• Module Coordinator: Dr Filip De Beule
• Language: English
• ECTS credits: 6

Course objectives

The objective of this course is to develop an understanding of the business environment. This course focuses on a variety of theories and frameworks in international business for understanding the context of business. The emphasis of the course is on the application of contextual knowledge about international business theory to analyze and make decisions faced by companies operating internationally. Many of the concepts will be presented from an Asia Pacific perspective.

The course is made up of three sections. In the first section, The International Business Environment, you will find ideas and concepts about approaches to analyzing and understanding the international business environment. There is a focus on issues of measurement of various dimensions of national institutional environments. These dimensions include the economic environment, the cultural environment and the political environment. Beyond the measurement issue, the management of these dimensions for a newly-internationalizing firm and for a well-established multinational firm is addressed.

There are several strategic decisions that are critical to the success of international growth initiatives. These decisions form the backdrop for the second section, Managing International Growth, the options available to a manager of an internationalizing firm are identified when considering expansion into a new country. In addition to the need to be aware of the various strategic options available for international expansion, a manager must contend with several unique management issues, such as strategic alliances, entry mode choices, mergers and acquisitions, geographic market choices and timing of entry, that arise in an internationalizing firm. Several viewpoints on how one can manage these issues will be addressed. Along with this, two important forms of business organization are discussed – multinational firms and business groups – that need to be considered when making international expansion decisions.

In the third section, Multinational Management, we move to the case of the on-going management of a multinational firm. We look at some major issues that arise in multinational management: strategy and structure of a multinational firm, subsidiary-level strategy issues, and the management of ethical and social responsibilities. This section develops the theme that a multinational manager must contend with on-going globalization pressures, but a manager does so in the context of trying to maximize gains from integrating activities across countries, while not losing sight of the unique competitive demands of each host country market.

Entry requirements

It is recommended that students have had exposure to a macro economics course, or an international economics course, prior to taking International Business. Such a course will provide an important foundation on technical aspects of international trade and foreign direct investment. If students have not had this exposure, it would be worthwhile to read chapters from an introductory macroeconomic or international economic course to familiarize themselves with such basic concepts as foreign trade, foreign direct investment, multinational enterprises, and so forth.

Teaching method

The course will be a mixture of class lectures, case studies, role plays, and presentations.

Assessment

The course will be evaluated through a group international business case-study term-paper and an individual written exam.

Course material

Delios, Andrew, Beamish, Paul W. and Jane W. Lu (2010) International Business: An Asia Pacific Perspective, Pearson.