Module                      :  IBS 301: International Business

Programme                : B.Com/BBA

Credit Value              : 12     

Prerequisite                : None

General Objectives:

·         To familiarize students with the basics of international business and cooperation

·         To examine the conceptual and applied aspects of international business

·         To critically assess major challenges of globalization practices

·         To evaluate and appreciate the role of international organizations in promotion and regulations of international business

Learning Outcomes:

Upon successful completion of this module, student should be able to:   

·         explain the basis of international business and co operations

·         analyse globalization principles and its impacts on domestic economies

·         examine challenges underlying international operations-HRM issues, Marketing strategies, foreign trade and payment terms (INCOTERMS), exchange and risk management

·         explain and examine the advantage and challenges of regional economic cooperation

CONTENT

Unit-I: International Business Environment                                                                 (6 Hours)

Basis of international business (factors that contribute to international business); international trade environment - Economic, cultural, political and legal environments; recent trends and developments in world trade in goods and services.

Unit-II: Globalisation and the World Economy                                                            (6 Hours)

Concept of globalization, its growing importance in the world economy; impact of globalization on the domestic economy; Foreign Direct Investment; role of multinationals, modes of entry strategies of MNCs, Cross border Mergers and Acquisitions, World Emerging Economies- Brazil, Russia, India and China and change in trend of  global economy.

Unit-III: International Management                                                                            (12 Hours)

International Production, logistics, value chain, strategies; Organisational structures for international organisations; Marketing strategies; International HRM issues: cross cultural management, expatriate management, foreign trade and payment terms and other INCOTERMS, Foreign exchange and risk management.

Unit-IV: International Trade and Related Institutions                                              (10 Hours)

Overview of theories of trade-comparative advantage Vs Competitive advantages; International Trade Agreements- WTO Objectives, structure and functioning; roles and functions of IMF, World Bank, UNCTAD, OECD, G20.

Unit- V: Regional Economic Cooperation                                                                     (8 Hours)

Regional Economic cooperation: Forms of regional blocks; Economic Integration among countries in Europe, North America and Asia (BIMSTEC, NAFTA, MERCUSOR, SAARC and others)

Unit-VI: Trade Promotion and Development                                                               (8 Hours)

Trade promotional measures: Free Trade Zones and Tariff Regulations; Subsidies and incentives; 100 % Export Oriented Units (EOU); Strategic Alliances, Outsourcing, IT in international business, ethical and environmental considerations. 

Teaching strategies

·         Interactive lectures

·         Group activities

·         Case studies

·         Seminars

Assessment

• Assignments                                        30 %
• Group project and Presentation          30 %
• End-Semester Exam                           40 %

                                                              Total 100%

Essential Texts

1. Paul J. International Business, Prentice Hall of India, New Delhi, INDIA
2. Cherunilam F, International Business, (2007) Prentice Hall of  India, New Delhi, INDIA

References

1. Johnson D & Turner C, International Business-Themes and Issues in Modern Global economy, London, Rutledge
2. Bennett R, International Business,(2007) Pearson India, New Delhi, INDIA
3. Bhutan’s FDI 2010, Ministry of Finance, Thimphu
4. EDP 2010, Ministry of Labour and Human Resources, Thimphu