Advantages and disadvantages-global distribution capability

Assignment Help Operation Management
Reference no: EM13161215

The most popular way for international expansion is for a local firm to acquire foreign companies. One of the most benefits for international expansion is global distribution capability that helps expanding the market share. In the meantime, domestic trade is far less risky than International trade. In International trade, the exporter is most often not familiar with the buyer, and therefore is not sure whether the importer is creditworthy. If inventory is sold abroad and the buyer refuses to pay, it may be impossible, for the seller to have any legal resort to receive any payment from. Also, there is a greater risk of political instability.

1. Discuss how political risk differs from country risk and in what ways political events in a foreign country can affect local financial operations of an MNC.

2. Do you believe that there are financial and/or operational measures MNC can take to totally eliminate political risk related to foreign investment project? If not, in your opinion, can MNC at least minimize the political risk? Please discuss how.

3. What are the advantages and disadvantages of having a global distribution capability? Do you think that the advantages are more than the disadvantages? Please discuss

4. Do you believe that foreign investments exposing multinational corporation to political and economic risks? Please explain the rationale behind your discussion. Please submit your assignment.

Reference no: EM13161215

Questions Cloud

Regulations of the internet and email : Given the increasing regulations of the Internet and email by the Government of China, recommend to the CEO of Google whether the company should continue to operate in China, the world’s fastest and among the largest growth markets.
List the necessary steps to create a cloned molecule : List the necessary steps to create a cloned molecule.
Explain the survivorship and reproductive factors : The three main characteristics that define apopulation are its density, dispersion and demographics. First,define each of these three characteristics.
How a plant might use a chemical signal : Plants often use external signaling to attract animals, ofteninsects, to enhance their survival and / or reproductive success.Describe two distinct ways that a plant might use chemical cues toattract animals to benefit the plant's survival.
Advantages and disadvantages-global distribution capability : What are the advantages and disadvantages of having a global distribution capability? Do you think that the advantages are more than the disadvantages? Please discuss
Why are individuals with blood type o : In the ABO blood system in humans, alleles A and B arecodominant, and both are dominant to the O allele. Give all of thepossible genotypes of a female with A-type and a male with B-typeblood.
Draw out the pedigree and give the probability : assume hairy kneecap (hk) is autosomal and recesive. A women has a sister with hairy kneecaps. Neither she nor the rest ofher family have hairy kneecaps. The man has normal kneecaps, one grandparent has hairy knee caps.
Who the primary audience for message : Who is the primary audience for this message? Is there a secondary audience in this case? Explain your answers and what is the primary audiences likely attitude toward the subject of this message
Draw outand label the cross with all the genotypes : Consider the mouse hair color "agouti" system. Assume youacquire mice from a repuatable breeder. All the mice are guaranteedto be fully homozygous but the genotypes are unknown.

Reviews

Write a Review

Operation Management Questions & Answers

  Predict the selling price

A real estate developer created a linear regression model to determine home prices. The price of the home (Y) is determined by the size (square footage = X). The model is: Y = 13,473 + 37.65X.

  Discuss court rule on joint venture

Windy City Balloon Port ran a balloon launching facility in Illinois, offering sightseeing flights in hot-air and helium balloons owned by third parties.

  Determine what information senior management will want

Determine what information senior management will want from the planning and consulting department and why

  Calculate the banks excess reserves

Calculate the banks excess reserves. Suppose that the bank sells $5 million in securities to get new cash. Show the bank's balance sheet after this transaction.

  Illustrate what is your forecast of profit for a store

Sales (X, in millions of dollars) is related to Profits (Y, in hundreds of thousands of dollars) by regression equation Y = 8.21 + 0.76 X. Illustrate what is your forecast of profit for a store with sales of $40 million or $50 million.

  Estimate the maximum fixed cost

Zipco is in serious negotiations to purchase a chunking machine that will enable them to perform their own chunking at $1.25 per unit. They currently have their chunking outsourced at a cost of $1.75 per unit and a fixed cost of $50,000.

  Illustrate what will decide whether it can in remaining yrs

illustrate what will decide whether it can in the remaining years of this decade sustain a strong growth performance similar to 1997 to 1999 without triggering a noticeable acceleration of inflation.

  Research dilemma and research question formation

Make the management-research question hierarchy for the management dilemma at your place of employment or at an organization for which you volunteer. A presentation of company and dilemma which may need research. Discussion includes the company, s..

  List and discuss the elements of strategic management

List and discuss the elements of Strategic Management according your textbook and the Strategic Management Model handout in doc sharing Name the element.

  Explain how well did these techniques work short term

From your own experiences, illustrate what process improvement or (re)engineering techniques have you observed. Explain how well did these techniques work short term and long term for the enterprise.

  Graph constraints-find optimal solution

Graph the constraints for this problem. Indicate all feasible solutions. Find out the optimal solution to LP Relaxation. Round down to find out a feasible integer solution. Is this solution optimal?

  Which strategic alternatives emerge from situation analysis

Which strategic alternatives emerge from situation analysis. Which level of decision making would you target in your report-corporate, business or functional? It's for Integrative Business Strategy class.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd