INTERNATIONAL BUSINESS ENVIORNMENT (Theory)

Paper Code: 
25MIV421
Credits: 
4
Contact Hours: 
4.00
Max. Marks: 
100.00
Objective: 

This course will enable the students to analyze and evaluate the complexities of international business environments and develop strategies for international expansion

Course Outcomes: 

Course Outcomes (Cos):

Course

Learning outcome

(at course level)

Learning and teaching strategies

Assessment Strategies

Course Code

Course title

25MIV421

INTERNATIONAL BUSINESS ENVIORNMENT

(Theory)

CO685: Explore the nature of International Business and understand different foreign market entry strategies for international business to ensure efficiency and effectiveness in international business operations.

CO686: Examine the foreign exchange market and exchange rate mechanisms, as well as the tools and techniques for managing exchange rate risk in international business.

CO687: Analyse the theories that underpin international trade and develop the ability to analyze and evaluate trade patterns and policies in a global context.

CO688: Assess the basic principles of international law that are relevant to international business, including country risk analysis and learn how to conduct a comprehensive analysis using the framework of Performance, Strategy, and Context.

CO689: Synthesize the principles of organizational design in international environmnet, including structure, culture, and processes, and how they need to be adapted for international contexts.

CO690:Contribute effectively in course-specific interaction

Approach in teaching: Interactive Lectures using whiteboards, Discussion, Reading assignments, Demonstration, Team teaching, Quiz.

 

Learning activities for the students: Self-learning assignments, Effective questions, Solving problems of unsolved questions, Problem based learning-cases, Group learning teamwork, Giving Tasks.

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

12.00
Unit I: 
Nature of International Business and Multinational Enterprises (MNEs)

Nature of International Business: Introduction, Nature, Scope, Drivers of International Business, International Business Vs Domestic Business, Advantages of International Business, Obstacles to International Business
Multinational Enterprises (MNEs): Meaning, Distinguishing aspects of MNEs, Mode of Foreign Entry: Exports, Contractual Agreements, Own and control assets abroad.

12.00
Unit II: 
Foreign Exchange Market, Basics of Exchange Rates and Exchange Rate Exposures

Foreign Exchange Market: Organization of Foreign Exchange Markets, Spot Market, Forward Market, Currency Futures and Options Market.
Basics of Exchange Rates: Meaning, Direct and Indirect Quote, Bid-Ask Quote,
Spot rate-Forward Rate, Depreciation, Appreciation, Currency trading at premium and discount
Exchange Rate Exposures- Translation, Economic and Transaction exposure

12.00
Unit III: 
Theories of International Trade

Absolute Advantage and comparative advantage theory and Factor Endowments Theory, Forms of Protection- Tarrif and Non Tarrif Barriers, New Theories of International Trade- Strategic Trade

12.00
Unit IV: 
Regulatory Environment of International Business and Country Risk Analysis

Regulatory Environment of International Business: Types of Law-Common, civil and religious. Basic Principles of International Law for Business,
Country Risk Analysis: Meaning, Framework of Analysis- Performance (Economic Performance, Social Performance), Strategy (Goals and Policies) and Context (Cultural and Political)

12.00
Unit V: 
Designing Organizations for International Environments

Basic Principles, Differentiation vs Integration, Formal vs. Informal Structures, Centralized vs. Decentralized structures. Organizational structures for MNEs- International Division Structure, Global Functional Structure, Global Area Structure, Global Product Structure, Global Customer Structure, Global Matrix Structure. Contingencies in Organizational Design

Essential Readings: 

• SundaramAnant K & Blade J Steward, “The International Business Environment-Text and
Cases” .Prentice Hall Publishing House,New Delhi.
• Cherunilam Francis , “ International Business”, Himalaya Publishing House,New Delhi.4th
edition
• ChandranDr R., “International Business” ,Jaico Publishing house,New Delhi.2007

References: 

SUGGESTED READINGS:
• Hill Charles W L., “International Business”,TataMcGraw Hill Ltd,New Delhi.5th edition
• Singh Nawnihal, “ International Business” , Anmol Publications.
• Ajami Cool GoldardKhansata., “International Business”, Prentice Hall Publishing House, New Delhi.

E-RESOURCES:
• International Business, Hill, McGraw Hill Education https://www.expresslibrary.mheducation.com/bookshelf
• International Business, Aswathappa, McGraw Hill Education https://www.expresslibrary.mheducation.com/bookshelf

JOURNALS:
• Global Business Review
• Harvard Business Review

Academic Year: