MIB 11 London

Global Business Operations

Outline and Key Learnings

Course Aims, Objectives and Focus

With the global spread of business operations, investment flows are now developing
in two directions. The first wave, from west to east, saw western multinationals
moving into low-cost manufacturing bases and entering emerging economy
markets. These economies presented special opportunities and challenges for
global companies arising from the nature of rapid economic and political
transformations. More recently a second wave of investments from east to west has
carried companies from emerging economies into global markets as they have
taken over companies in the USA, Europe and elsewhere. Therefore despite the
economic crisis in the west, the global inward foreign direct investment figures have
continued to rise, as eastern outward investments grow and new players emerge at
the global level.
The focus of this course is therefore the opportunities and risks for all those
investing in and managing global business operations, both in emerging and in
developed economies.

Course Content
Most of the input in class will be a revision of concepts and tools learnt in the
International Business Course.
The main topics will be:

Introduction to the international economy and globalization

Global Strategies
Outsourcing Operations
Organising Global Operations
Globalisation of Services
The Old and The New Multinationals

Course Method
The course includes group presentations and an individual assignment. These are
examples of assignments that will be set on company operations and FDI activity:

Group Presentations : To analyse how 2 leading companies in 1 sector have

created competitive advantage by the international development of their
operations. This can include product or service, market development, sourcing,
offensive and defensive actions.
Individual : Post-module assignment on 1 company. Analyse international
operations up to the present, and evaluate possible future developments through
Greenfield, M&A or alliances. Use reports in FDI as part of input for this (see
bibliography).
Through cases and other inputs dealing with international business operations,
students will understand the nature of international business operations in various
regions and in diverse sectors. The strategic objectives of multinationals, the
operational activities with related risks and opportunities will be a key focus.
Through examples of different firms in different environments and concerning
different sectors, students will gain insight into how east moves west and west
moves east, encountering both success and failure.

Course Assessment
Continuous Assessment: 100%.
This will take the form of a minimum of 60% for an individual post-module
assignment. Instructors will also include a group-work component, for example
presentations work in class, for a maximum of 40% of final grade.
Bibliography
DANIELS,J, Radebaugh, L and Sullivan, D; 2011 International Business, Prentice Hall,
13th Global Editions
PH ISBN-10: 0273756001 ISBN-13: 978-0273756002
Pearson 2011 ISBN 10 : 013511 9952 and ISBN 13: 9780135119952
For this module the pre-reading is Part 5 : "Global Strategy, Structure and
Implementation"
See also these reports :
ttp://ftbsitessvr01.ft.com/forms/fDi/report2013/files/The_fDi_Report_2013.pdf
AB Investment Across Borders IAB World Bank : http://iab.worldbank.org/
Further Textbooks

CARBAUGH International Economics South-Western College Publications, any recent

edition, ISBN-10: 0324581483 ISBN-13: 978-0324581485
H. Sirkin, J. Hemerling and A. Bhattacharya (2008): Globality competing with
everyone from everywhere for everything. Headline publishing group, (This text is
written by three authors from the BCG consultancy and has a focus upon global
competition incorporating the impact of new competitors from emerging
economies).
New Challenges for Made in China, BCG 2009
The 2012 BCG 50 Chinese Global Challengers: End of easy growth, BCG 2012 China
& India: Boom or Bust?, BCG 2012
Captivating the newly affluent China & India, BCG 2012
Brazil: Facing the Productivity challenges, BCG 2012
Brazil, Confronting the productivity challenges, BCG 2013
New prosperity: Strategies for improving well-being in Sub-Saharan Africa, BCG
2013 Ten things to know about African consumers, BCG 2013