Global Business Lecture 1-5 Review

A collection of vocabulary flashcards related to concepts discussed in Global Business Lectures 1 to 5, covering topics such as globalization, trade agreements, cultural dimensions, and economic theories.

Globalization

The unprecedented international connectivity of goods, services, data, technology, and economic resources, often discussed in terms of its positive or negative impacts.

FDI (Foreign Direct Investment)

Investment made by an entity in one country into business interests in another country, typically involving acquisition and establishment of assets.

GATT (General Agreement on Tariffs and Trade)

A multilateral agreement established in 1947 aimed at promoting international trade by reducing trade barriers.

WTO (World Trade Organization)

An international organization that regulates international trade and replaced GATT in 1995, overseeing trade agreements and dispute resolutions.

CAGE Framework

A tool for assessing cultural, administrative, geographic, and economic distances between countries to understand market differences.

BRICS

An acronym for Brazil, Russia, India, China, and South Africa, representing emerging markets considered to be important for global economic growth.

Masculinity vs. Femininity (Hofstede's Dimension)

Refers to the preference for achievement and assertiveness (masculinity) versus cooperation and modesty (femininity) in cultural values.

Mercantilism

An economic policy aimed at building a wealthy and powerful state by maximizing exports and minimizing imports.

Absolute Advantage

The ability of a country to produce a good more efficiently (using fewer resources) than another country.

Comparative Advantage

The ability of a country to produce a good at a lower opportunity cost than another country, promoting specialization and trade.

Sustainability Reporting

The practice of publicly reporting a company's economic, environmental, and social impacts, increasingly becoming important for global businesses.

Digital Transformation

The integration of digital technology into all areas of a business, fundamentally changing how it operates and delivers value to customers.

Institution-based View

A perspective that considers the influence of institutions (both formal and informal) on the behavior and performance of firms.

Cultural Dimensions Theory (Hofstede)

A framework for understanding how cultural values affect behavior in a business context, including power distance and uncertainty avoidance.

Transnationality Index

A measure developed by the UN to assess the degree of a company's internationalization based on its foreign operations and investments.

Joint Venture

A strategic partnership where two or more parties create a new business entity, sharing risks and rewards.

Innovative Products

New or improved products that meet consumer needs and generate competitive advantages in the marketplace.

Economic Nationalism

An economic policy that prioritizes domestic industry, favoring it over foreign interests and promoting protectionist measures.