Business Globlalization Essay

(One page single space) Question :Â

You and partners are conducting due-diligence for a venture to establish a business in Sinaloa, Mexico. The Pacific Coast State of Sinaloa is notorious for corruption created by drug cartels.Â

Having conducted your due-diligence a partner asks whether you believe “Corruption and Ethics” or “Political Cycles” might pose the more significant risk to your potential venture. Based on the assigned readings, lecture discussions, and the news how might you respond ?Â

Ensure that you define the items in quotes, and provide rationale to support your arguments (including citing applicable authors, and concepts from your readings.Â

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I. Globalization

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•   Ghemawat, P. (2007) “Why the world isn’t flat”, Foreign Policy, March / April: 54-60.

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•   Friedman, T. (2009) The World is Flat, online video, accessed 17 Jan 2012 from http://www.youtube.com/watch?v=53vLQnuV9FY

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•   The Corporation. Dir. Jennifer Abbott and Mark Achbar. Perf. Noam Chomsky, Michael Moore, Milton Friedman. 2003. Youtube Video. (First 36 minutes)Â

II. Integrated Strategy

•   Barron, D. (1995) ‘Integrated strategy: market and non-market components’ California Management Review, 37 (Winter): 47-65Â

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•   Porter, Michael (2008) ‘The five competitive forces that shape strategy’ Harvard Business Review, January: 79-93.

III. Global Supply Chains

•   Fine, C. (1998) ‘The Secret of Life: Harnessing the Power of Double Helix’, Chapter 4 in Clockspeed:

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      Winning Industry Control in the Age of Temporary Advantage, Perseus Books, London

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•   Fine, C. (1998) ‘The Primary of Chains: Capability Chains Make a Business’. Chapter 5 in Clockspeed:

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      Winning Industry Control in the Age of Temporary Advantage, Perseus Books, Londo

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•  Palmisano, Smuel J. (2006) ‘The Globally Integrated Enterprise’, Foreign Affairs, 85(3): 127-13

IV. Corruption and Ethics

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•   Khanna, T., Pelepu, K. and Sinha, J. (2005) ‘Strategies that fit emerging markets’ Harvard Business Review, 86(6): 63-76

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•   Rose-Ackerman, S. (2002) ‘”Grand” Corruption and the Ethics of Global Business’, Journal of Banking and Finance, 26;1889-1918

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•   Donaldson, T. (1996). ‘Values in Tension: Ethics Away from home’, Harvard Business Review, September – October, 48-62.

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V. Political CyclesÂ

•    Martinez, J. and Santiso, J. (2003) ‘Financial markets and politics: the confidence game in Latin America Emerging Countries’, International Political Science Review, 24: 363-395

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•    Vaaler, P., Scharage, B. and Block, S. (2005) ‘Counting the investor vote: political business cycle effects on sovereign bond spreads in developing countries’, Journal of International Business Studies, 36: 62-88.

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Sethi, S. and Luther, K. (1986) “Political risk analysis and direct foreign investment: some problems of definition and measurement’ California Management Review, 28(2): 57-68

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VI. Lecture NotesÂ

All Lecture Notes Through week of 4/17/17

Important Study Points

•  Debate on Globalization

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•  Nationalism vs. Globalism

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•  Integrated Strategy (The imperative on ongoing due diligence in devising effective strategy)

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•  Double-Helix

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•  Horizontal vs. Vertical Product Philosophy

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•  A Multi-National Corporations Obligation (or not) to the greater public good

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•  Political Risk

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•  Political CyclesÂ

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•  Political Risk DataÂ

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•  Right vs. Left Leaning Administrations

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•  Lending ConfidenceÂ

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•  2002 Brazilian Elections