GMS 200 Lecture Notes - Lecture 3: Foreign Direct Investment, Franchise Agreement, Karyopherin

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: Lori Anne Heckbert

Document Summary

Globalization: common term searched on google: process of growing interdependence among the components of the global economy, out sourcing: Form of international trade, international finance, foreign exchange, international technology & communications, politics immigration (skills to be used in the nation). Global economy: another common term searched: a worldwide network of interdependent countries that share resource supplies, product markets and a competitive business environment. *interdependent: what happens in one country effects other nations in terms of their economies. Why would a company want to do business in a global economy: search for new customers, search of profits, search for cheaper labour or skills, search of new supplies or suppliers, search of capital or financial funding/resources. How can companies effectively participate in global economy: exporting. Direct exporting: sell your product directly to foreign customers. Indirect exporting: sell your product to foreign customers through an agent or distributor abroad. An agency will take care of your product by distributing it to (e. g) walmart,