International Business Mod06 This Thought Question With Correct Answer This Response One Possibility You Are

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International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–12

netting the lower-swimming tuna, is a technical barrier to trade. Given the labeling, the U.S.

1. Do you think the WTO should be able to prohibit labeling that provides information of

potential value to consumers? Why or why not?

2. Should the WTO ensure that the science behind local laws and regulations is sound and not

a cover for protectionism? If so, how could it do so?

3. Some people have argued that member-nations give up national sovereignty rights by

joining the WTO and allowing it to make decisions that are not in the best interest of a

particular nation, especially since many WTO meetings are not open to the public. Do you

agree with this interpretation and, if so, what could be done to address the situation?

Meetings held to work on complex trade negotiations by their very nature of compromise and

open discussion, cannot meet their objectives if they are open to the public. Representatives

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–13

GET THAT JOB! FROM BACKPACK TO BRIEFCASE: Rory Burdick: Career Launch in International

Rory Burdick began working in start-ups and took an opportunity that required 24-hour

availability to get an assignment with an international dimension. That allowed him to build his

credibility in international. From there, he networked and learned about an opportunity at

1. Rory Burdick’s approach was to take a difficult initial assignment in order to get into

international, and from there, to build his expertise. Would such an approach work for you?

2. Burdick’s experience also suggests that networking is an important part of career

development. Describe your networking strategy.

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–14

END OF MODULE EXERCISES

CRITICAL THINKING QUESTIONS

1. How might knowing a country’s type of legal system (civil, common, religious) be helpful?

2. Does the concept of the rule of law (not the laws themselves) have the same meaning in

different countries?

3. Since there is no international police or military force to back up international law, does it

have any power? Why or why not?

4. What objections could other countries have to extraterritorial application by one country

of its laws in territories beyond its borders?

5. Would you consider plagiarism an intellectual property right violation? Explain your

reasoning.

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–15

6. Does national culture influence the meaning of intellectual property? That is, in a culture

where community is stressed, rather than the individual, would you expect intellectual

property rights to be defined differently than in a culture where individualism is strong?

7. You are a human resource manager for a U.S. company working in Saudi Arabia, with Saudi

and American employees. All U.S. companies are required to follow U.S. Equal Employment

Opportunity law. In Saudi Arabia, women usually do not work in public, and the genders do

not mix in public. How would you explain to your Saudi employees that you have to follow

U.S. law?

8. Why do understandings of appropriate limits to competition differ among nations?

9. Is product liability a legal concept that is standardized across nations?

10. Why would accounting law convergence across nations be a valuable achievement?

GLOBALEDGE RESEARCH TASK

Exercise 1

International Business, 2e

Instructor Guide to Module 6

06–16

Education.

Search Phrase: Export Tutorials

Resource Name: Export Tutorials

Resource Link: https://globaledge.msu.edu/reference-desk/export-tutorials

Exercise 2

Aerospace Industry Market Potential Index is available on the MPI page under the ‘Tools and

Data’ tab on the top menu. Once on the MPI page, scroll down and check the right-hand

MINICASE: Determining Country of Jurisdiction for International Business Disputes

A new California exporter has been asked by a large Italian buyer to change their customary

choice of law and choice of forum to Italy.

1. You are the CEO of the California company, and you very much want this large export

order. You are pleased with the service your law firm has given, but you know it has no

international experience. What are the various forms of dispute resolution available to your

California company? What are the advantages and disadvantages of each for your company?

2. You must decide whether to only use California law for settling litigation or allow the

foreign customer’s home nation as the venue for litigation. Would your decision be different

if the customer were from China? From Russia? From the United Kingdom? Why or why not?

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–17

BONUS ACTIVITIES

This section provides you with support of your course above and beyond what is found in the

text. We have developed these resources to support your course, to support your traditional,

hybrid, online, or flipped class.

VIDEO SUGGESTIONS

McGraw Hill’s collection of international business videos is available at

TEAM EXERCISE

These may be done individually or in groups or teams, either in or out of class, for later class

presentation. Some are also appropriate for hybrid and online courses.

1. Sanctions on Russia

After Russia occupied Crimea in Spring 2014, the U.S. and EU applied trade sanctions, initially to

a group of leaders close to President Putin and then to the country. This illustrates the political

use of trade sanctions as an alternative to a military response. They were to serve as a warning

that continued land occupation would be addressed seriously.

After a discussion of current Russian sanctions, in the form the class format suggests, ask

students to discuss the following question in small groups and then share their answers with

the larger class.

How might the imposition of sanctions affect businesses of the sanction-imposing countries,

those in the EU and the U.S.?

International Business, 2e

Instructor Guide to Module 6

06–18

Education.

Payments originating in Russia may not be possible. This would affect banks, bond-holders, and

other holders of debt, including exporters. The same would hold for transfers into Russia, which

would affect multinationals sourcing their Russian activities from outside of Russia.

2. Review Antitrust Law Applications

Prepare a review of recent applications of antitrust law in the EU, U.S., and other countries.

3. Research on International Applications of Product Liability Law

4. Research Contract Law in the U.S., the EU, China, and Russia

5. Patent and Trademark Exercise

6. Comparison of U.S. and UK Legal Systems

A comparison of differences between the U.S. and UK legal systems may interest students.

1. England has a split legal profession with barristers and solicitors.

3. England allows no contingent fee arrangements.

5. Pre-trial discovery is more restricted in England

SUPPLEMENTAL ACTIVITIES

Case Studies

Case studies that focus on intercultural issues and their effects in business environments are

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–19

an account and offers downloadable review copies for educators. The case prices begin at

$7.50.

CONTROVERSIAL ISSUES

Home Country Law Abroad

Extraterritorial application of home-country laws has its pros and cons. For example, the U.S.

government holds foreign subsidiaries of U.S. companies to U.S. employment law for U.S.

nationals working in the foreign location. What are the advantages and disadvantages for the

host country and for the foreign company? For host country employees and home country

employees?

TEACHING SUGGESTIONS

1. This chapter is very important to students’ understanding of the legal forces that affect

2. We encourage a review of current events and application of the module’s topics at the

3. The Critical Thinking Questions at the end of the module will help in understanding chapter

content. These topics may be assigned as an outside class assignment. One of the problems in

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–20

Education.

call on students at random to answer specific questions (giving a small number of points for

correct answers or counting this as part of participation).

4. Guest lecturers could include international lawyers and law professors. Managers from local

export businesses that have worked through choice of law and choice of forum clauses for their

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–21

CONNECT TOOLS FOR ASSESSEMENT OF LEARNING

CONNECT CONTENT MATRIX

For every chapter, please refer to the Connect Content Matrix to see what application exercises

are available and what Learning Objectives they help reinforce/assess.

Title

Assignment

Type

Topic(s)

Learning

Objective(s)

AACSB

Accreditation

Tagging

Bloom’s

Taxonomy

Javabucks in

China

Video Case

Intellectual Property

Rights

06-04; 06-05;

06–06

Analytical

Thinking

Understand

Legal Forces

Click and Drag

International Legal

Forces

06-02; 06-03

Reflective

thinking

Understand

What’s the Right

Thing to Do?

Case Analysis

General Legal

Concerns in Business

06-03; -6-06

Reflective

Thinking

Understand

Types of Legal

Systems

Click and Drag

Three Types of Legal

Systems

06-01; 06-05

Analytical

Thinking/

Reflective

Thinking

Remember/

Understand

CONNECT ACTIVITIES

1. Javabucks in China

Activity Summary: This video case shows a hypothetical scenario in which a foreign-owned

coffee shop opens in China but faces trademark issues from another Chinese coffee shop.

2. Legal Forces

Activity Summary: This is a click and drag activity in which legal systems are matched with

particular characteristics.

How to Use Activity: This works well as an in-class assignments for small groups. After the

International Business, 2e

Geringer, McNett, Ball

Instructor Guide to Module 6

06–22

Education.

3. What’s the Right Thing to Do?

Activity Summary: In this case analysis, Mary is in Thailand and is having difficulty getting her

weaving machinery through customs. The customs agent suggests that she pay him a bribe, but

4. Types of Legal System

Activity Summary: In this click and drag activity, students match actions of one of the three