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BUSA 3000 / Globalization and Business Practices CRN: 10203

Class Location: ADHOLD 213 Time: 11:00am-12:15pm Tuesday and Thursday

Spring 2014 INSTRUCTOR: Qian (Cecilia) GU Email: qgu@gsu.edu (please do not use D2L for email contact) Office: 1443 Robinson College of Business Office Hour: Tuesday and Thursday 1-2pm or by email appointment TEXT and REQUIRED READINGS International Business: Strategy, Management, and the New Realities, 2nd Edition by S. Tamer Cavusgil, Gary Knight, John R. Riesenberger, Pearson Prentice-Hall, 2011. A special soft cover version for BUSA3000 with only chapters 1-11 is available at the GSU book store (ISBN-10: 1-269-39070-8 ISBN-13:978-1-296-39070-5). COURSE DESCRIPTION and OBJECTIVES This course examines worldwide integration of economic, political, and socio-cultural aspects of business in order to explore and understand the impact of globalization on countries, organizations, and individuals. You will develop a world-view of the global marketplace. You will learn how knowledge and understanding of the global environment affect business functions. Special consideration is given to key issues in ethics, global social responsibility and technology. By the end of this course, you should be able to: 1. Develop thought processes and analytical skills essential to a global mindset. 2. Practice critical thinking by keeping current with global events and discussing their implications. 3. Understand the role of globalization in shaping the business environment and assess trends, challenges and opportunities created by the globalization of business practices. 4. Identify complexities introduced by globalization and integrate concepts learned in this class with those acquired in other courses. 5. Identify and evaluate major issues related to ethics and social responsibility in the international arena. Critically evaluate various components of a national environment: technological, cultural, economic, political, and legal systems, and their influence on business practices and strategies. 6. Examine trade and investment theories and patterns, and critically evaluate the role of governments and their impact on the international business environment.

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7. Critically evaluate the role of trade and investment agreements and other forms of regional economic integration on local and national economies. 8. Apply the concepts learned and knowledge gained in the case of specific international organizations. 9. Develop research and writing skills. (Please consult the English Department, General Classroom, 9th floor for assistance if you are not proficient in English.) COURSE METHODOLOGY The central theme of this class will be the study and evaluation of the international business environment. The primary teaching vehicles are lectures, class discussions, presentation, and a term paper. You must read the designated text material and all other assigned readings before each class session. GSU WITHDRAWAL POLICY A student who withdraws prior to the midpoint in the semester or term will be awarded a “W”. A student who withdraws after the midpoint will automatically receive a “WF”. You are responsible for understanding and adhering to the W limit policy which is described at http://www2.gsu.edu/~wwwfhb/withdrawalpolicy.pdf. GRADING POLICY

ITEM POINTS

Midterm Exam 20

Final Exam 20

Quiz (Top 5 out of 8) 15

Group Assignment 10

CTW Assignment: Internationalization Proposal

Written Proposal

Presentation in pair

20 15 5

Meaningful Contribution

Attendance

Class participation

15 5

10

Extra Credit: Global Business Forum 5

Total 105

Incomplete grade We do not give incomplete grades in this course, except for cases where you miss the final examination for an excusable reason. According to GSU policy, the grade will automatically be

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converted to an F if it is not removed by the end of the second academic term after the “I” is assigned. GSU ACADEMIC HONESTY POLICY It is important that you read and understand the portions of the University Policy on Academic Honesty that relate to plagiarism, unauthorized collaboration, falsification, and multiple submissions. The University Policy on Academic Honesty is explained in detail in the student handbook, On Campus, available online at http://studenthandbook.gsu.edu/. This Policy represents a core value of the University. All members of the University community are responsible for knowing and abiding by its tenets. You are expected to carefully review the online Policy prior to undertaking any research or other assignments. Abstracted from Student Handbook Student Code of Conduct “Policy on Academic Honesty” is available at http://www2.gsu.edu/~wwwfhb/sec409.html. Behavior consistent with College and University policies on academic honesty and treatment of members of the University community is expected of all. Cheating, plagiarizing, submitting the material for credit in more than one class, and other deceptive conduct with respect to your work output will be dealt with according to the University Policy on Academic Honesty. Plagiarism and misrepresentation of work are serious offenses, which can lead to expulsion and a grade of “F” for the course. Plagiarism includes, but is not limited to, taking material from any source written by another and presenting it as your own by failing to indicate full and accurate attribution to the correct author/creator. This includes marginally altering material taken from another source and calling it your own creation. Plagiarism includes materials taken from internet sources. Proper citation requires quote marks or other distinctive set-off for the material, followed directly by a reference to the source. The source details may be in the footnotes/endnotes/references section, but only listing a reference without proper indication in the text is not proper attribution and can be considered plagiarism. Misrepresentation of work includes, but is not limited to, presenting material that is prepared for another class or outside work as an original work that is produced for this class. All work turned in for this class should be original material prepared in fulfillment of this course’s requirements. MISCELLANEOUS POLICIES Show respect for the instructor and your classmates: 1. Be punctual for class –- when you’re tardy, you miss important course announcements and

you disrupt the learning process for others. If you do arrive late, enter and take a seat quietly.

2. Be courteous -- do not engage in behaviors that disrupt the class. Turn off all cell phones, iPhones and blackberries and use a computer only to access course materials.

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3. Participate in class discussion and group activities, but don’t interrupt other students or attempt to dominate the conversation. Stay focused on the assigned topic.

4. Tent Cards -- you are to prepare a tent card with your name dark enough and large enough so that your instructor can read it and become familiar with you by name as quickly as possible. You will place your tent card in a visible place every class session.

5. Overflows – no overflows are available for BUSA 3000 DISABILITIES OR SPECIAL NEEDS Students who wish to request accommodation for a disability may do so by registering with the Office of Disability Services. You may only be accommodated upon issuance by the Office of Disability Services of a signed Accommodation Plan and are responsible for providing a copy of that plan to instructors of all classes in which accommodations are sought. Please let the instructor know if you have a disability or special need that requires accommodation. STUDENT ASSESSMENT Your constructive assessment of this course plays an indispensable role in shaping education at Georgia State. Upon completing the course, please take time to fill out the online course evaluation on GoSolar as soon as it becomes available. Desire2Learn ABILITY, SKILLS, AND KNOWLEDGE You are expected to be proficient in the use of Desire2Learn. Please refer to this website (http://www.gsu.edu/desire2learn/training.html) for logon instructions if you are new to Desire2Learn. You are also expected to check the Desire2Learn page daily for any changes, updates, and announcements. You are responsible for accessing and downloading all files needed. If you have any problems downloading or viewing files of any type or size from Desire2Learn, please use one of the GSU computer labs. STUDENT BIOGRAPHICAL FORM All students are required to complete and return to the instructor by the second class the Biographical Form located in the Content section of your Desire2Learn for this course. Please attach a recent photograph of yourself to the form. If you do not have a recent photograph, you may attach a copy of the one on your GSU student ID. ASSIGNMENTS AND EVALUATION CRITERIA Exam This course will include a closed-book Midterm exam and a closed-book final exam. The Midterm exam will cover Chapters 1 - 5, and the final exam, a common final exam for all

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BUSA3000 sections, will cover Chapters 6 - 11. Exams may be a combination of any of the following: multiple choice, true/false, scenarios, definitions, short answers, and/or essays. Midterm exam is an in-class exam scheduled on Feb 18 (Tuesday). Final exam is scheduled on May 3 (Saturday) from 4:15 to 6:45pm. You are responsible for bringing your own Brown Scantrons for the final exam. You must take the final exam on this date at this time unless you are granted an official variance. Please refer to the Request for Final Exam Variance for BUSA 3000 regarding policies pertaining to the final exam Variance (conflicting issues about dates and times). Note that no make-up exams will be given, and no additional projects are assigned in order to increase one’s grade before or after the final exam. Quiz Starting from Week 3 and ending in Week 12, there will be a quiz every week on Thursday (except for Week 6 and 7) that covers the assigned materials of the previous week(s). You will be allowed to drop 3 lowest scores, meaning that your top 5 quiz grades will be counted. If you are absent, you will be given a zero for the quiz. No make-ups will be given for missed quizzes. These quizzes are designed to help students retain important information from the focal session, while acting as a grade supplement. The questions will be simple in nature and should be easily answered if you go through all assigned materials after class. Group Assignment: Case Discussion Each chapter of the textbook ends with a case. The purpose is to learn how to apply international business principles to specific situations. You are responsible for coming to class prepared to discuss these cases. Group presentation is scheduled on each Thursday. Each group may refer to the guiding questions to organize the presentation. Each presentation will last for around 15 minutes and PPT is preferable. Please refer to Tentative Course Schedule below for details. Members for each group will be finalized and announced by the end of first week. CTW Assignment: Internationalization Proposal This course is a designated Critical Thinking through Writing (CTW) course. Georgia State University generally and the Robinson College of Business in particular are dedicated to helping you improve your critical thinking and writing skills. With this in mind, BUSA 3000 includes an assignment where criteria for better critical thinking and writing will be applied. The internationalization proposal is designed to provide a platform to apply frameworks and concepts discussed throughout the course to a real-world business. You are responsible for writing a proposal for a firm’s internationalization. You will select an already existing U.S. company, product or service, as well as a new country to expand to for a global business venture.

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You will provide a typed one paragraph to one page introductory summary of this information on February 2. Once approved by your CTW GRA, you will develop a proposal for this firm’s internationalization into a new market. You are expected to conduct external and internal analyses, and propose a firm strategy, structure, and entry mode for the venture. You should base your analysis on pertinent, reliable data about the country and the firm (e.g. annual reports, country statistics, and information about products/services). Considering that this is a proposal, you should mention relevant alternatives (e.g., locations, entry modes) and persuasive rationale for your recommendations. Thus, key to this project is familiarity with the facts, use of frameworks discussed in class, identification of central issues and problems facing the firm in the proposed venture, critical analysis of the situation, and realistic recommendations for the firm. Your final paper should be presentable to the firm as a viable proposal for international expansion. It may be helpful to consider yourself an outside consultant or a member of that firm’s internationalization team when approaching this assignment. A possible outline for the sections is as follows: 1. Introduction a. Description of organization b. Description of product/service c. Reasons for wanting to go abroad and to the selected country 2. External Analysis a. Political analysis b. Economic analysis c. Legal analysis d. Cultural analysis (e.g. cultural dimensions, norms, ethical issues) e. Commercial analysis (e.g. market demand, industry analysis, major competitors,

competitors’ strengths and weaknesses) 3. Internal Analysis a. Company strengths and weaknesses (especially with regard to going international) b. Entry mode (alternatives and recommendations) c. Organizational structure (recommendations) d. Product/service adaptation (recommendations) 4. Implementation Issues a. Timeline b. Financing (e.g. funding sources, required investment levels within a timeframe) c. Marketing/advertising approach 5. Conclusion The above outline shows the main areas that should be covered. While you do not need to follow the exact wording and structure of the outline, I expect your proposal to include information on these topics. If there is additional material that is especially relevant to your company, product/service or country, you should include it.

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A detailed outline of your Internationalization Proposal is due on March 9. The outline should contain the main points to be included in the paper based on thorough research and analysis, as well as a general structure to be used in the final proposal. Your CTW GRA will provide feedback on the content and structure of the paper. The Internationalization Proposal is due on April 6. It should be in essay format, clearly and concisely addressing the main topics listed above. The body of the proposal should be 10-12 pages in length (typed in 11-12 point font, double-spaced, single-sided, and error free), excluding appendices. In addition to the main content, all proposals should include a cover page, a table of contents, page numbers, a complete list of references (minimum of 10 with a mix of both online and non-online references), and an appendix of relevant key figures, charts, and the like. All three submissions should be uploaded to the corresponding folders in Dropbox D2L. The Internationalization Proposal will be graded as follows: 1. Content (80%): recognition of external and internal environment issues, effective use of

concepts and theories covered in class, thorough analysis, well-justified and reasonable recommendations.

2. Process (20%): readability, flow, logic, organization and writing mechanisms such as no grammatical or spelling errors. Failure to submit the first or/and the second version will lead to a 2/4 points deduction from the total of 20 scores.

CTW Presentation in Pair You will be paired with another student in the class based on the content similarity of your Internationalization Proposal in Week 11. You will do a presentation in pair on your CTW assignment in Week 13. Each presentation will last for 5 minutes, and PPT is optional. Meaningful Contribution The attendance policy for BUSA 3000 is firm. Do not ask for any exception to this policy. You are expected to attend all classes. Attendance is based on the entire period. Tardiness and partial attendance (for example being present only before or after break) is considered an absence and will affect your final grade. Legitimate reasons for being absent are (1) illness - note from doctor required; (2) death in family - copy of death notice; (3) jury duty - bring official notice from court; (4) religious holidays. You must make arrangements with your employers to leave work in plenty of time to attend all classes. Missing any class due to business requirements is not a legitimate absence. Legitimate absences count toward the one absence limit. You are responsible for signing the attendance sheet. If you do not personally sign, you are counted as absent. Each class missed after missing 2 may result in a 2% reduction in your contribution grade. As a courtesy, please inform the instructor in advance if you will not be attending a given class, will be arriving late or have to leave early.

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A special word to VA students: Due to required University oversight of students receiving VA benefits, you have a special burden of faithful class attendance. Under present guidelines, absence for a ten-consecutive calendar day period necessitates a report to that effect to the VA Office at GSU, with (presumably) a consequent adverse effect on your status vis-a-vis the U.S. Government. Please keep this in mind. Your class participation grade will be based on the quality of your contributions. Be prepared to discuss the chapters, the cases, the videos, and all other supplemental materials. More importantly, you should be able to support your arguments using the text and other readings. In this class, you are expected to contribute by asking engaging questions, participating in class discussions, and sharing relevant examples, experiences and news with your classmates. Extra Credit: Global Business Forum The Office of the Dean of the J. Mack Robinson College of Business and the AIESEC-GSU chapter will present the Global Business Forum between 9:30am-1:30pm on April 22, 2014. You are highly recommended to attend this forum. Details of the Global Business Forum will be released later. GUIDELINES FOR REQUESTING A FINAL EXAM VARIANCE Note: Only the IIB BUSA 3000 Course Coordinator (Prof. Pedro E. Carrillo) grants variances for the final examination date. Permission granted by others, including your instructor, will not be honored. The variance exam is scheduled on May 2 from 1:30pm to 4pm. You must follow the guidelines below to obtain a variance avenue to take the final exam: 1. Requests for variance must be received in the IIB Department no later than April 4th (Friday). 2. A letter must be written to the BUSA 3000 Course Coordinator, Pedro E. Carrillo, and must be supported by additional written documentation regarding your conflicting obligation. Job conflicts are to be supported by a letter from your supervisor on company stationery. Variances for students involved in the wedding of an immediate family member will be considered. Copies of a wedding invitation and statement of kinship must support those requests. 3. Because the Disability Services office is not open on Saturday, students who normally take exams in the Disability Services office must also apply for an exam variance by the date listed above. With your letter to the Course Coordinator, provide a letter from the Disability Services office stating that you normally take your exams in your office. 4. The letter to the Course Coordinator must include: 1. Your name, 2. Your Social Security number and/or your Panther number, 3. Telephone number, 4. Your E-mail address, 5. Your home address, 6. the name of your instructor, and 7. Your course section. It should be mailed or faxed to Pedro E. Carrillo, BUSA 3000 Course Coordinator, Institute of International Business, Robinson College of Business, 35 Broad Street, Room 1438 Atlanta GA 30303-3084 (Fax: 404-413-7280).

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5. If a variance request is approved, the IIB will determine the date and site of an alternate examination. It is a departmental policy that an alternate examination will be scheduled at an earlier, rather than a later, date. 6. Examination after the date of the common final will be granted only when the student has become physically disabled late in the semester. TENTATIVE COURSE SCHEDULE The course syllabus provides a general plan for the course; deviations may be necessary. The instructor will keep you informed of any changes through in-class announcements, e-mail, and Desire2Learn.

Week Topic

1 Jan 14 & 16

Discuss syllabus and class policies; Address class members’ concerns about any part of the syllabus Intro to course, background for international business (“IB”) What Is International Business Reading Assignment – Chapter 1 Case Discussion: Internationalization at Harley-Davidson STUDENT BIOGRAPHICAL FORM: All students are to complete and return to the instructor by the second class the Biographical Form located in the Content section of your Desire2Learn. You will need to attach a recent photograph of yourself to the form. If you do not have a recent photograph, you may attach a copy of the one on your GSU student ID.

2 Jan 21 & 23

Globalization of Markets and the Internationalization of the Firm Reading Assignment - Chapter 2 Case Discussion: Debating the Merits of Globalization

Do you think globalization and MNE activity are creating problems for the world?

What are the advantages of outsourcing, other than lowering costs?

3 Jan 28 & 30

Organizational Participants that Make International Business Happen Reading Assignment - Chapter 3 Case Discussion: DHL, FedEx, and UPS: Shifting Fortunes in the Global Logistics Services Industry (Group 1)

Should DHL reenter U.S.? Why?

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What should be the strategy for DHL to reenter?

4 Feb 4 & 6

The Cultural Environment of International Business Reading Assignment - Chapter 4 Case Discussion: Hollywood’s Influence on Global Culture (Group 2)

What aspects of U.S. culture do Hollywood films promote around the world?

Why are Hollywood movies so popular worldwide, while foreign firms are so little demanded in U.S.?

Should a country shield and support its own film industry via protectionism?

5 Feb 11 & 13

Ethics in International Business Reading Assignment - Chapter 5 Case Discussion: Corruption at Siemens (Group 3)

Most countries lack adequate laws or enforcement to deal with bribery and other forms of corruption. Why?

Do you think Siemens was penalized enough for this corruption?

Some argue that because of the low ethical standards in many countries, Siemens and other firms must pay bribes in order to obtain new business. Do you agree?

6 Feb 18 & 20

MIDTERM: Tuesday, Feb 18th 2014 Library Session: How to search library data sources, Feb 20, 2014, Library Classroom 1

7 Feb 25 & 27

Theories of International Trade and Investment Reading Assignment - Chapter 6 Case Discussion: Hyundai (Group 4)

What are Hyundai’s ownership, location and internationalization advantages?

Why was Hyundai founded in Korea? Can factor proportions theory provide a good explanation?

8 Mar 4 & 6

Political and Legal Systems in National Environments Reading Assignment - Chapter 7 Case Discussion: Political, Legal, and Ethical Dilemmas in the Global Pharmaceutical Industry (Group 5)

How do the political and legal systems of countries affect the global pharmaceutical industry?

Recommend a strategy that management at a large pharmaceutical firm should employ to reduce the likelihood of political and legal risks that such firms face.

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9 Mar 11 & 13

Government Intervention in International Business Reading Assignment - Chapter 8 Case Discussion: Airbus and Boeing (Group 6)

Why is the need for government support in civil aircraft industry?

Do you believe U.S. military contracts with Boeing amount to subsidies? Have these types of payments provided Boeing with unfair advantages?

Assuming that Airbus cannot compete without subsidies and loans, is it likely that the EU will discontinue its financial support of Airbus?

Spring Break: March 17 – 23 March 4 2014 – MIDPOINT - LAST DAY TO WITHDRAW AND RECEIVE A ‘W’

10 Mar 25 & 27

Regional Economic Integration Reading Assignment - Chapter 9 Case Discussion: Russell Corporation (Group 7)

Should DR-CAFTA be rescinded and apparel retailers allowed to import from the most cost-effective suppliers, wherever they are located worldwide?

What can the Honduran government do to help keep jobs in Honduras? Should the government try to attract more foreign investment into Honduras?

Russell Corporation is smaller than Adidas and Nike. What should Russell do to compete against these firms?

11 Apr 1 & 3

Emerging Markets, Developing Economies, and Advanced Economies Reading Assignment - Chapter 10 Case Discussion: Tata Group (Group 8)

What are the organizational characteristics of Tata Group?

What are the features of Tata’s Nano cars?

Given growth rates and other characteristics of emerging markets, what markets should Tata target for sales of Nano cars?

12 Apr 8 & 10

International Monetary and Financial Environment Reading Assignment – Chapter 11 Case Discussion: AIG (Group 9)

Explain the advantages and disadvantages of the globalization of finance. How did it contribute to the global financial crisis?

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Describe how the fall of AIG exemplifies contagion. How did the U.S. government bailout of AIG influence foreign as well as U.S. firms and investors?

13 Apr 15 & 17

CTW Presentation & Final Review

Common Final Exam – Saturday May 3, 4:15-6:45pm, Location (TBD)