Question.3256 - INTERNATIONAL BUSNESSINTERNATIONAL TRADE AND FOREIGN DIRECT IVESTMENT ? APPRECIATE: the magnitude of international trade and how it has grown ? IDENTIFY: the direction of trade, or who trades with whom, and trends in such trade ? OUTLINE: the theories that attempt to explain why certain goods are traded internationally ? EXPLAIN: the size, growth, and direction of foreign direct investment ? EXPLAIN: several theories of foreign direct investment Need 4 sources Cite the sources Need 4 pages Some key words that may help: Mercantilism Absolute advantage Comparative advantage Offshoring Exchange rate Currency endowment Overlapping demand Product differentiation International product life cycle Economies of scale Experience curve National competitiveness Portfolio investment Direct investment Monopolistic advantage theory Internalization theory Dynamic capability Electric theory of international production
Answer Below:
INTERNATIONAL xxxxxxx INTERNATIONAL xxxxx AND xxxxxxx DIRECT xxxxxxxxx APPRECIATE xxx magnitude xx international xxxxx and xxx it xxx grown xx today x scenario xxxxxxxxxxxxx trade xx an xxxxxxxxx part xxx any xxxxxxx and xxxxxxx to xxxx as xx provide xxxxxx that xxx not xxxxxxxxx in xxx country xx importing xx from xxxxx country xxx example xxx can xx found xx few xxxxxxxxx in xxxxxx thus xx imported xx many xxxxx countries xxxxx there xx no xxxxxx of xxx It xxxxxxx vital xxxxxx of xxxxxxxx for xxxxxxxxxx countries xxxxxx strong xxxxxxxxxxxxx trade xxxxxxxxx The xxxxxx of xxxxxxxxxxxxx trade xx goods xxx services xxxxxx in xxx by xx nearly xxxxxxxx trillion xx is xxxxx that xxxxx one-fourth xx the xxxxxxx made xx the xxxxx is xxxxxxxx thus xxxxxxx significance xx International xxxxx Of xxxxxxxx is xxxxxx of xxxxxxxxxxx In xxx volume xx international xxxxx decrease xxx it xxxxxxxx in xxx exceeded xxxxxxxx It xxx been xxxx that xxx dollar xxxxxx is xxxx than xxx except xx US xx has xxxx seen xxxx although xxxxxxxx value xx merchandise xxxxxxxx but xxxxxxx coming xxxx region xxxx Latin xxxxxxx and xxxxx America xxxxxx and xxxxxx east xxxxxxxxx between xxx Increase xx growth xxxxx defines xxxxxxxx increase xx the xxxxxx volume xx services xxxxxx It xxx noticed xxxx of xxxxxxx from xxxxxxxxx nations xx to xxxxx industrialized xxxxxxx not xxxxxxxxxx countries xx some xxxxxxxxx increase xx exports xx measured xxxxxxxxxx in xxxxx America xxxxxxx and xxxxxxx Europe xxxxxx East xxxx Quadrupling xx world xxxxxxx in xxxx than xxxxx demonstrates xxxx the xxxxxxxxxxx to xxxxxxxx sales xx exporting xx a xxxxxx growth xxxxxxxx But xxxx export xxxxxx of xxxxxxxxxx nations xxxxxx be x warning xx managers xxxx they xxxx be xxxxxxxx to xxxx increased xxxxxxxxxxx from xxxxxxx to xxxxx own xxxxxxxx markets xxxxxxxx the xxxxxxxxx of xxxxx or xxx trades xxxx whom xxx trends xx such xxxxx It xxx been xxxxxxxx that xxxxxxxxx countries xxxx to xxxxx with xxxxxxxxx countries xxxx such xxxxx accounting xxx more xxxx percent xx their xxxxx trade xxx they xxxxxxx for x majority xx the xxxxxxx worldwide xxx more xxxx half xx the xxxxxx go xx developed xxxxxxxxx only xxxxx have xxxx declining xxxx last xxxxx The xxxxxxx for xxxxxxxx exports xxx similar xx many xxxx to xxxxx found xxx merchandise xxxxxxx But xxxx the xxxx of xxxx Regional xxxxx agreements xx transforming xxx volume xxx direction xx world xxxxx in xxxxxxxxxxx and xxxxxxxx Over xxxxxxx of xxxxx trade xxx occurs xxxxxxx members xx regional xxxxx agreements xxxxxxxxx of xxxxx is xxxxxxxx day xx day xxx this xxxxxx of xxxxx and xxxxxxxxxx of xxxxx flows xxxxxx occurs xxx to xxxxxxxx trade xxxxxxxxxx like xxxxx Association xx Southeast xxxxx Nation xxx EU xxxxxxxx Union xxxxxxxx in xxxxx America xxx NAFTA xx North xxxxxxx Overall xxxxx are xxxx than xxxxxxxx trade xxxxxxxxxx Some xxxxxxxxx are x part xx bilateral xxxx trade xxxxxxxx in xxxxx export xxxx place xxxxxxx those xxxxxxxxx for x g xx and xxxxxx Some xxxxxx which xxx change xxx directions xx trade xxx be- xxxxxxxx exchange xxxxx Overlapping xxxxxx Difference xx resource xxxxxxxxx Economies xx scale xxx experience xxxxx National xxxxxxxxxxx advantage xxxx regional xxxxxxxx To xxxx out xxxx whom xxxxx can xx done xxxx points xxx to xx kept xx mind xxxxxx deciding xxxxx partners xxxxxxxx climate xx the xxxxxxxxx nation xxxxxx be xxxxxxxxxx favorable xxxxxx and xxxxxx regulations xxx not xxxxxxxxxxxxxx No xxxxxx cultural xxxxxxxxxx should xx there xx buying xxxx nation x goods xxxxxxxxxxxx transportation xxxxxxxxxx should xx presented xxxxxxxxxxx Import xxxxxxx members xxxxxxxxx banks xxx customs xxxxxxx should xx there xxx handling xxxxxx shipments xxxx the xxxxxxxx s xxxx Foreign xxxxxxxx to xxx for xxx exports xx available xxxxxxxx should xx made xx Government xx importers xx buy xxxxxxxx from xxxxxxxxx that xxx established xxxxxxxxx Major xxxxxxx partners xx Major xxxxxxx partners xxx Mexico xxx Canada xxxxxxx they xxxxx common xxxxxx with xx Freight xxxxxxx ate xxxxx and xxxx delivery xxxx is xxxxxxxx Apart xxxx these xxxxxxx from xxxx and xxxxxxxxx Asia xxxx become xxxxxxxxx trading xxxxxxxx OUTLINE xxx theories xxxx attempt xx explain xxx certain xxxxx are xxxxxx internationally xxx certain xxxx are xxxxxx internationally xxx be xxxxxx explained xxxx the xxxx of xxxxxxxxxxxxx trade xxxxxxxx such xx Mercantilism xxxxxx Theory xx absolute xxxxxxxxx Theory xx comparative xxxxxxxxx Mercantilism xxxxxx This xxxxxx represents xx economic xxxxxxxxxx which xxxxxxxxx that x nation x wealth xxxxxxx on xxxxxxxxxxx treasures xxx metals xxxx gold xxx silverand xxxx to xxxxxxxx wealth xxxxxxxxxx should xxxxxxxxx export xxx discourage xxxxxxx This xxxxxx helps xx explaining xxx concept xx favorable xxxxxxx of xxxxx which xxxxxxx that xxx amount xx export xxxxxx be xxxx than xxxxxx It xxx to xxxxx that xxxxxxx s xxxxx depend xx its xxxxxx and xxxxxx relation xx be xxxx to xxxxxxxx essential xxxxxx goods xxxxxx of xxxxxxxx Advantage x This xxxxxx tries xx explain xxxx one xxxxxx has xxxxxxxx advantage xx other xxxxxx if xx can xxxxxxx large xxxxxx of xxxxxx from xxx same xxxxx given xx other xxxxxxx or xxxx amount xx output xx other xxxxxx using xxxx input xxx e x If xxxx amount xx silk xx provided xx US xxx China xx prepare xxxxx and xx prepared x of xxxxx and xxxxx prepared x of xxxxx from xxxx input xxxx US xxxx absolute xxxxxxxxx on xxxxx Theory xx Comparative xxxxxxxxx The xxxxxx is xxxxxxxxxx by xxxxx Ricardo xxxx theory xxxxxxxx that x country xxxxxx export xxx goods xx such xxxxxxx in xxxxx its xxxxxxxx cost xxxxxxxxx is xxxxxxx than xxxxxxxx cost xxxxxxxxx For xxxxxxx if xx can xxxxxxx cloth xxxxx the xxxxxx of xxxxx produce xx china xxx thrice xxx amount xx automobile xxxxx than xxxxx in xxxx case xx is xxxx efficient xxx have xxxxxxxx advantage xx producing xxxx goods xxxx China xxx relative xxxxxxxxx in xxxxxxxxx automobiles xxxx with xxx help xx these xxxxxxxx we xxx understand xxx trading xx certain xxxxxxxx internationally xxxxxxx the xxxx growth xxx direction xx foreign xxxxxx investment xxxxxxx Direct xxxxxxxxxx is x part xx cross xxxxxx investment xx which xxxxxxxx f xxx country xx interested xx investing xx enterprise xx other xxxxxxx Foreign xxxxxxxxxx is xxxxxxx into xxx type xxxxxxxxx Investment xx which xx invest xx stocks xxx shares xxx direct xxxxxxxxxx through xxxxx investor xxxxxxxxxxx in xxx management xx was xxxxx that xxx book xxxxx of xxxxxxx Direct xxxxxxxxxx at xxx end xx was xxxxxx and xxxx was xxxxx that xx is xxxxxxx source xx FDI xxxxxx comes xx and xxxxxxx on xxxxx It xxx also xxxxx that xxx in xxxxxxxxxx is xxxxxxxxx and xxxxxxx in xx were xxxxxxx source xx FDI xxxxxxxx flows xxxx and xxxxx was xxxxxxx with xxx inflows xxxxxxx investment xx US xxx in xxxxxx and xxxxx at xxx beginning xx that xx times xxxx than xxx US xxxxxxx investment xxx in xxx outstanding xxxxx of xxx at xxx beginning xx was xxxxxxxx It xxx noted xxxx FDI xxxx to xxxxxxxxx countries xxxxx came xxxx to xx It xxxxxxxxxx influences xxx composition xx export xxxxxxxxxxxxx content xx export xxx development xx export xxxxxx in xxxxxxxxx based xxxxxxxx and xxxxxxx leads xx trade xx increasing xxxxxx completion xxxx trade xxxxxxxx new xxxxxxxxxx and xxxxxxxxxxx for xxxxxxxx and xxxxxxxxxxxx and xxxx and xxxx business xxxxxxxxxxxxx EXPLAIN xxxxxxx theories xx foreign xxxxxx investmentThere xxx several xxxxxxxx of xxxxxxx Direct xxxxxxxxxx Such xx Monopolistic xxxxxxxxx Theory xxx is xxxxxx seen xx oligopolistic xxxxxxxxxx rather xxxx industries xxxxx perfect xxxxxxxxxxx It xxxxx industries xx better xxxxxxxxx of xxxxx better xxxxxxxxxxxx higher xxxxxxxxx marketing xxxxxxxxxx and xxxxxxx FDI xxxx help xxxxxxxxxxxxx enterprise xx operate xx foreign xxxxxxx Internationalization xxxxxx Internationalization xxxxxx helps xx obtaining xxxxxx ROI xxxxxx on xxxxxxxxxx by xxxxxxxxxxxx superior xxxxxxxxx to xxxxxxx subsidiary xxxxxx selling xx in xxxx market xx helps xxxx to xxxxx its xxxxxxxxx with xxxxxxx subsidiaries xxx preserving xx within xxx firm xxx gaining xxxxxx returns xx investments xxxxxx of xxxxxxx Capabilities xxxxxx of xxxxxxx capability xxxxxx to xxx creation xxx exploitation xx dynamic xxxxxxxxxxxx to xxxxxxx markets xx create xxxxxxxxxxx advantage xxxxxxx capabilities xxxxxxxx product xxxxxxxxxxx strategic xxxxxxxx making xxx alliances xxxx are xx important xxxx of xxx industry xx make xxxxxx returns xxx its xxxxxxxx in xxxxxxx market xxxxxxxx Theory xx International xxxx theory xxx developed xx Dunning xxxxxxxxxx the xxxx why xxxx choose xx engage xx FDI xxxxxx using xxx alternative xxxxxx like xxxxx venture xxxxxxxxx exporting xxxxxxxxx alliances xx have x share xx foreign xxxxxx There xxx advantages xxx any xxxx to xxxxxx in xxxxxxx market- xxxxxxxxx specific xxxxxxxx specific xxx internalization xxxxxxx http xxxxxxxx mcgrawhill xxx sites xx free xxxxxxx pdf xxxx highered xxxxxxxxxx com xxxxx student xx ew xxxxxxx chapter xxxxxxx 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