1. Terrorism and international business: A research agenda
The article entitled “Terrorism and international business: A research agenda” written by Cninkota, et. al, addresses the sources and impacts of terrorism on the international trade. Terrorism is rated a barrier to international trade as it imparts direct and indirect effects on the trade. The direct effects of terrorism are characterized by destruction of infrastructure, equipment, life and buildings. On the other hand, the indirect effects of terrorism have been highlighted as the institutions of new government regulations and procedures aimed at curbing the threats on trade, reduction of foreign direct investment, increased costs of transacting international trade, international supply chain interruptions and reduction in buyer demand. The implications of these changes are the reduction in global business operations. The growth of multinational businesses and the enmity between nations, which might result from difference in political ideologies, is blamed for the rise in terrorism. As a result of the impacts of terrorism on international trade, the authors suggest a research on the likely causes of and solutions to terrorism in order to develop a good global business environment to foster the growth of different economies (Czinkota, et.al. 2010).
2. Enhancing international customer-supplier relationships through IT resources: A study of Taiwanese electronics suppliers
Ruey-Jer, Sinkovics and Cavusgil in their article entitled “Enhancing international customer-supplier relationships through IT resources: A study of Taiwanese electronics suppliers” tend to address the strategies that are critical in the global business operations on matters related to customer-supplier-relationships. Since the leading multinational enterprises have resorted to international outsourcing of design and procurement to foster innovation and thus competitive advantage, the employment of IT becomes eminent in the development of international customer-supplier relationships since it supports the supply-chain management processes. The importance of IT is in monitoring the governance mechanisms in the international trade in relation to behavior, output and corporation of partners, which are critical in the development of product or service brands that aid in winning customer confidence and loyalty. The use of IT in the operation of businesses on the global sphere is considered a strategic approach aimed at expanding the product or service market. By employing IT advancement and electronic integration international suppliers achieve creation through innovation and analysis of market performance which is critical in the improvement of customer relations. The use of IT resources in managing international supplier-customer relationships has been critical in the elimination of cultural barriers (Ruey-Jer, Sinkovics & Cavusgil, 2010).
3. International trade and the global pipeline of new GM crops
The article entitled “International trade and the global pipeline of new GM crops” written by Stein & Rodriguez-Cerezo, addresses the regulations and laws that have been instituted by different governments on the tolerance levels for genetically modified ( GM) material in non-GM food materials. The development of these laws guide international trade as it defines the type of goods to be traded in specific nations. The differences in procedures and laws governing the trade in genetically modified products present problems in the conduction of international trade and may result in high economic losses through the rejection of agricultural products. The implication of the varied tolerance levels is that the importations of agricultural products from those nations are considered to embrace GM goods will be rejected in countries having zero tolerance to the GM products. The consequences of these moves are in the disruption of global agricultural food supply chains. The global rise in the production of genetically modified crops following the adoption of the scientific technologies is more likely to have negative impacts on the global food supply and trade especially in the European Union (Stein & Rodriguez-Cerezo, 2010).
4. Why Factories Are Leaving China
Dexter Roberts, in his article “Why Factories Are Leaving China” expounds on the reasons as to why business operations are moved from one region to another or for setting a business operation in a given location. He, therefore, cites the availability of cheap labor in some countries as the driving force behind the setting of manufacturing firms or industries. The importance of cheap labor enables the organization to maximize on its profits while keeping the production cost as low as possible. The recent changes in the manufacturing industry which led to the relocation of firms from China to other parts of the world have been stated to emerge as a result of rising labor costs in China. The demand for higher wages by the Chinese factory workers and the high levels of competition in the global market environment is perceived by the factory owners as hindrance to their realization of great profits. The fear of possible devaluation of China’s currency contributes to the relocation of these manufacturing firms away from China to other regions that offer cheaper labor and moderately stable economy. According to this article, investors consider population growth and a country’s economic and political policies before setting their business operations in that region (Dexter, 2010).