PRESENTADO POR: CAROLINA MAZO GARAY

CODIGO: 16110161

QUESTIONS

1- What advantages and disadvantages does exporting have?

2- What advantages and disadvantages does foreign manufacturing have?
3- Explain this statement: perhaps the best way for many companies to enter
o foreign market is to first export there, but with an eye toward building
overseas in the future
4- What are the advantages of employing local personal and managers when
operating overseas?
5- What relevance do currency exchange rates have for foreign trade?
6- What other factors might be relevant
7- What are three important reasons why foreign companies want to locate in
the united states
8- Does the addition of foreign manufacturers setting up manufacturing plants
in the United States mean there will be a boom in Factory Jobs? Explain
9- What kind of Jobs and industries will increase due to the increase in
manufacturing? What implications does this have for workers in the near
future in terms of education?
10-Briefly describe strategy four GM plants.
11- What are some signs of change in global thinking GM?
12-List the elements-efficiency in the manufacture of the Rosario plant.
13-What are some of the local non-labor conditions that had to be taken into
account in the design of individual plants?
14-What likely effects might exist in market share, sales and profits if a
competitor located?
15-How can sales, market share, and profits can optimize for the whole set of
locations?
16-What are the potential sales that are selected from each potential solution?
17-If outputs must be positioned to maximize market share, sales and profits
without negatively impacting other outlets?

SOLUTION

1- Advantages:
Diversify the risk: not only depend on the national market.
Increase billing.
New markets, new opportunities and new challenges.
Improve brand image of both the company and the product.
Globalization of the brand.
Increase of potential customers a | Start exporting.

Disadvantages
PRESENTADO POR: CAROLINA MAZO GARAY
CODIGO: 16110161

Modify the product. The container or its presentation.

Logistics and adaptation to new distribution channels.
Obtain new special quality certifications.
Time and dedication to study and know the target market.
Request financial support.
Create new products to adapt to new markets.
2- Advantages
In developing countries it is necessary to reach an international level of
quality, which requires the improvement of machinery, raw materials and
processes, based on imports, necessary for export.
In high-cost manufacturing countries, it is probably cheaper to import
than to manufacture, thus becoming resellers, from manufacturers to
traders.
In countries with international free trade agreements, the gradual
reduction of import taxes to zero will lower the cost of international
purchases.

Disadvantages

Buying in another country reduces income from the country where the
entrepreneur resides, economic problems such as greater imports than
exports.
Imports always implies the risk of an increase in the price of the foreign
currency. Businesses tied to the increase of foreign currency by imports that
are their main source of income, should hedge foreign exchange or futures,
in brokerage houses, to protect themselves.
Imports, to a large degree, make the entrepreneur dependent on
international purchases. Any dependency weakens the company and with
greater reason, international suppliers for the distance, deliveries and
conditions.
3- As for the above statement, it can be said that with the first export, what a
company is looking for is to be able to penetrate the foreign market, having
a lasting and broad vision to build or gain territory in that country or city, but
everything depends on How many strategies or how much money you have
invested to have positive results, taking into account that this is what each
company seeks.
4- The main advantages of hiring foreigners can be:
International experience, which can help you learn about business
management in other countries.
The more global and modern vision, can help you to give a different
approach to your business and have a differential before your
competition.
PRESENTADO POR: CAROLINA MAZO GARAY
CODIGO: 16110161

Mastery of several languages can be very important if a company

aspires to internationalize and export its products.
5- Exchange rates are important for foreign trade because they allow the
comparison of prices of similar products in different countries. In general,
the price difference between similar products determines which products are
going to be traded and to which country they are going to be sent, that is to
say that the exchange rates have to go hand in hand with the export in order
to obtain the aforementioned benefits
7. The three most important reasons why companies want to invest in the
United States are:
Cheap labor
Currency exchange
Local Content
Productivity
8. Investing in the United States is said to be a good investment because,
because of convenience, with respect to the currency it manages and
because it is a developed country, it has better investment facilities for those
who invest in factories or manufacturing plants. It also has qualified labor
and technology that is what increases the productivity of any plant or
Company.

10. First those who sought GM, is to distribute the different plants in several
countries of the world, these plants allow them to be expanded easily as
demand increases.

11. Companies seek to globalize as the market is becoming more global.

12. All workers will be responsible for the whole process of the assembly
operation, including cleaning and basic maintenance of the machines.
13. It can be evidenced that when the companies use the plants of
processing it needs a good organization of the plants coordinating the
production. The company achieves the objective of satisfying the
demand in quantity, quality, price and above all in time, optimizing the
use of raw materials, inputs, materials, human resources, equipment and
facilities.

14. It is actually very simple, competition helps companies to be in constant

movement to seek to improve their product and make it more competitive
in the market. As for consumers, the competition opens up the range of
options that you have in the market, giving you the opportunity to choose
what you prefer among a wider range of products. In addition, as long as
PRESENTADO POR: CAROLINA MAZO GARAY
CODIGO: 16110161

there is a wider range of products, prices will become more stable and
more accessible, as companies have to seek competitive prices in order
to be able to sell.

15. With a combination of improved facilities, expanding some sites, adding

new outlets or changing the location of some outlets, would be a good
option to optimize the benefits of a plant, because with this process are
improved.

16. Opening a new store in a mall may simply attract customers who are
from an existing store in the same chain, rather than expanding the
market already.

17. This can be a major cause of friction between the operator of a store
license and franchise company.