JAWAHARLAL NEHRU TECHNOLOGICAL UNIVERSITY HYDERABAD

22MBA15C: INTERNATIONAL BUSINESS

MBA II Semester (R22)

Course Objectives:

To highlight the need and importance of studying International Business and provide understanding of the concepts associated with International Business
To impart knowledge of Classical and Modern International Trade Theories.
To educate on the aspects of Business, Economic and Regional Integration and Multilateral Trade Agreements
To elucidate on the elements of Strategy & Structure in International Business
To highlight the role played by various Functional Areas of Business in International Business Operations

Course Outcomes

Students will be able to:

Understand the Concepts, Principles and Approaches of International Business.
Learn the evolution of International Trade thought process with the help of classical and modern theories of International Trade.
Gain insights of the aspects of Business and Economic Integration with the help of various Regional Economic Integrations and Multilateral Trade Agreements.
Understand the Strategy and Structure of International Business with the help of Value Chain Analysis, Environmental Scanning, Strategic Alliances.
Gain knowledge of the contribution of major functional areas of business viz. Production, Finance, Marketing and HRM in International Business Operations.

UNIT - I: Introduction to International Business

Need for International Business, Drivers of

Globalization, Distinction between Domestic and International Business, International Business Approaches, Modes of International Business, Impediments in International Business, Opportunities and Challenges of International Business, Ease of Doing Business (World Bank), Multi National Corporation (MNCs), International Business Environment: Cultural, Political, Social and Technological Environment.

UNIT - II: International Trade Theories

Classical Theories: Mercantilism, Absolute Advantage Theory,

Comparative Advantage Theory and Factor Endowment Theory. Modern Theories: Country Similarity Theory, Product Life Cycle Theory, New Trade Cycle Theory and National Competitive Advantage Theory. India’s Foreign Trade, Foreign Direct Investment in India, Balance of Payments.

UNIT - III: International Business and Economic Integration

Levels of Economic Integration,

Benefits and Challenges of Economic Integration, Free Trade Agreement (FTA), The Customs Union, The Common Market, The Economic Union. Arguments Surrounding Economic Integration, Regional Economic Groups: European Union, NAFTA, ASEAN, SAARC, QUAD and G8. Multilateral Trade Agreements: GAAT, WTO, TRIPS and TRIMS, UNCTAD. International Trade Policy of India.

UNIT - IV: Strategy and Structure of International Business

Environmental Analysis, Value Chain

Analysis, Types of Strategies, Strategy Implementation Process, Control and Evaluation, Strategic Alliances, Nature, Benefits, Pitfalls of Strategic Alliances, Scope of Strategic Alliance, Alliance Development Process, Economic Considerations for Strategic Alliances. Choosing an Organizational Design Structure, Issues in Global Organizational Design.

UNIT - V: International Business Operations

Issues involving International Production: Sourcing and

Vertical Integration. Major Activities in International Marketing: Brand Decisions. Issues of International Financial management: Forex Market, International Monetary System, International Financial Markets, Export Financing. Managing International HR Activities: HR Planning, Recruitment and selection, Expatriate Selection and Training. Cross Cultural Issues in International Business.