Long-term investment projects require a thorough understanding of all attributes of doing business in that country, including import/export restrictions, labor relations, supplier financing, tax rules, depreciation schedules, currency properties and restrictions, and sources of short-term and long-term debt, to name a few. China is currently the focus of investment and market penetration strategies of multinational firms worldwide including Acme. Your supervisor has asked you to gather information on some of these factors that your company or any MNE would want to consider when doing business in China.
As you begin your research, you realize your company would make a significant profit from doing business in China. You also discover that policies on employee welfare, labor relations, etc. are the antithesis of what your CEO firmly believes. Do you include this information in your report, or just provide the strategic information you were asked to gather? (Please respond to this ethics question in a paragraph or two).
Use the Library and other Internet sources (you might start with the Web sites listed here), to collect the information.
• China Business Etiquette
• Doing Business in Hong Kong Scroll down to open the document "Doing Business in Hong Kong Brochure"
Objective:
- The forces of globalization and its implications for the multinational firm.
- The operation of the international financial system, it's current state, challenges for the future.
- Different types of foreign exchange exposure faced by the MNC.
- Financial management decision of multinational firms differ from those operations.