/25686163
Suggested reading: The Economist
(https://www.economistsubscriptions.com/searchstudent/us/)
Course Overview and Objectives
The world is changing in fundamental ways. First, the development of a truly global market in
products, services, capital and even certain types of labor is changing the basic terms of
competition for an array of different firms and industries. In Thomas Freidman’s words, “The world
is flat.” Second, although firms have operated around the globe for many years, they are becoming
increasingly integrated yet differentiated, with tightly coupled but different activities in various
locations rather than replicating themselves from place to place. Understanding the interaction
between culture, knowledge, and the way businesses coordinate around the world is critical to
understanding both the possibilities for and constraints on managing a business in today’s fastchanging economy.
The purpose of this course is to provide a comprehensive understanding of the political, economic,
social, and technological forces shaping today’s global business environment. Multinational
corporations are increasingly exposed to greater risks associated with currency fluctuations, trade
embargoes, and consumer boycotts. Similarly, domestic businesses must be increasingly aware of
competitive threats related to new technologies or cheaper subsidized products arising from
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foreign entrants. Thus, globalization is a pervasive phenomenon that requires the attention of
both foreign and local businesses alike.
The macro environment within which businesses operate is often beyond the direct control of
managers. Yet, adept leaders are able to influence and change the degree to which such forces
positively or negatively impact the performance of their organizations. Thus, through the use of a
textbook, several readings and case discussions we will attempt to build a greater awareness of
the global business environment and the skills for mitigating or exploiting the resulting risks and
opportunities that are presented.
Course Methodology and Requirements
In each session, we will engage in text or case-based discussion on a given topic indicated in the
class schedule. You are expected to complete the readings and come prepared to discuss them. If
we are unable to complete all that we need to do in a given session, we will carry it over to the
next session. This may at times change the schedule of the course. For this reason, should you
miss a session, it will be useful for you to keep in touch with a classmate or the professor.
Grading
Grading for this course will be based on your performance on contribution, an exam, quizzes,
assignments, and a group project. A detailed description of each follows.
Course Component
Contribution
FX Currency Exercise
Site Preparation Reports
Midterm Exam
Final Exam
Total
Percent
20%
10%
10%
30%
30%
100%
Contribution to Class Discussion
Contribution is a key component of any course, but particularly in situations where the format is
primarily case and text discussion based. Students will be expected to come to class having read
all the assigned reading materials, and ready to discuss the assignment questions and key points of
the case. We cold-call students and expect each student to be ready to not just participate but
rather contribute to the class discussion. Contribution will be graded much more on quality than
quantity. Simple attendance is insufficient to warrant more than 50% of the contribution grade.
Two student graders will also be assigned to track participation for each class session. In addition,
a significant portion of the contribution grade will be assigned based on your active participation
in company site visits on our foreign trip. We expect you to be an excellent ambassador of OSU in
all site visits.
FX Currency Exercise
This exercise provides an opportunity to experience the “real” foreign exchange market. Each
student will be given a set of four production countries and five sales market countries. The goal of
the exercise is to maximize the gains from foreign exchange using real-time exchange data. The
exercise includes natural dynamic elements that occur in the “real” markets. Each student will
need to determine when to move currency to investment countries and when to repatriate profits.
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Grades will be determined by ranking the success of each student against their peers.
Site Preparation Reports
It is said that, “Luck favors the prepared mind.” The capstone of our course will be an international
trip to some of the world’s most important centers of commerce. We will have the unique
opportunity to visit several businesses and gain first-hand experience with these companies. To
gain as much as possible from these visits, the class will be divided into teams and each team will
be assigned one of our host firms. Each team will be required to prepare a report on the company
and share this report with the class. A 10-page written report will be required and a detailed oral
report will be shared with the class before each site visit. Each team is to become “experts” on the
company and to share their knowledge with the class as well as represent the University to the
company. The written report is worth 5% of the grade and the oral report is worth 5% of the
grade.
Exams
There will be two non-cumulative exams in this course, Exam 1 and Exam II. Each exam will cover
the material only up to the previous one. Keep in mind, however, that prior knowledge will be
important for understanding future material. Material for the exams will come from the following
sources: 1) the text readings, 2) class lectures, 3) class discussion, and 4) in-class content. Each
exam will be worth 30% of your grade.
The exams will consist primarily of multiple choice questions. On days of exams, please make sure
that your books and papers are under your seat. Please bring two #2 pencils (soft lead) to
complete the exams. You will be required to put the dot number of your OSU email address on
the exam answer sheet so that grades can be verified. Remember, only the answers you put on
the answer sheet will count.
Grading Scale:
Final grades will be computed on the basis of the total number of points earned on the exams and
assignment by the student. Grades will be assigned according to the following scale:
Points
Letter Grade
100 to 93
A
92.99 to 90
A89.99 to 87
B+
86.99 to 83
B
82.99 to 80
B79.99 to 77
C+
76.99 to 73
C
72.99 to 70
C69.99 to 67
D+
66.99 to 60
D
59.99 and below E
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Missed Exams and Deadlines:
There will be no make-up exams or assignments without a documented medical record or other
documented emergency for the date and time of the exam. Students who miss an exam, quiz or
assignment without a valid excuse will receive a zero for that portion of their grade.
Any issues concerning grading need to be called to our attention within one week of receipt of
the grading. Grades assigned at the end of the block are not negotiable. Because of the grading
system that OSU uses, there will likely be a large number of times that a student is just a few
points away from the next grade. We do not round up—the time to accumulate points is during
the block, not at the end of it.
General Comments:
Disability Services
Any student who feels s/he may need an accommodation based on the impact of a disability
should contact me privately to discuss your specific needs. Please contact the Office for Disability
Services at 614-292-3307 in room 150 Pomerene Hall to coordinate reasonable accommodations
for students with documented disabilities.
Academic Misconduct
Academic integrity is essential to maintaining an environment that fosters excellence in teaching,
research, and other educational and scholarly activities. Thus, The Ohio State University and the
Committee on Academic Misconduct (COAM) expect that all students have read and understand
the University’s Code of Student Conduct, and that all students will complete all academic and
scholarly assignments with fairness and honesty. Students must recognize that failure to follow
the rules and guidelines established in the University’s Code of Student Conduct and this syllabus
may constitute “Academic Misconduct.”
The Ohio State University’s Code of Student Conduct (Section 3335-23-04) defines academic
misconduct as: “Any activity that tends to compromise the academic integrity of the University, or
subvert the educational process.” Examples of academic misconduct include (but are not limited
to) plagiarism, collusion (unauthorized collaboration), copying the work of another student, and
possession of unauthorized materials during an examination. Ignorance of the University’s Code of
Student Conduct is never considered an “excuse” for academic misconduct, so I recommend that
you review the Code of Student Conduct and, specifically, the sections dealing with academic
misconduct.
If we suspect that a student has committed academic misconduct in this course, we are obligated
by University Rules to report my suspicions to the Committee on Academic Misconduct. If COAM
determines that you have violated the University’s Code of Student Conduct (i.e., committed
academic misconduct), the sanctions for the misconduct could include a failing grade in this course
and suspension or dismissal from the University. If you have any questions about the above policy
or what constitutes academic misconduct in this course, please contact us.
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We reserve the right to change or modify this syllabus.
Course Schedule:
DATE
Weds,
Feb 26
Fri,
Feb 28
Mon,
Mar 3
Weds,
Mar 5
Fri,
Mar 7
Mon,
Mar 17
Weds,
Mar 19
Fri,
Mar 21
Mon,
Mar 24
Weds,
Mar 26
Fri,
Mar 28
Mon,
Mar 31
Weds,
Apr 2
Fri,
Apr 4
Mon,
Apr 7
Weds,
Apr 9
Fri,
Apr 11
Mon,
Apr 14
Weds,
Apr 16
Fri,
Apr 18
Mon,
Apr 21
TOPIC
The World is Flat
The World is Round
TEXT ASSIGNMENT
Reading: Thomas Friedman, “It’s a Flat World, After All” The New York
Times Magazine, April 3, 2005.
http://www.nytimes.com/2005/04/03/magazine/03DOMINANCE.html?p
agewanted=1
Reading: John Gray, “The World is Round”, The New York Review of
Books, Volume 52, No. 13, August 11, 2005.
http://www.mafhoum.com/press8/247E16.htm
Chap. 1
International Business and Macroeconomic Forces
Exchange Rate Determination
Case: Botswana: A Diamond in the Rough (HBS 9-703-027)
International Monetary System
Chap. 11
Currency
Case: China’s Renminbi: “Our Currency, Your Problem”? (HKU710)
Recessions
Case: The Greece Crisis: Tragedy or Opportunity? (HBS 9-711-088)
Hyperinflation
Foreign Direct Investment
Case: Zimbabwe: Grappling with Hyperinflation (Darden: UV2705)
Reading: http://www.forbes.com/forbes/2010/0208/debt-recessionworldwide-finances-global-debt-bomb.html
Chap. 8
Regional Integration
Chap. 9
Intellectual Property
Reading:
http://www.koreatimes.co.kr/www/news/biz/2012/12/342_84840.html
Chap. 10
Base of the Pyramid: Opportunities or
Poverty?
Mid-Term Exam
National Differences in Political Economy
Chap. 2
Political Economy Development
Chap. 3
Differences in Culture
Chap. 4
Overcoming Differences in Culture
Case: Silvio Napoli (303086 Harvard)
Ethics in International Business
Chap. 5
Grappling with Ethical Dilemmas
Case: Corruption at Siemens (HBS 9-108-033)
International Trade Theory
Chap. 6
Political Economy of International Trade
Chap. 7
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Fri,
Apr 25
Final Exam
4:00 – 5:45 pm
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