978-0134741086 Chapter 16 Part 2

8. Ship your goods.

9. Collect your money.

You Be the Consultant: “Expat Entrepreneurs Find

Opportunity in Argentina”

1. How are expat entrepreneurs’ assumptions about conducting business internally

different from those of entrepreneurs pursuing more traditional international

strategies? Explain. (LO 3) (AACSB: Reflective thinking)

2. What advice would you give to someone who wants to become an expat

entrepreneur? Explain. (LO 3) (AACSB: Reflective thinking)

3. What lessons did each of these expat entrepreneurs lean that would be useful for

others interested in this type of lifestyle? Explain. (LO 3) (AACSB: Reflective

16-1. Why must entrepreneurs learn to think globally? (LO 1) (AACSB:

Reflective thinking)

Chapter 16, Page 267

offer attractive growth rates and offer many market niche opportunities. Technology and

other resources allow even small companies to profitably pursue global markets.

16-2. What forces are driving small businesses into international markets? (LO 1)

(AACSB: Reflective thinking)

16-3. What advantages does going global offer a small business owner? (LO 1)

(AACSB: Reflective thinking)

Advantages of going global include:

16-4. What risks does going global offer a small business owner? (LO 1) (AACSB:

Reflective thinking)

16-5. Describe the various types of trade intermediaries small business owners can

use. (LO 2) (AACSB: Reflective thinking)

 Export management companies (EMCs)

16-6. What functions does each type of trade intermediary perform? (LO 2)

(AACSB: Reflective thinking)

 Export management companies (EMCs) – Merchant intermediaries that provide

small businesses with a low-cost, efficient, off-site international marketing

16-7. What is a domestic joint venture? (LO 2) (AACSB: Reflective thinking)

16-8. What is a foreign joint venture? (LO 2) (AACSB: Reflective thinking)

16-9. What advantages and disadvantages does taking on an international partner

through a joint venture offer? (LO 2) (AACSB: Reflective thinking)

Advantages of international joint venture:

 Penetrate protected markets

16-10. What mistakes are first-time exporters most likely to make? (LO 2)

(AACSB: Reflective thinking)

First-timer exporters may fall victim to a series of mistakes:

 Failure to obtain qualified export counseling and to develop a master

 Failure to consider licensing or joint venture agreements.

 Failure to provide readily available servicing for the product.

16-11. Outline the steps a small company should take to establish a successful export

program. (LO 2) (AACSB: Reflective thinking)

A successful export program should contain these strategic steps:

16-12. What are the benefits and challenges of establishing international locations?

(LO 2) (AACSB: Reflective thinking)

Benefits of establishing international locations include:

 Start-up costs are often lower in foreign countries.

16-13. How can a small business owner overcome the obstacles of conducting

business internationally? (LO 3) (AACSB: Reflective thinking)

Attitude of “I’m too small to export” – The first step to building an export program is

recognizing that the opportunity to export exists.

16-15. What is a quota? (LO 3) (AACSB: Reflective thinking)

16-16. What impact do tariffs and quotas have on international trade? (LO 3)

(AACSB: Reflective thinking)

Chapter 16, Page 271

16-17. What impact has agreements such as WTO, NAFTA and CAFTA-DR had on

small companies wanting to go global? What provisions are included in these trade

16-18. Summarize the key provisions of WTO. (LO 4) (AACSB: Reflective thinking)

16-19. Summarize the key provisions of NAFTA. (LO 4) (AACSB: Reflective

thinking)

16-20. Summarize the key provisions of CAFTA-DR. (LO 4) (AACSB: Reflective

thinking)

16-21. What advice would you offer an entrepreneur interested in launching a

global business effort? (LO 1, 2, and 3) (AACSB: Reflective thinking)

Part 5: Case Study

The following text case may be used for lecture and assignments for topics presented in

this chapter.

 Case 3: Cousins Maine Lobster

Part 6: Online Videos and Podcasts

These online videos may enhance class discussion and provide additional insight for the

chapter topics.

 From Small to International Business (SBA) 3:00 minutes

https://www.youtube.com/watch?v=CngHp1qerQ0

 Grow Your Business One Country at a Time (SBA) 2:49 minutes

https://www.youtube.com/watch?v=4sIRpVXepuA

 Exporting: Success Beyond Borders (SBA) 2:59 minutes

https://www.youtube.com/watch?v=V4_s6fo1hYM

 Why Should Companies go Global? 1:53 minutes

https://www.youtube.com/watch?v=r-gr0aKe9SM

 Building Beyond Our Borders (SBA) 2:55 minutes

https://www.youtube.com/watch?v=sLbFRRHnUzg

 Berkeley Entrepreneurs Forum – Tech Entrepreneurship on the Global Stage

http://www.youtube.com/watch?v=-urhpWUDhko 1:48:23 minutes

 How to Find Valuable Stuff on Export.gov (U.S. Dept. Commerce) 59:23 minutes

https://www.youtube.com/watch?v=vRjxyLzdFBE

 Richard Branson Talks about Global Entrepreneurship Week 3:03 minutes

http://www.youtube.com/watch?v=yVIYRNuWH8I&feature=related

 Richard Woods – KYI Kyoto 8:58 minutes

http://www.youtube.com/watch?v=Ew0uXgaD3KM

Links to additional online resources are available on the companion Web site at