Incoterms 2010 and International Business - 101
Incoterms 2010 and International Business - Wild - Quick Study - Chapter 8
Incoterms 2010 and International Business - 101
International Business: The Challenges of Globalization, 8th Edition, Wild & Wild
Incoterms 2010 and International Business - Wild - Quick Study - Chapter 8
------
Quick Study
Quick Study 1
- Q: What is it called when countries in a region cooperate to reduce or eliminate barriers to the international flow of products, people and capital?
A: Regional economic integration is the process whereby countries in a geographic region cooperate with one another to reduce or eliminate barriers to the international flow of products, people, or capital. The ultimate goal is to raise living standards by expanding cross-border trade and investment.
- Q: What are the names of the lowest and highest levels of regional economic integration?
A: The first (and lowest) level of regional integration is a free trade area—economic integration whereby countries remove all barriers to trade among themselves but each country determines its own barriers against nonmembers. Each country is able to maintain whatever policy it sees fit against nonmember countries. These policies can differ widely from country to country.
The second level of regional integration is a customs union—economic integration whereby countries remove all barriers to trade among themselves, but erect a common trade policy against nonmembers. What makes it different from a free trade area is that members treat all nonmembers similarly.
The third level of regional integration is a common market—economic integration whereby countries remove all barriers to trade and the movement of labor and capital among themselves, but erect a common trade policy against nonmembers. Common markets integrate the elements of free trade areas and customs unions while adding the free movement of important factors of production such as people and cross-border investment.
The fourth level of regional integration is an economic union—economic integration whereby countries remove barriers to trade and the movement of labor and capital, erect a common trade policy against nonmembers, and coordinate their economic policies. Economic union requires that member countries harmonize their tax, monetary, and fiscal policies, create a common currency, and concede a certain amount of sovereignty to the supranational organization to which they belong.
The fifth (and highest) level of regional integration is a political union—economic and political integration whereby countries coordinate aspects of their economic and political systems. A political union requires member nations to accept a common stance on economic and political policies regarding nonmember nations.
- Q: An increase in trade between nations as a result of regional economic integration is called what?
A: Trade creation is the increase in the level of trade among nations that results from regional economic integration. Trade diversion is the diversion of trade away from nations not belonging to a trading bloc and toward member nations.
- Q: Trade shifting away from nations not belonging to a trading bloc and member nations is called what?
A: Trade diversion is the diverting of trade away from nations not belonging to a trading bloc and toward member nations.
Quick Study 2
- Q: What is the name of the official single currency of the European Union?
A: The Euro is the name of the official single currency of the European Union.
- Q: A country may receive membership in the European Union once it meets what is called the what?
A: A country can receive membership if it meets certain demands down by the EU called the Copenhagen Criteria.
- Q: Why did nations belonging to the European Free Trade Association not want to join the European Union?
A: Certain nations did not want to join the EU fearing destructive rivalries and a loss of national sovereignty.
Quick Study 3
- Q: Canada, Mexico, and the United States belong to the regional trading bloc called what?
A: The three nations belonging to the North American Free Trade Agreement (NAFTA) are Canada, Mexico, and the United States.
- Q: What countries belong to the regional trading bloc called CAFTA-DR?
A: CAFTA-DR was established in 2006 between the United States, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and the Dominican Republic.
- Q: What is the name of Latin America’s most powerful regional trading bloc?
A: MERCOSUR is the most powerful trading bloc in all of Latin America. It acts as a customs union and boasts a market of more than 275 million consumers (nearly half of Latin America’s total population) and a GDP of around $3.5 trillion.
Quick Study 4
- Q: What are the stated aims of the Association of Southeast Asian Nations (ASEAN)?
A: Main objectives of ASEAN are to: (1) promote economic, cultural, and social development in the region; (2) safeguard the region’s economic and political stability; and (3) serve as a forum in which differences can be resolved fairly and peacefully.
- Q: The stated aims of which organization is not to build a trading bloc but instead to strengthen the multilateral trading system?
A: The organization for Asia Pacific Economic Cooperation (APEC) includes 21 nations. Its aim is not to build another trading bloc. Its purpose is to strengthen the multilateral trading system and expand the global economy by simplifying and liberalizing trade and investment procedures among member nations.
- Q: What is the name of the grouping of 53 nations across the continent of Africa?
A: A group of 53 nations on the African continent joined forces in 2002 to create the African Union.
Global Trade Deficit in Food Safety
8-16 Q: How do you think countries with a high volume of exports to the United States, such as Mexico, would respond to stricter food-safety rules? Do you think such measures are a good way to stem the tide of food-related illnesses? Why or why not?
A: They will clearly be opposed to it. How would the U.S. government react if Mexico wanted to send its federal investigators around the United States to inspect its farming methods and safety systems? It would rightly say that the Mexican government is meddling in its domestic affairs. Education of farmers in the safe handling and shipping of agricultural products and closer inspections at U.S. borders would seem to be a better approach that would not smack of heavy-handedness and arrogance.
8-17 Q: Some people believe that free trade agreements force consumers to trade the health and safety of their families for free trade. What are the benefits and drawbacks of putting food safety regulations into regional trade pacts?
A: It is probably not necessary to place food-safety regulations within the free trade agreement itself. Free trade means that goods can enter other member nations tariff-free, not inspection free. All that governments need to do is enforce the food-safety regulations on the books, or pass more stringent ones if current ones are unacceptable. It would be a far better approach than exploiting food contamination for political purposes.
8-18 Q: The lack of harmonized food-safety practices and standards is just one of the challenges faced by the food industry as it becomes more global. What other challenges face the food industry in an era of economic integration and opening markets?
A: Perhaps the most important issue is whether relatively less efficient farmers will be able to compete with the large farming operations existing in developed nations. Throwing the doors to trade wide open without protection for small family-operated farms can spell disaster for the rural farming communities of relatively less developed countries.
------
VIDEOS
See full video List here - link
EBOOKS
Incoterms 2010 - Ebook - link
Incoterms 2010 - Guides - link
Incoterms 2010 - Guides - Light Version - link
Incoterms 2010 - Q & A - link
Incoterms 2010 - English Vietnamese - link
Incoterms 2010 - Reviews - link
Incoterms 2010 - Incoterms new 2016 - Made easy e-Guides - link
Incoterms 2010 - Case Study Guides - link
INTERNATIONAL BUSINESS - FREE DOWNLOADS
International Business: The New Realities, 4th Edition, Cavusgil, Knight & Riesenberger
International Business: The Challenges of Globalization, 8th Edition, Wild & Wild
International Business, 15th Edition, Daniels, Radebaugh & Sullivan
International Business: A Managerial Perspective, 8th Edition, Griffin & Pustay
DOWNLOAD Ebooks - here
DOWNLOAD Slides - here
DOWNLOAD Video List - here
DOWNLOAD Test Bank - here
DOWNLOAD Case Study Guides - here
Any Questions, email to: ecomftu2012@gmail.com
No comments:
Post a Comment