Name : Ana Setyaningrum

NIM : 30402000040

Final Exams of International Business

1. Hard skills are a person's ability which includes knowledge, expertise, and a person's ability
to perform technical tasks. at the management level, the hard skill that must be possessed is
managing people.
Different from hard skills that related to technical matters, soft skills are more on a
person's personality, such as communication skills, leading, motivating, making decisions,
etc. To be clear about hard skills and soft skills, here are examples of the actions of managers
in international business:
Hard Skill
a) How to make Profitability
• Reduce cost: by reducing costs, the costs incurred to make the product become
cheaper and affect the price of the product. Product prices can be cheaper and
ultimately increase sales figures
• Add value and raise prices: from the many products on the market, managers prefer
to make products that are better than the market and enter the high-end market
because of the higher price due to the added value.
b) How to make Profit growth
• Sell more in existing market: managers choose to enter the existing market and
already have a wide market, so the manager here prefers to fill or participate in
supplying the large demand from this existing market
• Enter new market: the manager wants to create a new product as a solution for an
existing product. With the emergence of this homemade product, people who used
to use ordinary products are now starting to use this new product because of the
suitability of these consumers for the innovation and usefulness of this product.
c) very selective recruitment
In achieving this, we also need to conduct a very selective recruitment and especially
focus on finding employees for the R&D department because in adding value, entering
new markets and so on, we really need employees who are good at doing research so
that we can continue to improve the quality of our products and win the market
d) Expand the market with international reach. This method has many things to consider,
such as pressure for cost reduction which makes us have to lower unit costs, then there is
also pressure to be locally responsive.
Soft skills that must be possessed by managers will determine whether all the steps in the
managerial skills above can be carried out properly or not, these skills include:
a. Leadership
 in leading all workers, managers must be able to mobilize other employees, revive
a good culture at work, set good examples and so on, which will be explained in the
next point
b. Communication skills
In meeting discussions, market analysis, delegation of tasks, Managers must be
able to understand what other people are saying and he can convey responses and input
well without creating misunderstandings.
c. Adaptation
The complex scope of international business requires managers to make
adjustments, for example in business branches in countries a and b will have different
problems, coupled with economic changes in the country where the branch company is
located, as well as in market expansion to new countries and all other managerial
activities. , good adaptation is needed
d. Decision making
In all the problems that arise in this international business after taking many
managerial steps, managers must dare to make decisions that will be executed jointly
by all employees.
e. Risk management to make decisions
To determine the direction and next steps, managers cannot make risky decisions
if they do not use risk management. So managers must have a lot of ability to be able to
do risk management.
2. One of the objectives of investment is to obtain positive income or increase investment. So
that investors intend to invest in a country because of the potential of that country which will
later bring profits and develop the money that has been invested. In a country, especially
Indonesia, has a lot of natural resources that are needed by many companies, a brief example
is nickel which is currently being hunted for electric car materials, therefore companies must
buy nickel from a country, the state here means having its own products which are controlled
by the state. itself, therefore if an investor invests in a country, then he will also benefit along
with the growth of that country.
In Indonesia, recently there has been a large investment coming from large companies
originating from South Korea, Japan, and China. The investments in detail are:
➢ South Korea
South Korea, which is a developed country, has made investment commitments
with projects that they are interested in, namely the steel industry, steel for electric cars,
development of the capital city of the archipelago, drinking water supply systems,
capacity building in smart cities. This investment commitment is USD 6.72 billion or
equivalent to 100.69 trillion. The President of South Korea also encourages cooperation
between Korea and Indonesia, especially in electric cars in Indonesia.
➢ Japan
 Indonesia received an investment commitment of USD 5.7 billion or equivalent to
85 trillion. This investment was made by 10 large companies in Japan including Toyota,
Mitsubishi, Sharp and other companies. The sectors that are included in Japan's
investment with Indonesia are:
o electricity, gas and water
o Motor vehicle
o Means of transportation
o Housing area
o Industrial & office area
➢ China
China added 1 million tons of CPO imports, China also prioritized agricultural
products, and the construction of a green industrial park. The value of China's own
investment is USD 3.62 M
This investment was given by the three countries and the world's leading companies
because of the conditions of these countries and Indonesia's very high growth potential.
Among them are
❖ Indonesia
Indonesia is in the situation of a crisis due to war and so on and in the situation of
many collapsing economies of other countries, Indonesia actually has a very good
economy, plus UMKM in Indonesia contribute to GDP by 61%. These UMKM have
boosted the Indonesian economy. Indonesia itself is estimated by many world financial
institutions such as the IMF and other institutions that by 2045 it will become the country
with the strongest economy in the world on the order of 4 to the top 10. Finance Minister
Sri Mulyani also said that Indonesia would become the 4th largest economy in the world
in 2045. This is because the level of income per capita is estimated at US$29,300 or
equivalent to Rp.420,3 million (exchange rate of Rp.14,345 per US dollar) in that period.
In addition, Indonesia has a lot of natural resources, especially mines, which are
currently very much needed by the big country for their production.
❖ South Korea
South Korea is a country that developing electric cars. With all the resources that
exist in Indonesia, where the resources are needed by Korea to produce electric cars and
Indonesia's growth potential in the future, Korea invests in Indonesia.
❖ Likewise with China and Japan, which finally want to invest in Indonesia because of the
very high potential for Indonesia's economic growth in the future.
3. McDonald's is a fast food restaurant originating from San Bernardino, California, America.
McDonald's became famous for its fast serving system. Meanwhile, McDonald's itself can
be worldwide due to its frienchise system. Because of this frienchise system, Mc Donald
needs to do customization and standardization. Mc Donald in expanding the market, he
does frienchise to various countries, while in each country has a different favorite taste, for
example, in Indonesia, which has a taste for food that is rich in spices, there will be
 customization in the concoction of spices to suit the tastes of the market in Indonesia. it is
important to do so that McDonald's can be accepted in certain countries. However, apart
from the customization done, McDonald's also standardizes in order to maintain the quality
and taste characteristics of McDonald's itself. Without standardization, between McDonald's
outlets in various countries will have a taste that is not in accordance with McDonald's
standards, this can also reduce the value of McDonald's sales.
4. Yes I agree. What I will discuss here is the culture within the organization or within the
company and the culture that exists in the community where the company is founded.
1) The culture that is applied within the company's internal management level will
form habits of working and socializing. A good work culture that is applied in the
company will increase the effectiveness of the work.
2) The culture that exists in the community where the business stands.
The culture that exists in the company environment influences the policies that the
company must take. This also affects all regulations in the company's activities.
Therefore, CSR is also needed. By paying attention to the importance of the prevailing
culture in the community where the company stands, all company activities become
much easier, especially in international business activities located in various countries
which require companies to make adjustments to the culture in that environment.