The 5 P’s of International Business

If you're wondering why nations trade with each other. It's because of the 5 P's: Product, Price, Proximity Promotion, and Preference. Product No country can produce all its own goods and services, a trade is obvious solution. A country's resources determine what goods and services it can produce. PriceDue to wages, taxes, fuel and other transportation costs, the costs of producing various goods from country to country may vary. Businesses in foreign countries may be able to produce products cheaper, which they can sell their products at a lower price at Canada. ProximityBorder cities such as Windsor and Ontario are tremendously influenced by their American counterparts. Businesses from both sides of the border share and exchange goods and services. Promotion With global technology such as the internet, business can let people far away know about the goods and services they are selling.Factoring Affecting The Flow Of Goods ; ServicesConsumer Needs and IncomesThe amount of money that consumers have to spend has a direct impact on the flow of goods and services in a country. In some parts in the world some people have a lot of money to spend while in other places people's income barely cover basic needs. Currency Values Most nations have their own kind of currency. The exchange rate refers to the value of one's country' currency against the currencies of other countries. It helps determine how much we pay for imported goods and services and how much we receive for what we export. When the Canadian dollars falls, imported goods become more expensive, and we tend to reduce the volume of our imports. How To Convert To Other CurrenciesConverting Canadian To Another Currency:Canadian dollar is trading at 80 US Cents How many US dollars will purchase $40 worth of Canadian products?Amount = Fund x Rate1 Can = 0.8 US1 x 40 Can = 0.8 x 40 US40 Can = 32 US$32 American to buy $40 worth of Canadian products.Converting Another Currency To Canadian:Given that the Canadian dollar is trading at 90 US cents. How many Canadian dollars will purchase $70 worth of American products?Amount = 1 divide Rate x Fund1 Can = 0.9 US1 divide 0.9 CAN = 0.9 divide 0.9 US1.11 x 70 Can = 1 x 70 US77.78 CAN = 70 US$77.78 Canadian to buy $70 worth of American products.Advantages And Disadvantages Of International BusinessAdvantages: increased markets for businessesa broader choice of products, services, and prices for consumerscreate jobsexchange knowledge which results in new approaches to production, marketing, and selling.political benefits: partners in trade seldom go to war with each otherimprove understandingincrease the level of respect people have for one another. Disadvantages: less money to spend on domestic goodsnew industries will not be able to compete with well-established industries in other countriesunfair competition due to cheap foreign labourcompetition from foreign enterprises may lead to losing of jobsBarriers To International BusinessTariffCountries place a tax called a tariff on-in-coming goods to protect domestic manufacturing. A tariff barrier slows the entry of foreign goods by making them more expensive.QuotaThis is a limit on the number of products in a category that can come into a country. The quota on clothing and textile import.EmbargoEmbargo is a complete stop to the transfer goods and it is often used as a form of political or social protest. Health and Safety Standards Countries can set such high health and safety standards for imported goods that it becomes more difficult for foreign competitors to enter the market. Trade Agreement & PactsOne of the earliest trade agreements the GATT ( General Agreement on Tariffs and Trade) brought over 100 major trading nations in 1947.It was based on 3 major principles:equal non-discriminatory treatment for all member nationsgeneral reduction of tariffsthe eliminations of non-tariff barriers

An Analysis of Hong Kong Property Trend Dissertation - 1

An Analysis of Hong Kong Property Trend - Dissertation Example The first research method is the questionnaire method which was conducted on 498 subjects. The second research method was the interview method which was conducted on 16 subjects. The subjects of the research were investors and buyers of the Hong Kong property. With the research, the problem areas of this consistent price increase has been pointed out and the researcher has made plausible recommendations to resolve these issues. Government intervention has to be strengthened. Taxes, should be levied, supply of land has to be increased to meet the demand by auctioning government owned land, construction of compact and multi-storeyed buildings along with construction of reasonably priced accommodation schemes by the government in an attempt to control prices by satisfying demand. Moreover, property ownership laws should be stricter and resale of land should be time limited to help control the prices of Hong Kong property and to avoid a price bubble burst. Table of Contents Chapter1-Intr oduction 1.1 Chapter introduction 1 1.2 Introduction 1 1.3 Background 1 1.4 Problem Definition 2 1.5 Aims of the Research 3 1.6 Motivation of Author 4 1.7 fields of investigation 4 1.8 Hypotheses 6 1.9 Methodology and sources of the data in the research 6 1.10 Layout of the research report 7 1.11 Conclusion 8 Chapter 2-Literarture Review 9 2.1 Chapter Introduction 9 2.1.1 Residential market 9 2.1.2 Commercial real estate 10 2.2 PEST analysis 11 2.2.1 Political /Legal 11 2.2.2 Economic 12 2.2.3 Social factor 14 2.2.4 Technological factor 16 2.3 Porter Five Force analysis 18 2.3.1 Bargaining power of the buyers 18 2.3.2 Barging power of suppliers 19 2.3.3 Potential development of substitute products 20 2.3.4 Industry competitors (rivalry among competing firms) 20 2.3.5 Potential entry of new competition 21 2.4 BCG Matrix 22 2.5 SWOT analysis 23 2.5 1 Strengths 23 2.5.2 Weaknesses 24 2.5.3 Opportunities 25 2.5.4 Threats 25 2.6 Market analysis 27 2.6.1 Population increase 27 2.6.2 The M ainland Chinese buyers 28 2.6.3 Measures taken by the government 29 2.6.4 Other factors for price increase in the real estate 31 Chapter 3-Methodology 32 3.1 Chapter Introduction 32 3.2 Role of the Researcher 32 3.3 Methods 34 3.3.1 Subject description 34 3.4 Questionnaire Method 35 3.5 Questionnaire 38 3.6 Interview Method 39 3.7 Data collection and compilation 42 3.8 Trustworthiness of the method 44 3.8.1 Reliability 44 3.8.2 Validity 44 3.8.3 Ethical validity 45 3.8.4 Generalized validity 45 Chapter 4- Findings and result analysis 46 4.1 Introduction 46 4.2. Hypothesis 1- 46 4.3 Hypothesis 2- 52 4.4 Hypothesis 3- 57 4.5 Hypothesis 4- 62 Chapter 5- Conclusion and Recommendations 69 5.1 Chapter Introduction 69 5.2 Conclusion 69 5.3 Recommendations 75 5.3.1 Laws of reselling 75 5.3.2 Increase land supply 76 5.3.2.1 Auction government land 76 5.3.2.2 Multi-story buildings 76 5.3.2.3 Resolve property issues 77 5.3.3 Levy taxes on unused property 77 5.3.4 Decrease demand 77 5.3.4.1 Inc rease interest rate 77 5.3.4.2 Raise property ownership regulations 78 5.3.5 Limit on the amount of land owned 78 5.3.6 Appreciate property 78 5.3.7 Price ceiling 79 5.3.8 Undergoing more construction 79 5.3.9 Lack of market information 80 5.4 Limitations 80 Appendix 81 References 84 Chapter1-Introduction 1.1 Chapter introduction In this chapter, the introduction and the background of the research have been stated. The aims, objectives, hypothesis and an outline of the research h

The Increasing Role of Islam in Terrorism Essay

The Increasing Role of Islam in Terrorism - Essay Example The psychological state of suicide bombers before they perform the final stage of their mission and what are the benefits promised by Islam that encouraged the Muslim youth to do such horrible and destructive sacrifices. This paper also analyzes the true intentions of terrorist and why Islam is spreading like wildfire in the four corners of the globe. Finally, the paper will make an assessment of the global situation and the threats imposed by Islamic fundamentalism that are waiting to devour the innocent peace loving men, women and children of the western world. The religion of Islam is the fastest growing religion throughout the world, with over 1.5 billion Muslims throughout the world at present. The meaning of Islam is peace and forsaking ones pleasure for the pleasure of God. Many practitioners of Islam are peaceful and tolerant of other religions and beliefs. While there have been conflicts between Muslims and followers of other faiths throughout the centuries since the Islamic religion developed over 1,400 years ago. However, the rise of violent acts by Islamic extremists in the 20th and early 21st centuries, such as the attacks of 9/11, have made world leaders take notice of the growing threat and realize that it continues to grow. We cannot label all Muslims as dangerous and extremist, but the amount of followers willing to hurt and kill others and themselves in the name of Allah, in order to further their cause have increased dramatically throughout the years. This research paper will explore what has happened within the Islamic co mmunity to turn Islam from a peaceful and accepting religion to one that is synonymous with brutality, death and terrorism. Today is probably not the first time you are going to read that Islam is a religion of peace and it does not permit Muslims to kill innocent and defenseless people. Its practically everywhere, type the words in your internet browser and you will find hundreds of articles authored by Arabs and supporters claiming Islam is innocent and not to be blame for the chain of ruthless and barbaric terrorism attacks around the world. Some of them even have the nerve to point their fingers to the west accusing the Americans of making false connection between Islam and Terrorism. It is true that we cannot label Muslims as terrorist and we do believe that majority of them are god fearing and peace loving people. However, the reality that the teachings of Islam encourages fundamentalist to brutally slaughter innocent people, men, women, and children are absolutely not anyone's idea of a peaceful religion and somebody or something must be responsible for it. The increasing role of Islam in terrorism is not entirely surprising considering the fact those Islamic extremists are using the doctrines of Islam to justify their killings. Furthermore, If we are going to consult some of the teachings of Islam or shall we say the teachings of Prophet Mohammed (Peace be upon him) through the articles written by their scholars, we will come across some terrifying verses in the Qur'an1 that undeniably encourages violence. Since it is the source of inspiration by Islamic extremist, the study of Islamic teaching is vital in learning the truth behind the persistent and increasing propagation of terrorism against western countries and unbelievers.

International Relation- PED Essay Example | Topics and Well Written Essays - 1500 words

International Relation- PED - Essay Example growth of the political economy of development enables the exposure of the interconnected topics, ideas and the role played by such ideas towards shaping a country’s development aspects. The assignment is put together in order to provide an understanding platform of the existing literature on economic development studies. The work is organised in a way that will elaborate more on the Post-war consensus that took place from 1950s and in the 1960s. During this period, the ideas portrayed in the literature indicate that they were focused on the theory of classical dualism. This particular theory led to the development of policies that were concentrated more on the creation of the suitable pre-conditions to facilitate development. The study will shed light on the event of increasing awareness, and the role played by advancing ideas. The ideas were resulting from the reducing reliance on the state of developmental and the increasing dependence on structural adjustment lending that will be assayed. In reference to Ranis (2004), the previously ignored sub-field of development economics was reinvented between the 1950s and the 1960s. During the time, the current models of the economy were deemed only to offer insights that were rather limited towards solving the challenges facing the third world. The Keynesian, Solow, and Harrod-Domar were the dominant economic models at the time. However, the ideas in these theories have little relevance for most societies. In accordance with Cairney (2012), the ideas incorporated in this literature are more of connected to the business cycles and other steady-state properties. In a more specific tone, the contemporary development models are viewed as related to the advanced countries. The Keynesian theory, for instance, has an abstract theoretical construct that abides by the abundant assumptions portrayed by the macro- theory of neo-classics. Contemporary development ideas also focused on full employment, perfect competition, and

Industry report Research Paper Example | Topics and Well Written Essays - 2000 words - 1

Industry report - Research Paper Example Since then, it has sold a record of over 3000 cars for a short period of time, a fact which has been attributed to its ambitious plans and product launches which have been put into place by the company. The Maserati product also has the convertible type in place which has been confirmed to be the Maserati Levante, the first SUV from Maserati in 2015 and another model named 2+2 which will be rolling out in next year. All these are attempts of the Italian car giant of trying to place a production output cap of 75,000 globally. The racing market has been flooded by many car giants like Subaru, Mitsubishi and Toyota who try to portray themselves as the best ahead of the rest and there was a time when Maserati withdrew from factory racing participation due to Guidizzolo tragedy (A 4.2 L Ferrari travelling at a speed of 250KM/H blew a tire and crashed into the roadside crowd, killing the driver, co-driver and ten spectators including five children) in 1957 which tarnished their name but this did not hinder them from producing cars for privateers. They became more and more focused on building road-going grand tourers which were popular back then. The sporty vehicle is made to impress and with its style, it sure provides the luxury that anyone on this globe entirely needs. Maserati’s main focus of indulging in the racing industry was to provide the best engine and chasis necessary in racing. This was to make them as an easily identifiable lot when it came to car selection. However, with the help of a few factors highlighted here below, one will understand Maserati’s target with ease. In order to face off competition from other car companies, Maserati has rolled a list of its very luxurious machines with an intend of increasing its following globally. These cars include the Maserati Quattroporte which is an amazing sporting luxury saloon, a sixth generation vehicle which was introduced in 2013. However,

Comprehensive Annual Fnancial Report Briefing Essay

Comprehensive Annual Fnancial Report Briefing - Essay Example As a result, they have to invest more in marketing because that is the component that will help the companies to boost their profits. On the other hand, the governmental organizations usually deal more on assisting citizens of the country. That means that the efforts of the government are usually towards helping the citizens of the country as opposed to making profits. Therefore most of the services that are offered by the government are usually subsidized and that will help to ensure that the poor and needy people in the community get access to the most essential facilities. The main sources of government revenue include fines that are collected, licenses, and donations. That means that any government facility that is available doe not majorly deal on the issue of making profit but basically charges a small fee for the facilities to be able to sustain their most essential needs (Martin, 2000). The other differences include the following, the owners of the government facilities is th e public whereas for profit corporations are owned by shareholders. The decision is made by the shareholder of the company whereas the decision for governmental facilities is made by the people that have been elected by the public as their representatives. The government facilities do not aim at making profits while the for-profit corporations usually aim at making of profits. ... es Notes of financial statements The statements that are prepared by for profit organizations include; Balance sheet Income statement Statement of cash flows Statement of stockholder’s equity Notes of financial statements The source of revenues for the government include the following Donor contributions Fines Taxes Levies Investment income Grants Source of income for the for profit business include the following Sales of merchandise Fees for services Investment income Gains on investments MD and A This should introduce financial statements that are basic and give an overview that is analytical in regard to the activities of the government. The MD & A usually provides a financial manager with a good opportunity to present both long and short term analysis of the activities that regard the operations of the government. The process should; provide an n analysis that is objective and easily read in regard to governmental activities. It should also include analysis that shows year ly performance. The analysis should show the yearly source of income for the government, the usage of funds by the various governmental bodies, the way the funds were distributed and any amounts that were left as surplus. This process will ensure that there is accountability in the government and that the fund that is associated with the public is appropriated well so as to ensure that there is no instance of fund misappropriations. The MD&A usually focus primarily on the government. The comments that are found in the MD&A should be able to distinguish between information hat regards the different components of the government and the primary government working and the primary government. The e outline of the MD&A 1. Brief description of financial statements. The description should include

Analysis of the case of Repulse Travel Pharmaceuticals Coursework

Analysis of the case of Repulse Travel Pharmaceuticals - Coursework Example g title, table of contents, list of tables and figures, bibliography and appendices 16 Bibliography 17 Brigham E F & Ehrhardt, M C 2011 Financial Management Theory and Practice. South-western Cengage Learning, Mason, OH 17 List of tables and figures Table 1 Summary of profit changes vs demand changes 12 Table 2 Summary of profit changes vs price changes 14 Table 3 Profit and loss study under condition of certainty 18 Table 4 Payback period under condition of certainty 18 Table 5 NPV and PI under condition of certainty 18 Table 6 NPV and PI under condition of certainty (Capex & R&D) 18 Table 7 Profit and loss study 1% drop in demand 19 Table 8 Profit and loss study 1% rise in demand 19 Table 9 Payback period 1% drop in demand 19 Table 10 NPV and PI with 1% drop in demand 19 Table 11 NPV and PI with 1% drop in demand (Capex + R&D) 19 Table 12 Profit and loss study 5% drop in demand 20 Table 13 Profit and loss study 5% rise in demand 20 Table 14 Payback period with 5% drop in demand 20 Table 15 NPV and PI with 5% drop in demand 20 Table 16 NPV and PI with 5% drop in demand (Capex + R&D) 20 Table 17 Profit and loss study 1% drop in price 21 Table 18 Profit and loss study 1% rise in price 21 Table 19 Payback period with 1% drop in price 21 Table 20 NPV and PI with 1% drop in price 21 Table 21 NPV and PI with 1% drop in price (Capex + R&D) 21 Table 22 Profit and loss study 5% drop in price 22 Table 23 Profit and loss study 5% rise in price 22 Table 24 Payback period with 5% drop in price 22 Table 25 NPV and PI with 5% drop in price 22 Table 26 NPV and PI with 5% drop in price (Capex + R&D) 22 Figure 1 Graph of profit change vs demand change 13 Figure 2 Graph of profit change vs price change 14 1.0 Introduction This report is in compliance with the coursework case, the topic... Repulse is not certain whether Citronex should be introduced into the market, because the management fears that the financial risks of doing so are substantial. Managers who are convinced that it should cites the potential profits and cash flows the product could bring. In analysing the merits of either side, it is determined that if the product performs as forecasted, Citronex will be profitable; however, it is also risky in that if the demand and price are lower than forecasted by even a small degree, the financial losses are magnified and may be substantial. Repulse Travel Pharmaceuticals, a UK based medium sized firm, is presently deliberating on whether or not it shall launch a new spray product â€Å"Citronex,† which has an estimated five year commercial life. The firm has spent  £150,000 on product and market research on Citronex. The aim of this report is to provide an analysis by which management may decide whether or not the manufacture and sale of Citronex should be undertaken. The report intends to accomplish this task by conducting an estimation, based on forecasted demand and selling price, of the profit and cash flows the company is likely to realize. Its objectives, therefore, include: 1.2.1 an estimation of profit and loss as well as cash flows based on the given information under conditions of certainty on the forecasted demand and selling price 1.2.2 an estimation of profit and loss as well as cash flows based on the given information under the likely conditions that the demand may rise or fall