Read Chapter 4: Differences in Culture in the attached textbook. Now research topic Economic Implications of Hinduism - Business Finance
Read Chapter 4: Differences in Culture in the attached textbook. Now research topic Economic Implications of HinduismYou will need at least three journal references and the textbook. Start your research with the textbook so it always grounds your topic.When your research is complete write a discussion post of atleast 750 words (3 pages).Instructions :It’s so important that you ground your topic with the textbook. So, please start with the text book and then 3 journal references.Need at least three journal referencesTextbook and 3 journal references are must and shouldEVERYTHING SHOULD BE IN APA FORMATEVERYTHING SHOULD BE PLAGIARISM FREE. PLEASE POST PLAGIARISM RESULT.CITE ALL THE REFERENCES
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Page i
11e
GLOBAL BUSINESS TODAY
Charles W. L. Hill
University of Washington
G. Tomas M. Hult
Michigan State University
Page ii
GLOBAL BUSINESS TODAY, ELEVENTH EDITION
Published by McGraw-Hill Education, 2 Penn Plaza, New York, NY
10121. Copyright © 2020 by McGraw-Hill Education. All rights
reserved. Printed in the United States of America. Previous editions
© 2018, 2016, and 2014. No part of this publication may be
reproduced or distributed in any form or by any means, or stored in a
database or retrieval system, without the prior written consent of
McGraw-Hill Education, including, but not limited to, in any network
or other electronic storage or transmission, or broadcast for distance
learning.
Some ancillaries, including electronic and print components, may not
be available to customers outside the United States.
This book is printed on acid-free paper.
1 2 3 4 5 6 7 8 9 LWI 22 21 20 19
ISBN 978-1-260-08837-3 (bound edition)
MHID 1-260-08837-5 (bound edition)
ISBN 978-1-260-78061-1 (loose-leaf edition)
MHID 1-260-78061-9 (loose-leaf edition)
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Library of Congress Cataloging-in-Publication Data
Names: Hill, Charles W. L., author. | Hult, G. Tomas M., author.
Title: Global business today / Charles W.L. Hill, University of
Washington,
G. Tomas M. Hult, Michigan State University.
Description: 11e [edition]. | New York, NY : McGraw-Hill Education,
[2020]
Identifiers: LCCN 2018050510| ISBN 9781260088373 (alk. paper) |
ISBN
1260088375 (alk. paper)
Subjects: LCSH: International business enterprises—Management. |
International trade. | Investments, Foreign. | Capital market.
Classification: LCC HD62.4 .H548 2020 | DDC 658/.049—dc23 LC
record available
at https://lccn.loc.gov/2018050510
The Internet addresses listed in the text were accurate at the time of
publication. The inclusion of a website does not indicate an
endorsement by the authors or McGraw-Hill Education, and
McGraw-Hill Education does not guarantee the accuracy of the
information presented at these sites.
mheducation.com/highered
For my mother June Hill, and the memory of my
father, Mike Hill
—Charles W. L. Hill
For Gert & Margareta Hult, my parents
—G. Tomas M. Hult
Page iii
Page iv
about the authors
CHARLES W. L. HILL
University of Washington
Charles W. L. Hill is the Hughes M. and Katherine Blake Professor
of Strategy and International Business at the Foster School of
Business, University of Washington. Professor Hill has taught in the
MBA, Executive MBA, Technology Management MBA, Management,
and PhD programs at the University of Washington. During his time
at the University of Washington, he has received over 25 awards for
teaching excellence, including the Charles E. Summer Outstanding
Teaching Award. The Foster School is consistently ranked as a Top25 business school. Learn more about Professor Hill at
http://foster.uw.edu/faculty-research/directory/charles-hill.
A native of the United Kingdom, Professor Hill received his PhD
from the University of Manchester, UK. In addition to the University
of Washington, he has served on the faculties of the University of
Manchester, Texas A&M University, and Michigan State University.
Professor Hill has published over 50 articles in top academic
journals, including the Academy of Management Journal, Academy
of Management Review, Strategic Management Journal, and
Organization Science. Professor Hill has also published several
textbooks, including International Business (McGraw-Hill) and Global
Business Today (McGraw-Hill). His work is among the most widely
cited in international business and strategic management.
Beginning in 2014, Dr. Hill partnered with Dr. Tomas Hult in a
formidable co-authorship of the International Business franchise of
textbooks (International Business and Global Business Today).This
brought together two of the most cited international business
scholars in history.
Professor Hill works on a private basis with a number of
organizations. His clients have included Microsoft, where he has
been teaching in-house executive education courses for two
decades. He has also consulted for a variety of other large
companies (e.g., AT&T Wireless, Boeing, BF Goodrich, Group
Health, Hexcel, Microsoft, Philips Healthcare, Philips Medical
Systems, Seattle City Light, Swedish Health Services, Tacoma City
Light, Thompson Financial Services, WRQ, and Wizards of the
Coast). Professor Hill has also served on the advisory board of
several start-up companies.
For recreation, Professor Hill enjoys skiing and competitive
sailing!
Page v
G. TOMAS M. HULT
Michigan State University
Dr. Tomas Hult is Professor of Marketing, Byington Endowed Chair,
and Director of the International Business Center in the Department
of Marketing in the Eli Broad College of Business at Michigan State
University. He also teaches for the Broad College’s Department of
Supply Chain Management and Department of Management. Learn
more about Professor Hult at http://broad.msu.edu/facultystaff/hult.
A native of Sweden, Dr. Hult received a mechanical engineer
degree in Sweden before obtaining Bachelor and MBA degrees in
the United States, followed by a PhD at The University of Memphis.
In addition to Michigan State University, he has served on the
faculties of Florida State University and the University of Arkansas at
Little Rock. Dr. Hult holds visiting professorships in the International
Business Group of his native Uppsala University, Sweden, and the
International Business Division of Leeds University, United Kingdom.
Michigan State, Uppsala, and Leeds are all ranked in the top 10 in
the world in international business research.
Dr. Hult serves as Executive Director and Board Member of the
Academy of International Business (AIB), President and Board
Member of the Sheth Foundation, and serves on the U.S. District
Export Council. Tomas Hult hosts the radio show globalEDGE
Business Beat on the Michigan Business Network.
Hult is one of the world’s leading academic authorities (citations,
publications) in marketing strategy, international business,
international marketing, strategic management, global supply chains,
and complex multinational corporations. He is one of only about 100
Elected Fellows of the Academy of International Business, an
accolade achieved by only the elite international business scholars.
Dr. Hult was also selected in 2016 as the Academy of Marketing
Science/CUTCO-Vector Distinguished Marketing Educator.
He regularly speaks at high profile events (e.g., European
Commission, Swedish Entrepreneurship Forum, United Nations
Conference on Trade and Development, U.S. Department of
Education, World Investment Forum) and publishes influential op-ed
articles (e.g., Time, Fortune, Fortune, World Economic Forum, The
Conversation). Tomas has developed a large clientele of the world’s
top corporations (e.g., ABB, Albertsons, Avon, BG, Bechtel, Bosch,
BP, Defense Logistics Agency, Domino’s, FedEx, Ford, FreshDirect,
General Motors, GroceryGateway, HSBC, IBM, Michigan Economic
Development Corporation, Masco, NASA, Raytheon, Shell, Siemens,
State Farm, Steelcase, Tech Data, and Xerox).
In addition to co-authoring with Charles W. L. Hill the marketshare leading textbooks in international business (Global Business
Today, now in its 11th edition, and International Business, now in its
12th edition), Dr. Hult has written several popular business trade
books (e.g., Second Shift; Global Supply Chain Management;
Extending the Supply Chain; and Total Global Strategy).
Tennis, golf, and traveling are his favorite recreational activities.
Page vi
brief contents
PART ONE
Introduction and Overview
Chapter One
PART TWO
Globalization 2
National Differences
Chapter Two
National Differences in Political, Economic,
and Legal Systems 36
Chapter Three
Development 58
Chapter Four
National Differences in Economic
Differences in Culture 86
Chapter Five
Ethics, Corporate Social Responsibility, and
Sustainability 122
PART THREE
The Global Trade and Investment Environment
Chapter Six
International Trade Theory 150
Chapter Seven
184
Government Policy and International Trade
Chapter Eight
Foreign Direct Investment 212
Chapter Nine
PART FOUR
Regional Economic Integration 240
The Global Monetary System
Chapter Ten
The Foreign Exchange Market 270
Chapter Eleven
PART FIVE
The International Monetary System 294
The Strategy of International Business
Chapter Twelve
The Strategy of International Business 320
Chapter Thirteen
Markets 356
PART SIX
Entering Developed and Emerging
International Business Functions
Chapter Fourteen
382
Exporting, Importing, and Countertrade
Chapter Fifteen
Management 408
Global Production and Supply Chain
Chapter Sixteen
438
Global Marketing and Business Analytics
Chapter Seventeen
474
Global Human Resource Management
GLOSSARY 503
NAME INDEX 511
SUBJECT INDEX 513
ACRONYMS 531
COUNTRIES AND THEIR CAPITALS 532
Page vii
the proven choice for international
business
Current. Application Rich,
Relevant. Accessible and Student
Focused.
Global Business Today (GBT), the worldwide market leader among
international business products, has set a new standard for
international business teaching. We have focused on creating
resources that
Are comprehensive, state of the art, and timely.
Are theoretically sound and practically relevant.
Focus on applications of international business concepts.
Tightly integrate the chapter topics throughout.
Are fully integrated with results-driven technology.
Take full and integrative advantage of globalEDGE.msu.edu—
the Google-ranked #1 web resource for “international business
resources.”
International Business (now in its 12th edition, 2019), also coauthored by Charles W. L. Hill and G. Tomas M. Hult, is a more
comprehensive and case-oriented version that lends itself to the core
course in international business for those that want a deeper focus
on the global monetary system, structure of international business,
international accounting, and international finance.
GBT has always endeavored to be current, relevant, application
rich, accessible, and student-focused. Our goal has always been to
cover macro and micro issues equally and in a relevant, practical,
accessible, and student-focused approach. We believe that anything
short of such a breadth and depth of coverage is a serious
deficiency. Many of the students in these international business
courses will soon be working in global businesses, and they will be
expected to understand the implications of international business for
their organization’s strategy, structure, and functions in the context of
the global marketplace. We are proud and delighted to have put
together this international business learning experience for the
leaders of tomorrow.
Over the years, and now through 11 editions, Dr. Charles Hill has
worked hard to adhere to these goals. Since the ninth edition,
Charles’ co-author, Dr. Tomas Hult, has followed the same approach.
In deciding what changes to make, we have been guided not only by
our own reading, teaching, and research but also by the invaluable
feedback we received from professors and students around the
world, from reviewers, and from the editorial staff at McGraw-Hill
Education. Our thanks go out to all of them.
Comprehensive and Up-to-Date
To be relevant and comprehensive, an international business
package must
Explain how and why the world’s cultures, countries, and
regions differ.
Cover economics and politics of international trade and
investment.
Tackle international issues related to ethics, corporate social
responsibility, and sustainability.
Explain the functions and form of the global monetary system.
Examine the strategies and structures of international
businesses.
Assess the special roles of the various functions of an
international business.
Relevance and comprehensiveness also require coverage of the
major theories. It has always been a goal to incorporate the insights
gleaned from recent academic scholarship into the book.
Page viii
Consistent with this goal, insights from the following
research, as a sample of theoretical streams used in the book, have
been incorporated:
New trade theory and strategic trade policy.
The work of Nobel Prize–winning economist Amartya Sen on
economic development.
Samuel Huntington’s influential thesis on the “clash of
civilizations.”
Growth theory of economic development championed by Paul
Romer and Gene Grossman.
Empirical work by Jeffrey Sachs and others on the relationship
between international trade and economic growth.
Michael Porter’s theory of the competitive advantage of nations.
Robert Reich’s work on national competitive advantage.
The work of Nobel Prize–winner Douglass North and others on
national institutional structures and the protection of property
rights.
The market imperfections approach to foreign direct investment
that has grown out of Ronald Coase and Oliver Williamson’s
work on transaction cost economics.
Bartlett and Ghoshal’s research on the transnational
corporation.
The writings of C. K. Prahalad and Gary Hamel on core
competencies, global competition, and global strategic alliances.
Insights for international business strategy that can be derived
from the resource-based view of the firm and complementary
theories.
Paul Samuelson’s critique of free trade theory.
Conceptual and empirical work on global supply chain
management—logistics, purchasing (sourcing), operations, and
marketing channels.
In addition to including leading-edge theory, in light of the fastchanging nature of the international business environment, we have
made every effort to ensure that this product is as up-to-date as
possible. A significant amount has happened in the world since we
began revisions of this book. By 2016, almost $4 trillion per day were
flowing across national borders. The size of such flows fueled
concern about the ability of short-term speculative shifts in global
capital markets to destabilize the world economy.
The world continued to become more global. As you can see in
Chapter 1 on Globalization, trade across country borders has almost
exponentially escalated in the last few years. Several Asian
economies, most notably China and India, continued to grow their
economies at a rapid rate. New multinationals continued to emerge
from developing nations in addition to the world’s established
industrial powers.
Increasingly, the globalization of the world economy affected a
wide range of firms of all sizes, from the very large to the very small.
We take great pride in covering international business for small- and
medium-sized enterprises (SMEs), as well as larger multinational
corporations. We also take great pride in covering firms from all
around the world. Some sixty SMEs and multinational corporations
from all six core continents are covered in the chapters’ opening
cases, closing cases, and/or Management Focus boxes.
And unfortunately, global terrorism and the attendant geopolitical
risks keep emerging in various places globally, many new and
inconceivable just a decade ago. These represent a threat to global
economic integration and activity. Plus, with the United Kingdom
opting to leave the European Union (Brexit), which has implications
past 2019, the election of President Donald Trump in the United
States (who espouses views on international trade that break with
the long established consensus), and several elections around the
world, the globe—in many ways—has paid more attention to
nationalistic issues over trade. These topics and many more are
integrated into this text for maximum learning opportunities.
WHAT’S NEW IN THE 11TH EDITION
The success of the first ten editions of Global Business Today (and
its longer, more in-depth textbook option and companion,
International Business, now in the 12th edition) was based in part on
the incorporation of leading-edge research into the text, the use of
the up-to-date examples and statistics to illustrate global trends and
enterprise strategy, and the discussion of current events within the
context of the appropriate theory. Building on these strengths, our
goals for the 11th edition have focused on the following:
1. Incorporate new insights from scholarly research.
2. Make sure the content covers all appropriate issues.
Page ix
3. Make sure the text is up-to-date with current events,
statistics, and examples.
4. Add new and insightful opening and closing cases in most
chapters.
5. Incorporate value-added globalEDGETM features in every
chapter.
6. Connect every chapter to a focus on managerial implications.
As part of the overall revision process, changes have been made to
every chapter in the book. All statistics have been updated to
incorporate the most recently available data. As before, we provide
the only textbook in International Business that ensures that all
material is up-to-date on virtually a daily basis. The copyright for the
book is 2020, but you are likely using the text somewhere between
the years 2019 to 2022. We keep the textbook updated to each
semester you use the text in your course! We do this by integrating
Connect and globalEDGETM features in every chapter.
Specifically, combining McGraw Hill’s Connect platform with the
Google number-one-ranked globaledge.msu.edu site (for
“international business resources”), we can add up-to-date materials
and exercises to each chapter to add value to the material and
provide relevant data and information. This keeps chapter material
constantly and dynamically updated for teachers who want to infuse
Connect and globalEDGETM material into the chapter topics, and it
keeps students abreast of current developments in international
business.
In addition to updating all statistics, figures, and maps to
incorporate most recently published data, a chapter-by-chapter
selection of changes for the 10th edition include the following:
CHAPTER 1: GLOBALIZATION
New opening case: GM and Its Chevrolet Supercar, The
Corvette ZR1
New materials on international trade, trade agreements, world
production, and world population
Explanations of differences in cross-border trade and in-country
production; the value of trade agreements; and population
implications related to resource constraints
Revised Management Focus: Boeing’s Global Production
System
Revised Management Focus: Wanda Group
New closing case: Globalization of BMW, Rolls-Royce, and the
MINI
CHAPTER 2: NATIONAL
DIFFERENCES IN POLITICAL,
ECONOMIC, AND LEGAL SYSTEMS
New opening case: Transformation in Saudi Arabia
New Country Focus: Putin’s Russia
Updated data on corruption
Updated Country Focus: Corruption in Brazil
New closing case: The Decline of Zimbabwe
CHAPTER 3: NATIONAL
DIFFERENCES IN ECONOMIC
DEVELOPMENT
New opening case: Brazil’s Struggling Economy
Updated statistics and discussion in section Differences in
Economic Development
Updated Country Focus: Property Rights in China
Updated statistics and discussion in section States in Transition
New closing case: Economic Development in Bangladesh
CHAPTER 4: DIFFERENCES IN
CULTURE
New opening case: China, Hong Kong, Macau, and Taiwan
Deeper treatment of culture, values, and norms
Revised the foundation that most religions are now pro-business
Updated the Hofstede culture framework with new research
New Country Focus: Determining Your Social Class by Birth
New Country Focus: Turkey, Its Rel ...
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