Разделы | Международные экономические и валютно-кредитные отношения |
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Формат | Microsoft Word |
Язык | Английский |
Примечание | Ничего особенного, но кому надо может взять какую-нибудь информацию |
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From my point of view we should beginthe discussion from the description of international trade. I like the description given in one of the books. Authors are saying that international trade is
“the exchange of products between countries”1.Although I like this explanation of international trade I think it is not full enough.From my point of view we must change the word products into the wordsomething. Because when we say products we usually think about something that is materially however states can change not only the materially stuff it can also trade in valuables like knowledge ( for example). Also I have to say that for me both states in the person of government and companies are actually the same. Because all in all their main target is their own prosperity.
So let’s go to discuss about the relations between National Governments in multinational enterprises. After I red some articles I came to a conclusion that this relations are always very different but usually they are good if both companies and governments have one common aim. Now it is an era of euphemisms language and some things more likely not to be told. In the same time if we take the book written in 1962 by John S. Ewing and Frank MEISSNER in the preface we can read very interesting thing “American businessmen invest more capital abroad than entrepreneurs of any other country: theU.S government pours great amounts of taxpayers’ money into foreign countries to help friendly nations advance economically and socially, and to strengthen their defenses against the forces of communism”2. Here we can see the situation when there is only one purpose that purse companies and government is to defend themselves against another force.
On the other hand I can show you an example, when because of different
purposes the company was destroyed by a state. Everybody in Europe now a days
knows about conflict in
But it is unusual situation, usually relations are different from the relation I have just described.
Now days we can see the increasing of globalization. In
“international trade activity now affects domestic policy more than ever. ….. Governments can not be expected, for the sake of theoretical ideal of “free trade” to sit back and watch the effects of deindustrialization on their countries”3. Some followers of the ”free trade” theory might saythat formation of some countries with strongeconomy today was taken place in the conditions of “free trade market. And this fact will be correct but from my point of view it exact reason why now a days they do not want to apply this practice anymore. As we’ve already decided that there are not so many differences between state and the company, and the main target of a state is to protect itself and be reach, we can make the conclusion that protectionism is an instrument used by state to protect it’s economical safety and helps their own producers. However from the other point of view , protectionism may lead to some problems. I truly believe that company may work only when it compete with the others because then it has to innovate their production, to seek for new marketing ideas e.t.c But in the conditions of protectionism very often they loose every wish to do it. And actually I can understand them. Why do you need to spend your money for innovation if even without it you can have a big profit, people will buy your product anyway. The second problem with protectionism is the more limitation you make the more limitation made against you. ( only in case when the sides are similar in their opportunities). So you are not allowed to export as many products as you wanted to.
On the other hand “free trade” gives the opportunity of wealth competition in market. And sometimes it might be very good for economical condition but bad for security “ more often, economic security and national security were seen as competing with each other”3-1.
So we can see that it is not simple question and not only because there are a lot of types of protectionism but also because it touches not only economical but also political fields. As for me, I think that all this instruments may be used but only after deep researching of situation.
At the end I would like to say that a government has got a huge possibility to control business it has a lot of instruments either to draw multinational enterprises or to push of by giving them either good advantages or bad. However if a state wants to be wealthy and strong it needs business because business means investments into state’s economy. Sometimes some not very strong governments might be under the control of big multinational but anyway, they will be under the control of strong governments. Government and business areinseparable and for the time they exist they will have to compound. But the further economy and world is developing the more difficult will be manage all the problems.
References
1) Business fundamentals John A. Reinecke William F Shhoel 1987 (page 429)
2) International business management John S.Ewing Frank Meiisner 1964 ( page 5)
3) International Business Michael R . Chinkota a 7 th edition(page 698), 3-1 (page 699)
4) Boris Berezovski Kremlin’s god father. Paul Khlebnikov 1999.
5) Internet.
International business
Assessment:
Relations between national governments and multinational enterprises
Student 1521222