VOC 1
_____ing goods and services enables countries to earn foreign exchange and strengthen their economies. For example, Germany’s robust automotive _____ industry contributes significantly to its GDP. ______ also create jobs and encourage innovation by exposing businesses to international competition. Developing a strong ______ strategy is crucial for countries looking to integrate into global markets.
Question: What is the term for selling goods or services produced in one country to another?
Exp______
Export
_______ play a vital role in fostering international collaboration by reducing tariffs and other trade barriers. For example, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) connects countries across the Pacific Rim. These _______ facilitate smoother trade flows, enhance economic growth, and promote the exchange of goods and services. However, implementing these _______ requires careful negotiation to ensure mutual benefits for all parties involved. They are key tools in enhancing global connectivity and reducing trade conflicts.
Question: What is the term for agreements that reduce tariffs and promote international trade?
Tra___ Agr______
Trade Agreement
Governments use ______ to manage economic growth by adjusting taxes and public spending. For instance, during a recession, a government might lower taxes and increase spending on infrastructure projects to stimulate demand and create jobs. Conversely, during periods of rapid economic growth, governments may increase taxes or cut spending to avoid inflation. _______ is a critical tool for managing an economy's stability and ensuring sustainable development.
Question: What is the term for government policies regarding taxation and public spending?
Fis______ Pol_______
Fiscal Policy
_______ are regions where businesses, research institutions, and governments collaborate to drive innovation and economic growth. Silicon Valley is a prime example, with its concentration of tech companies and venture capital firms. These ________ foster a dynamic environment where new ideas thrive, and companies benefit from shared resources and talent pools. Governments often support _______ through tax incentives and infrastructure development to enhance their economic impact.
Question: What is the term for a regionally concentrated network of industries?
Com______ Clu_______
Competitiveness Cluster
1. In a country with high _______, you’re likely to hear people talking about their personal goals.
BONIS x2 - Name one country that fits this description.
Individualism
_______ involves contracting external companies to perform specific business functions, often to reduce costs or increase efficiency. For example, many companies _______ customer service operations to countries with lower labor costs. This practice enables businesses to focus on their core competencies while leveraging external expertise. However, ________ also comes with challenges, such as ensuring quality control and managing cultural differences in the workforce.
Question: What is the term for hiring external companies to handle certain business activities?
Ou________
Outsourcing
Economic _______ allows countries to regulate their own trade policies and protect domestic industries. For instance, a government might impose tariffs on imported goods to encourage local production and maintain control over its economy. While globalization has increased interdependence, many nations prioritize ________ to safeguard their interests and ensure economic stability.
Question: What is the term for the authority of a state to govern its own trade policies?
So________
Sovereignty
______ refers to the rise in prices over time, which reduces the purchasing power of money. Moderate ______ is normal in a growing economy, but excessive _______ can erode savings and destabilize markets. For example, hyperinflation in certain countries has led to economic crises, making goods unaffordable for many citizens. Central banks often use monetary policy to control _______ and stabilize the economy.
Question: What is the term for the rate at which the general level of prices increases?
In_______
Inflation
_______ involves the planning, implementation, and coordination of the movement of goods, information, and resources. Efficient ______ systems are essential for supply chains to function smoothly, reducing costs and improving customer satisfaction. Companies like Amazon have revolutionized _______ by using advanced technology and data analytics to optimize delivery times and inventory management.
Question: What is the term for the detailed organization of operations involving transportation and inventory?
Lo_______
Logistics
1. In a low ______ culture, a new employee invites their boss for lunch to discuss ideas casually.
BONUS x2 - What kind of relationship does this reflect in Hofstede’s model? Example country?
Power Distance
Expanding into a new market requires a carefully crafted _______ strategy. This strategy involves researching consumer behavior, assessing regulatory environments, and analyzing the competitive landscape. For example, Tesla adapted its _______ strategy in China by partnering with local manufacturers and meeting stringent regulations. A well-executed strategy ensures a smoother transition and long-term success in foreign markets.
Question: What is the term for the strategy used to begin selling products in a new market?
M_____ e______
Market entry
________ involve two or more companies collaborating on a specific project while maintaining their independence. This approach allows businesses to pool resources, share risks, and enter new markets more effectively. For example, Toyota and Panasonic formed a ________ to develop advanced battery technologies for electric vehicles. Such partnerships are particularly valuable in industries requiring significant investment and expertise.
Question: What is the term for a collaborative business arrangement between companies for a specific project?
J_______ v________
Joint ventures
________ refers to the integration of technology into all aspects of a business to improve efficiency and value delivery. From cloud computing to artificial intelligence, companies are leveraging digital tools to optimize operations and enhance customer experiences. Businesses that embrace _______ often gain a competitive edge in rapidly changing markets.
Question: What is the term for integrating digital technology into everyday business processes?
D_______ t_______
Digital transformation
_______ allows businesses to expand by granting individuals or groups the rights to operate under their brand. For example, McDonald’s operates globally through its _______ model, enabling local operators to benefit from an established brand while adhering to its standards. _______ offers scalability for businesses and lower startup risks for _______.
Question: What is the term for a business model where a company allows others to use its brand and products?
F________
Franchising
1. You’re organizing a business meeting in a high _______. They expect you to NOT improvise and have clear rules.
BONUS x2 - If the meeting room doesn’t have an agenda or clear rules, how might the attendees feel? Example country?
Uncertainty Avoidance
Governments provide _______ to industries to support economic growth and promote specific sectors, such as renewable energy or agriculture. For instance, ________ for electric vehicle manufacturers have spurred innovation and increased adoption rates. These financial incentives help businesses overcome initial costs and encourage investment in strategic industries.
Question: What is the term for financial assistance provided by governments to businesses or markets?
S________
Subsidy
______ are taxes imposed on imported or exported goods to regulate trade. They are often used to protect domestic industries by making foreign products more expensive. For example, the U.S. imposed ______ on steel imports to support its local steel industry. However, _______ can also lead to trade disputes and increased costs for consumers.
Question: What is the term for a tax imposed on imports or exports?
Tariffs
________, such as artificial intelligence, blockchain, and renewable energy systems, are reshaping industries. These innovations create opportunities for businesses to improve efficiency and develop new products. However, they also require significant investment in research and development. Companies that adopt ________ early often gain a competitive edge in their industries.
Question: What is the term for new and innovative technologies transforming industries?
E_______ t_________
Emerging technologies
________ measures the portion of an industry or market controlled by a particular company. Companies strive to increase their _______ by offering competitive pricing, superior products, and effective marketing strategies. For example, Apple holds a significant _______ in the smartphone industry due to its brand loyalty and innovation.
Question: What is the term for the portion of a market controlled by a particular company?
M________ s_______
Market share
1. In Hofstede’s model, some cultures value _____—prioritizing competition and achievement.
BONUS x2 - Imagine a country like this hosting the Olympics. What might their opening ceremony focus on?
Masculinity
_______ is a business strategy that involves expanding into new products or markets to reduce risk. For example, Amazon’s _______ into cloud computing with AWS has significantly boosted its revenue and reduced reliance on retail sales. By spreading risk across various ventures, companies can ensure long-term stability.
Question: What is the term for expanding operations into different products or markets?
Diversification
_______ occurs when innovative technologies or business models significantly alter the landscape of traditional industries. Companies like Uber and Airbnb have ______ transportation and hospitality, respectively, by offering more flexible and cost-effective alternatives. _______ often challenges established players to adapt or risk losing market share.
Question: What is the term for innovations that significantly alter industries or business operations?
Disruption
_______ limit the quantity of goods that can be imported or exported during a specific period. Governments use ________ to protect domestic industries or address trade imbalances. For example, ________ on steel imports help safeguard local manufacturers from foreign competition. While ________ can stabilize markets, they may also restrict trade and increase costs.
Question: What is the term for a limit on the amount of goods that can be imported or exported?
Quota
______ provides funding to early-stage companies with high growth potential. These investments often come with equity stakes, aligning the interests of the investors and the startups. _______ is crucial in driving innovation and supporting entrepreneurship, especially in technology and healthcare sectors.
Question: What is the term for funding provided to startups with high growth potential?
Venture capital
1. You’re pitching a new eco-friendly product in a high ______ culture. They value patience over immediate results.
BONUS x2 - How should you frame your product to appeal to their cultural values?
Long-Term Orientation