Development needs analysis

[pic 1][pic 2]wk7 business[pic 3][pic 4]

CSR, Cultural intelligence[pic 9][pic 10]

Average oercentage of women in senior management: high in Russia and Philippines, rather low in US

Cases global managers

Inequality different salary with the same job

Senior manager's salary should not be disclosed Maybe propose some incentives

Mode of operation abroad

Exporting: low level of investment and control, not expensise

Greenfield fdi is the opposite

Franchising & licensing: next class, having a local partner, less expensive joint venture: less investment, local partner too, better to have the majority

Exporting

1st entry in general Ship the good abroad Low risk and low cost

Some services can be exported, like education and banking

Advantages: increase in sales and profit, economies of scale, less dependency in home market, low cost market entry, experience

Disadvantages: little control on the business, new capabilities urgency, tarrifs and taxes

Alternative organisational arrangemen,ts for exporting:

Direct export, domestic intermediary, wholesaler

trading company: buys good, owns good during transportation and sells goods

foreign intermediary: find someone tat takes care of goods in target country, tough to find

own export department if bigger company

Export documentation:

quotation or pro forma invoice

bill of lading: contravt btw exporter and shipper, authorization for the shipper Export declaration

certificate of origin

Incoterms (international commerce terms) see pp

EXW ex works,

FOB free on board, intermediary situation, buyers arrenges shipping from port to port

CIF cost insurance and freight: seller arranger shipping and insurance

Methods of payment: letter of credit cycle This allow you to be sure to be paid

Turnkey projects: exporting a process technology to another country, ex oil refining

Return poilcy

Global sourcing: either for parts or for production Purschasing goods outside of your enterprise

Outsourcing: another company, offshoring: to another country

India

Critics of global sourcing: creating more unemployment in home country "creative destruction": dstroying some joys have created other ones

Minimizing risk global sourcing:

using total vertical integration

shipping through vessels (containers, Merks)

Last kilometer shipping with UPS or FedEx, third party logistics providers

videos hundrers h=of billion of dollars export import is essential

emc export management company: invoicing ads shipping packaging

etc export trading companies: finds what markets want and finds domestic sources

i/e merchant: purschasing goods packing and shipping, risk and rewards 6 steps

cover business basics: legal aspects (licensing, insurence...) in home and and foreign market, hav enough capital

identify what you sell and market: find familiarity btw product and market, market research

source suppliers: find them through website, figure out logistics

price product: 2 understanding: volume sold and commission on volume, watch markup around 10 and 15%

identify consumers: find distributors and clients or they can find you, contact chambre of commerce

finalize the logistics:

Salary + commisions Usually 500 or 1000 fixed

system used in companies that sell technology products

BPO Business process outsourcing

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