japan final paper

• what is globalization 
• globalization refers to the trend towards more integrated 
• Markets - the merging of historically distinct and separate national markets into one huge global marketplace 
• the tastes and preferences of consumers 
• productions 
• sourcing of goods and services globally to take advantage of national differences in the cost and quality of factors of productions 
• lower cost 
• improve quality/functionality 
• impediments 
• main drivers 
• the decline in barriers to the free flow of goods, services, and capital 
• technological change 
• Increase international trade: when a firm exports goods or services to consumers in another country 
• change 
• advances in... 
• communication 
• information processing 
• transportation 
• Moore's law 
• internet 
• transportation technology 
• MNE - multinational economy 
• world trade organization 
• GAAT 
• IMF UN 
• G20 
• opportunities and challenges for management created by globalization 
• National differences in political, economic, and legal 
• learning objectives 
• understanding how the political systems of countries differ 
• understanding how the political systems of countries differ 
• understand how the economic systems of countries differ 
• understand how the legal systems of countries differ 
• Increased complexity 
• Countries vary in economic development 
• cultural, education and skill levels vary 
• The political, economic and legal systems are known as the political economy 
• societal culture affects the political economy and the political 
• political system 
• the system of government in a nation 
• political systems can be assessed in terms collectivism vs individualism 
• collectivism - a system that stresses the importance of collective goals over individual goals 
• individualism - suggest individuals should have freedom over their economic and political pursuits, individual freedom and self-expression 
• letting people pursue their own self-interests to achieve the best overall good for society 
• democratic- political systems which government is by the people 
• totalitarian - a form of government in which one person or political party exercises absolute control over all spheres of human life, and opposing political parties are prohibited 
• economic systems 
• political ideology and economic systems are connected 
• market economy 
• command economy 
• mixed economy 
• a market-based economic system is likely in countries where individual goals are given importance over collective goals 
• state-owned enterprises and restricted markets
• market- goods and services that a country produces, and the quantity in which they are produced is determined by supply and demand 
• supply must not be restricted by monopolies
• the role of government is to encourage free and fair competition between private producers 
• command 
• goods and services that a country produces the quantity in which they are produced and the price at which they are sold are all planned by the government 
• all businesses are state-owned and have little incentive to control costs and be efficient because there is no private ownership, there is little incentive to better serve consumer needs
• because there is no private ownership, there is little incentive to better serve consumer needs 
• dynamism and innovation are absent 
• Mixed 
• includes some elements of a market economy and some elements of a command economy 
• government take over troubled firms considered vital to national interests 
• iceland, Sweden, France, the united kingdom, the united states, Russia and France
• legal system 
• the rules or laws that regulate behavior 
• 3 types
• common 
• civil 
• theocratic 
• Common- based on tradition, precedent, and custom 
• found in most great Britain's former colonies including the United States 
• Civil 
• based on a detailed set of laws organized into codes 
• found in more than 80 countries, including Germany, France, Japan and Russia 
• Theocratic 
• based on religious teachings 
• islamic law is the most widely practiced 
• contract law    
•  a contract specifies the conditions under which an exchange is to occur and details the right and obligations of the parties involved.