SUBJECT NAME International Business

SUBJECT CODE MGT 508

SUBJECT CREDITS 3
The rise of globalization presents numerous opportunities and
challenges with regard to the international flow of capital,
investment, goods, technology and services. In today’s global
SUMMARY/ economy, international business is confronted with a complex set of
OVERVIEW challenges arising out of operating in international environments.
This course develops a framework for understanding the
international aspects of business and management for formulating
effective strategies in an increasingly complex world economy.
The aim of this course is to help the students:
 To examine how, and why, firms decide to develop operations in
AIMS foreign countries
 To understand how firms can become successful once their
operations cross-national boundaries.
CORE LEARNING OUTCOMES
LEARNING OUTCOMES ASSESSMENT CRITERIA
SL.
On completion of this unit you To achieve the learning outcome you must
NO
should be able to: demonstrate the ability to:
For each presentation topic, case study, and in
Analyse and develop insights into the examinations identify the multifaceted
1 the complex nature of international forces operating in international business
business environment that differentiate international
business from domestic business
Work on group projects to get first-hand
information on data and its application on
Asses the role of globalization in
2 globalization and integrations of markets, and
international business.
the challenges and opportunities for doing
international business.
In the presentation topics, in the case study
Articulate the role of political and
discussions, and in the examinations assess
economic environment along with
3 how differences in the economic, political, legal,
culture, ethics and technology in
cultural and ethical systems of countries
international business.
influence the practice of international business.
 In the presentation topics, in the case study
discussions, and in the examinations review the
Assess why international business
relevant theories and explain why it is
is beneficial for nations and to
4 beneficial for a country to engage in
evaluate the political reality of
international trade, and explore the political
international trade.
and economic reasons for intervening in
international trade.
In the presentation topics, in the case study
discussions, and in the examinations evaluate
Examine the functions and form of the working of foreign exchange market,
5
the global monetary system examine the forces that determine exchange
rates, and map the implications of exchange
rate movements on international business.
In the case analyses, presentations, and
Evaluate alternative entry modes examinations critically evaluate the merits and
6
and strategies into foreign markets. demerits of alternative entry strategies in
international business.
For each presentation topic, case study, and in
Critically analyse the nature and
the examinations critically analyse the the
7 functioning of multinational
behavior of multinational companies in an
companies.
international environment.
The pedagogy of the course has been designed so as to ensure that
there is continuous interaction and active participation by the
students throughout. The teaching methods will consist of formal
lectures, case study analysis, preparation of group project reports
and presentations and discussions.
APPROACH TO Students will work on group projects to get first-hand information
LEARNING on data and its application on globalization and integrations of
markets, and the challenges and opportunities for doing
international business.
As is appropriate at Masters’ level, students will also be expected
to read beyond texts assigned, and to identify on their own further
sources of information for complementing their studies.

ASSESSMENT Participants will develop a group project report on a topic related

to current international business issues and present it in the class.
STRATEGY
The detailed assessment methods are given below.
ASSESSMENT DESCRIPTION OF WEIGHT DURATION AND MARKS
NO
METHOD ASSESSMENT METHOD % OF EXAMINATION)

1 DSA Written examination 20 2 hours and 50 Marks

2 AT Class attendance 5 Throughout the course

 Case study/ Assignments,
Presentation on various
CS / PR / OR
3 topics, Viva- voce/ Quiz, 25 Throughout the course
/ CP
Participation in class
activities

4 Semester End Written 50 3 hours and 100 marks

Examination Examination

Outline Teaching Schedule

UNIT Chapter No. of
TOPIC
NUMBER Name Sessions
Introduction
to The international context, the international business
I 1
International framework
Business
Globalization- An overview – Drivers of Globalization
II Globalization – The Face of Globalization - Debates about 1
globalization
The economic theories. Why do Nations Trade? - The
Mercantilist Doctrine - Absolute Advantage Theory -
Theories of Comparative Advantage Theory - Heckscher-Ohlin
III international Theorem - The Leontief Paradox - The New Trade 3
business Theory – Intra and Inter Industry Trade - The Product
Life-Cycle Model - National Competitive Advantage:
Porter’s Diamond
IV - do-- Political economy framework 1
State power in an era of globalization. State as actors
International in international business. Arguments against Free
business and Trade – Instruments of Trade Policy - Types of Trade
V 2
national Barriers: Tariff Barriers, and Non-Tariff Barriers –
politics Effective Rate of Protection - Antidumping laws –
Barter trade, counter trade, etc
Revisiting
VI . 1
concepts
Regional associations, single purpose IGO,
Development of World Trading System – GATT and
Global The World Trade Organization (WTO) – Features of
VII 3
frameworks WTO - Various negotiations rounds of WTO – Current
issues and Doha Round - The International Monetary
Fund (IMF); The World Bank.
VIII The Current Account, Capital Account, Official Reserves 2
 international Account. – Currency Convertibility issues - The Asian
Monetary Financial Crisis. History of the International Monetary
systems System - Exchange Rate Regimes - Foreign Exchange
Rate Quotations - Determination of Foreign Exchange
Rates: Purchasing Power Parity (PPP); Interest Rate
Parity (IRP). – Types of Foreign Exchange Exposures
and Implications for MNEs.
Foreign Definition and Types of Foreign Direct Investment
Direct (FDI) – Motives of FDI - Theories of FDI - The Impact
IX Investment of FDI on the Host (Recipient) Country. – FDI policies 2
Theory and in India - Patterns of FDI in India: FDI Outflows and
Application FDI Inflows.
Revisiting
X 1
concepts
Interpretations of culture, religion, languages, models
National
XI of national culture and conduct of international 2
Cultures
business
International
Models for understanding corporate culture,
XII corporate 1
corporate values and ethos, multinational CSR
culture
International
International outsourcing- product, services,
XIII supply chain 2
limitations. Supply relationship, logistics
management
International Location Selection (Where) - Timing of
International Entry (When) - Entry Mode Selection (How):
XIV Entry Exporting, Licensing, Franchising, Joint Ventures, 1
Strategies Fully-owned Subsidiaries – Greenfield Vs Mergers &
Acquisitions (M&As)
Multinational
Enterprises
What Is a Multinational Enterprise? – global entry
and
XV choices , Strategic Choices in International Business – 1
International
MNEs- large and SME s: Current Global Scenario
Business
Strategy
XVI Projects and presentations 3
Total No. of Sessions 27

Recommended Resources
Essential Textbook:

Alan Sitkin, Nick Bowen, (2013), International Business-Challenges and Choices, (2nd
ed.), Oxford University Press
Reference Books
 Charles W. L. Hill, Arun Jain, (2008), International Business (6th ed.), Tata McGraw-Hill
Publications, Inc.
 John D. Daniels, Lee H. Radebaugh, Daniel P. Sullivan, and Prashant Salwan (2011),
International Business: Environments and Operations’, (12th Edn.), Pearson Publications.
 Oded Shenkar and Yadong Luo (2004), International Business, Wiley Publications, Inc.

Journal Articles:
 ‘International investment and international trade in the product cycle’, Raymond Vernon,
Quarterly Journal of Economics, 1966, (pp.190-207)
 ‘The Competitive Advantage of Nations’, Michael E. Porter, Harvard Business Review,
March-April, 1990.
 ‘Porter’s Competitive Advantage of Nations: An Assessment’, Robert M. Grant, Strategic
Management Journal, Vol.12, pp.535-548 (1991)
 “The Doha Agenda and Development: A View from the Uruguay Round”, ERD Working
Paper Series No. 21, Asian Development Bank (2002).
 “Financial Opening under the WTO Agreement in Selected Asian Countries: Progress and
Issues”, ERD Working Paper Series No. 24, Asian Development Bank (2002).
 ‘Doha Work Programme’, Ministerial Declaration, WTO (2005).
 Assessing Regional Trading Arrangements in the Asia-Pacific”, UNCTAD (2001).

Web Resources:
 www.economist.com; www.ft.com
 http://economictimes.indiatimes.com/news/international-business
 http://money.cnn.com/magazines/fortune/global500
 http://www.bbc.co.uk
 http://businessweek.com
 www.wto.org
 http://commerce.nic.in on India’s FTAs
 www.saarc-sec.org on SAARC
 www.bimstec.org on BIMSTEC
 www.nafta-sec-alena.org on NAFTA
 http://europe.eu.int/index_en.htm on European Union
 www.bilaterals.org for general information
 http://www.apec.org/
 www.unctad.org
 www.dipp.nic.in