GLOBAL R&D HAS PROS AND CONS FOR THE FIRM THAT USES THAT APPROACH

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Minimum of 150-word counts guidelines for each question. Include sources/references (Mandatory). Must be original work. 1. Global R&D has pros and cons for the firm that uses that approach. However, suppose you are the leader of the country where that firm is based. How might you view having R&D being conducted by a global team in a matter that is vital to the nation’s economic health/and or security? 2. Dumping involves selling something below cost. Using what you have learned in accounting or economics (or perhaps by talking to someone familiar with these courses) point out why it might sometimes be difficult to prove that a firm is selling below cost. 3. You are the CEO of International Widget and you are contemplating expanding into Lower Slobovia. You have the resources needed to start from scratch in that country but it would be possible to acquire the company that dominates the Lower Slobovian Widget industry. Which do you think would be best: start from scratch or an acquisition? 4. Is “foreignness” a liability or an asset? What causes it to be one or the other? 5. What is the relationship of benchmarking to the Value Chain? Any cautions in benchmarking? 6. How can high exit costs increase the chance that firms may continue to operate for at least a while when operating at a loss? Explain by giving examples. 7. What are the limitations in trying to clearly identify rights and expectations for alliances and acquisitions among global corporations? 8. Having valuable, unique, and hard-to-imitate capabilities may be advantageous in doing business globally. However, what is the problem with trying to maintain that advantage? 9. Why is it not true that relying on informal connections is a strategy only relevant to firms in emerging economies and that firms in developed economies only pursue “market-based” strategies?

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