International Business Essay Example | Topics and Well Written Essays - 3000 words - 10

International Business - Essay Example Primary activities are those activities which involve the organisation of supplies inputs or inbound logistics, operations of manufacturing, delivery as well as the distribution of commodities (Distribution is also referred to as outbound logistics), marketing of products and lastly, sales as well as after –sales services. Each of these mentioned primary activities has the aid of support activities and this is the point at which support activities come in. Support activities may involve; a company’s planning capacity, development of technology, human resource management (HRM), and procurement activities. (Weiss, 2002 p 144) The analysis of global commodity chain involves a process of study on value creation in the process of production and distribution. Business strategies are also very close to the function of value chain, this is since it says that in the world economy goods’ production is in a chain process commencing from one country up to the final country. Each process in the commodity chain has value being added to the product and the magnitude of value relies on the competitiveness in the market. More and more the largest value is enhanced in the product branding and differentiation processes as evidenced in large business organisations like Nike. Analsysing commodity chain aids in the understanding of power relations displayed in the global system. It’s made possible by the world financial order as administered by the IFIs – International Financial Institutions. Commodity chain study unravels understanding of the function of branded transnational capitalism. It also promises to guide in the exploration of the fluctuating distribution of realisations of value between the social groups at the steps of production and the differing fractions of elites of the transnational business. (Murphy 2008 pp 9-10) Member states of OECD’s government as well as the political approach are the ones

Singapore Model Essay Example | Topics and Well Written Essays - 1000 words

Singapore Model - Essay Example Singapore’s description of state capitalism is that the government has controlling shares in various public corporations and issue funding through the sovereign wealth fund (SWF). The SWF is state-owned capital funds used for real and financial asset investments in stocks, bonds or other alternative ventures. The funds are applied universally from export revenues or foreign exchange reserves in the custody of the central bank. Considering this, Singapore attracts multinational organizations to take the global SWF benefits. The country also imposes business friendly regulations that favor the establishment of multinational organizations. The Singapore’s capitalism Model incorporates the private and public-owned companies towards an overall contribution to the economy (Tajuddin 54). The availability of the SWF has enhanced domestic investment in which the local industries are capable of manufacturing large-scale production. As a result, the state-owned companies transform into global enterprises that serve other regions with quality products. It is apparent that the SWF contribute to government social spending without raising taxes because they represent the budgetary surplus owned by the central bank. Similarly, the SWF does not have international debts accrued from government borrowing. The country creates SWF in order to boost economic activities inspired to promote the state-owned enterprises. Singapore depends on services and manufacturing exports, with little government interference.