International Business FINAL Essay Example | Topics and Well Written Essays - 3500 words

International Business FINAL - Essay Example The trend of distributing the production networks all over the world offers a firm the advantages like competitive edge and cost cutting. Competitive edge is achieved when the firm’s produced products are sold all over the world bringing in a good amount of profit. Cost cutting takes place when the firm’s production system takes into consideration and exploits all the cheap factors of production that are available in different parts of the world at cheaper price. 2. Globalization has created lots of changes throughout the world. The changes introduced both positive and negative impacts on the countries. It is believed that the developed countries reap the maximum benefit out of the process of globalization. The developed nations shift their production units to the places where the cost of production will be cheaper. The cheaper production cost helps the nation to generate more profit from the sale of their produced products. This is helping the economy of certain develo ped nations to prosper and grow. However on the other hand the underdeveloped nations and the developing nations are constantly losing their resources which are being purchased by the wealthy nations for the purpose of manufacturing products and services which in turn are again being sold in the developing or underdeveloped nations. Thus it has become a topic of debate that addresses the issue whether globalization is a blessing or a curse. The positive side of globalization is that it enhances the job opportunities and economy across the world. But the negative side denotes that since the developed nations are shifting their plants to the overseas nations due to the availability of cheap resources, the labor there are getting under paid in comparison to the labors of the developed nations. Therefore despite the creation of job opportunities, globalization also creates disparity in the amount of wages received by the workers of the developed and developing nations. 3. Religion is on e of the important elements of culture. Religion determines whether a person is Hindu, Muslim, Christian, Sikh, etc that implies which God does the person believes in and which rituals related to their religion does they follow. Globalization has created the integration of all the religions and this has affected the business operations to a great extent. For example the case of McDonalds can be taken into account in this respect. McDonalds prepare different kind of fast foods that contain both vegetarian and non vegetarian items. The non vegetarian foods contain chicken, egg, fish, beef, lamb, pork etc. However McDonalds have eliminated beef and pork from its wide range of menu while entering the Indian market, since the Indian market included people from both Hindu and Muslim religions and beef and pork are restricted for these two religions respectively. Moreover religion affects the language, dressing style, values and morals of a person. Thus the business operations get highly i nfluenced by these factors as these are the elements that form the basis of a human being. 4. The term culture includes the behavior, beliefs, arts, languages, institutions, etc. of an individual. Culture decides how a person should behave at a social

Quantitative Analysis for Finance Coursework Example | Topics and Well Written Essays - 2000 words

Quantitative Analysis for Finance - Coursework Example Basing on the calculated percentages, the return of each portfolio was calculated. Therefore, based on the results, the plan consists of the losses and the highest drawdown which could help investors prepare for what they could face in future. In relation to this, even if the financial plan is considered to be the simplest, it needs assumptions about the way the investment could perform. It is known that such assumptions might not be accurate, but they are required to be reasonable as well as thoughtful. The projections won’t be that useful in case you assume a balanced portfolio with a return of 7 percent every day. It was found that the returns of the total portfolio of investors during the year are negative and this indicates that the portfolio is not good enough to invest. Such resulted from the drop in value of the initial investment of the common bond which was from 30 000 pounds to 23 000 pounds. There was rise in value of the stock investment from 20 000 pounds to 25 0 00 pounds and this implies that the stock portfolio is good for investment. In regard to the determination of the capital market line equation (CML), we considered the fact that there was a correlation coefficient between the stock returns of 30 percent and the risk free rate of 5 percent .The risk profile could be altered easily when the asset risk is adjusted with the use of the risk –free rate. Based on the capital market line, the market portfolio has a combination of all risky-free asset and risky assets, with the use of the asset‘s market value to calculate the weights. The capital market line was derived by capital market model (CAPM) where the expected return at different risk levels was solved. For exercise 2, the capital market line was determined and in this case, it indicated that the diversified portfolio returns on the capital