Course Catalogue

Module Code and Title:         MGT101 Introduction to the Business Environment

Programme:                          Bachelor of Business Administration

Credit Value:                         12

Module Tutors:                      Kezang Wangchuk, Enchu Lhamo, Shreejana Pradhan

Module Coordinator:             Kezang Wangchuk    

General Objective: This module is an introduction to the business environment in Bhutan. Students will be introduced to the nature of the business and ways in which the environment impacts business. Student will appraise different business situations and analyse the dynamic nature of the business environment, so that they can understand basic management tools common in Bhutanese businesses.

Learning Outcomes – On completion of the module, students should be able to:

  1. Distinguish business sectors and business organizations in Bhutan
  2. Discuss the roles and impacts of international and Bhutanese economic systems, MNCs, WTO, fiscal and monetary policies on business organizations
  3. Assess the impacts of change in Bhutan’s political-legal, socio-cultural and technological environment on business
  4. Conduct basic industry analysis using economic reforms, competitive environment, business environment and current issues
  5. Develop alternatives strategies for the survival and growth of business in various environmental situations and specifically the Bhutanese context
  6. Develop strategies for specific businesses to address key environmental factors such as government policies
  7. Develop a simple plan to implement a holistic approach to the business in relation to economic, ethical, governmental, legal, social and technological issues associated with business activity
  8. Implement practices within a sample company to continuously assess the environment and anticipate likely changes

Teaching and Learning Approach:

Approach

Hours per week

Total credit hours

Lectures

2

30

Class exercises, small group work and case studies, Case analysis and Presentations

1

15

Class reading and discussion, including current affairs

1

15

Independent study and library research, written assignments, project work

4

60

Total

120

Assessment Approach:

A. Analytic Assignments: Portion of Final Marks-20%

Students will write two assignments of four questions based on the topics given which will be discussed during class. The length of each assignment should be approximately 800 words, worth 10% each:

2%       substance

1.5%    organization such as clarity of controlling argument and main ideas

2%       interpretation of data with accuracy

3%       analytic thinking and problem solving

1.5%    overall effectiveness of writing style with creativity and originality

B. Class Participation: Portion of Final Marks-5%

Students will participate in class discussions, contributing their ideas and opinions about the methods and tools being taught in this module.

1%       frequency of participation in class

2%       quality of comments

1%       listening skills (may be exemplary proficient, developing, unacceptable)

1%       contribution in a group discussion in class

C. Project and Presentation: Portion of Final Marks-30%

Students will prepare a group-based (4 students) mini project on a case analysis of 2500 words by using the various analytic tools discussed during the module. In a follow-up 10-15-minute presentation (followed by 5 min Q&A), students will develop and demonstrate teamwork and proficiency in communication skills.

15%     Report:

5%       identification of main issues/problem

3%       construction of an enquiry plan

4%       interpretation of findings

3%       reflection on solving problem

            5%       Presentation group mark:

1%       content of the presentation

1%       consistency and structure of presentation

1%       sharp focus on the objective of presentation

1%       time management

1%       involvement of audience and adequacy in handling Q&A

5%       Presentation individual mark:

2%       demonstrates understanding of the material presented

2%       clarity

1%       tone and delivery

5%       Individually-assessed process score (contribution to the group output)

D. Midterm Examination: Portion of Final Marks-15%

Students will take a written exam of 2-hour duration covering topics up to the mid-point of the semester.

E. Semester-end Examination: Portion of Final Marks-30%

The module will have a semester-end exam for 2 hours covering the entire syllabus. The question will be divided into two parts – Part A (carrying 40% of the exam weightage) will be mostly of short answer including objective questions. Part-B (carrying almost 60% of the exam weightage) will be mostly of essay type or an extended response to the given question. This part of the question requires students to apply, analyse, and evaluate or construct knowledge and skills. Cases will also be used to test the levels of knowledge.

Areas of assignments

Quantity

Weighting

A.    Analytic assignments

2

20%

B.    Class participation

 

5%

C.   Project and Presentation

1

30%

D.   Midterm Examination

1

15%

Total Continuous Assessment (CA)

 

70%

E.    Semester-end Examination (SE)

 

30%

TOTAL

 

100%

Pre-requisites: None

Subject Matter:

  1. Introduction to Business and Organization
    • Introduction and definition of business
    • Business sectors
      • Public sector
      • Private sector
      • Cooperative sector
    • Forms of business organizations
      • Proprietorship
      • Partnership
      • Joint stock companies
        • Features
        • Merits and demerits and suitability
  1. Political-Legal and Socio-Cultural Environment
    • Political Institutions
      • Functions of Legislature, Executive, Judiciary and the impact of this institutions in business decision making
      • Effect of Judicial activism, State intervention and its rationale, Liberalization and its impact on Bhutan’s legislation (Economic Policies, Trade Policies, Financial Sector reforms, and other promotional activities like Brand Bhutan)
    • Socio Cultural environment
      • Types of changes in the social environment especially the demographic factors and environmental issues
      • Impact of social and cultural changes on the conduct of business and business activity
      • Responses of businesses to changing social environment including Corporate Social Responsibility
        • Meaning of corporate social responsibility
        • Role of business in promoting ethical practices
        • Corporate social responsibility (Carroll’s Pyramid of Corporate Social Responsibility, Principal-Agent problem)
      • Cost and benefits to businesses in implementing environmentally friendly (green) policies
      • Corporate governance, social audit and restoration of business ethics, ecology and business
  1. Economic Environment
    • Economic systems and planning in Bhutan
    • Roles, objectives, issues of public sector in Bhutan
    • Fiscal and monetary policies of Bhutan and its impact on businesses
    • Privatization in Bhutan---natures and objectives
    • Joint sector and co-operative sector in Bhutan
  1. Technological Environment
    • Features and impact of technology on business
    • Status and challenges with technological growth in Bhutan
    • Technological policy and Import of technology in Bhutan
    • Patent and Intellectual Property Rights
    • Issues with technology transfer in Bhutan
  1. International Environment
    • Globalization (Emergence, nature and rationale)
    • Benefits and problems of multinational companies (MNC’s)
    • Foreign direct investment (FDI’s) in Bhutan
    • Mergers and acquisitions
    • Business process outsourcing and present status in Bhutan
    • Competition Policy
    • WTO –objectives, functions and Bhutan’s potential route of accession
    • Rationale behind trade blocs

Reading Lists:

  1. Essential Readings
    • Cherunilam, F. (2017). Business environment text and cases (25th ed.). Himalaya Publishing House.
    • Ministry of Economic Affairs. (2012). Cottage, small and medium industry policy of the kingdom of Bhutan, 2012. http://www.moea.gov.bt/documents/files/pub9vx883xy.pdf
    • Royal Government of Bhutan. (2017). Economic development policy: Royal government of Bhutan. 2010. http://rtm.gnhc.gov.bt/wp-content/uploads/2017/01/Economic-Development-Policy-2017.pdf
    • Ministry of Economic Affairs. (2010). Foreign direct investment policy,2010.http://www.moea.gov.bt/documents/files/pub1lo5416ap.pdf
  2. Additional Readings

Date: July, 2017
Royal Thimphu College