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COMMUNITY DEVELOPMENT

PROJECT

Global Environmental Management

GEN231 By Omkar A Dalavi Reg.no: 12011502


Environmental Management

 It deals with world affected by humans.


 It supports sustainable development.
 It demands a multi disciplinary approach.

“An approach which goes beyond natural


resources management to encompass the
political and social as well as the natural
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environment.”
Importance of International Business

If you are not thinking


international,

you are not thinking


business management

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Global Environment and
International Managers

 Difficulties Operating in Borderless World


 Challenges
– High Investment Cost
– Confusing Local Systems

Managers’ Challenge: Wal-Mart Managers

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A Borderless World

 Business is becoming a unified, global field


 Companies that think globally have a
competitive edge
 Domestic markets are saturated for many
companies
 Consumers can no longer tell from which
country they are buying

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International Environment Factors

Economic Legal-Political
•Economic
•Political risk
development
•Infrastructure •Government

•Resource and takeovers


product markets •Tariffs, quotas, taxes
•Per capita
Organization
•Terrorism, political
Income
instability
•Exchange rates
•Laws, regulations
•Economic
conditions Sociocultural
•Socio values, beliefs
•Language
•Religion (objects, taboos, holidays)
•Kinship patterns
•Formal education, literary
•Time orientation

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Economic Environment Factors

 Economic development
 Infrastructure
 Resource and product markets
 Exchange rates
 Inflation
 Interest rates
 Economic growth

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Economic Development

● Countries categorized as “developing” or “developed”


● Criterion used to classify is per capita income
● Developing countries have low per capita incomes
● LDCs located in Asia, Africa, and South America
● Developed are North America, Europe, & Japan
● Driving global growth in Asia, Eastern Europe, & Latin
America

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Infrastructure

A country’s physical facilities that support


economic activities

 Airports, highways, and railroads


 Energy-producing facilities
 Communication facilities

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Exchange Rates

 Rate at which one country’s


currency is exchanged for
another country’s
 Has become a major concern for
companies doing business
internationally
 Changes in the exchange rate
can have major implications for
profitability of international
operations

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Political Instability

 Events such as riots, revolutions, or


government upheavals that affect the
operations of an international company

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Managing in a Global Environment

Managers must be sensitive to cultural subtleties


 Personal challenges – culture shock
 Managing Cross-culturally
– Leading
– Decision making
– Motivating
– Controlling
Managers must be culturally flexible and easily
adapt to new situations
Experiential Exercise: Rate your Global
Management Potential

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THANK YOU

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