Participative Management – Workers Participation in Management

Human Resource Management

Case Study on Entrepreneurship: Larry Page

Business Analysis

The Boundaryless Career: Modern Contemperory Perspective on Career

Human Resource Management

How to Meet Costa Rica’s 2026 VASP Requirements Without Expanding Headcount

General Business Articles

Concepts of Throughput Accounting and Theory of Constraints

Financial Management

Internationalization Concept -The Uppsala Internationalization Model

Internationalization consists of standardized products or service through globally standardized marketing and production processes that target standardized customer needs. Internationalization can be described as the process of increasing involvement in international operations. Another definition denotes internationalization as the process of adapting firms’ operations (strategy, structure, resources, etc) to international environments. Both definitions emphasize the crucial fact that internationalization needs an overall support from the organisation as it is changing the environment to expand in various manners the process mostly consists of macro factors to evolve. The Process of Internationalization Internationalization fundamentally alters the price-setting strategies of domestic economic agents. This is true for agents operating in product markets, factor markets and financial markets. At a micro level, internationalization directly alters pricing behavior by deepening product and factor markets. More potential buyers and sellers imply greater competition and a reduction in excess returns. At a macro level, internationalization also has the Continue reading

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Currency Arbitrage – Definition and Examples

Arbitrage traditionally has been defined as the purchase of assets or commodities on one market for immediate resale on another in order to profit from a price discrepancy. In recent years however arbitrage has been used to describe a broader range of activities. The concept of arbitrage is of particular importance in International finance because so many of the relationships between domestic and international financial markets, exchange rates, interest rates and inflation rates depend on arbitrage for their existence. In fact it is the process of arbitrage that ensures market efficiency. The purchase of currencies on one market for immediate resale on another in order to profit from the exchange rate differential is known as currency arbitrage. If perfect conditions prevail in the market, the exchange rate for a currency should be the same in all centers. Until recently, the pervasive practice among bank dealers was to quote all currencies Continue reading

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Components of International Financial Environment

International financial  environment is totally different from domestic financial environment. International financial management is subject to several external forces, like  foreign exchange market, currency convertibility, international monitory system,  balance of payments, and international financial markets. 1. Foreign Exchange Market Foreign exchange market is the market in which money denominated in one  currency is bought and sold with money denominated in another currency. It is an overthe  counter market, because there is no single physical or electronic market place or an  organized exchange with a central trade clearing mechanism where traders meet and  exchange currencies. It spans the globe, with prices moving and currencies trading  somewhere every hour of every business day. World’s major trading starts each morning  in Sydney and Tokyo, and ends up in the San Francisco and Los-Angeles. The foreign exchange market consists of two tiers: the inter bank market  or wholesale market, and retail market or client Continue reading

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The Circular Flow Model of the Economy

The circular flow model is used to represent the monetary transactions in an economy. It helps to show connections between different sectors of an economy. It shows flows of goods and services and factors of production between firms and households. The circular flow of income is a model that helps show the movement of income and spending throughout the economy. In the economy, households help provide firms with factors of production, e.g. labour. Organisations use these factors to provide goods and services to the household. The households will then spend their money on the goods and services provided by the firms. This money is use by the firms to pay the households for the work they provide, through wages. This process will repeat itself and then form the circular flow of income. There are two main flows within the model shown above, the flow of physical things, e.g. Good and Continue reading

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Learning Curve – Definition and Meaning

In many of the manufacturing processes the average costs decline substantially as the cumulative total output increases. This is the outcome of both  labor  and management becoming more knowledgeable about production techniques with growing experience. “There is an element of learning involved through experience.” Practice makes a man perfect. Doing the work repetitively makes  labor  more efficient. Productivity is enhanced and these lessons of enhanced productivity lead to greater efficiency which in turn will result in overall reduction in the average cost of production. Learning Curve in Economics According to  James L. Pappas and Mark Hirschey “The learning curve (also known as experience curve) phenomenon has an effect on average costs similar to that for any technological advance that provides an improvement in productive efficiency.” Learning through experience in production enables the firm to produce output more efficiently and economically at each and every level of output. Above figure shows Continue reading

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Manpower Planning

It is very natural that, the continual positive development of any business owe to its effective planning. Making all the necessary preparations and appropriate arrangements proactively basing upon what is expected to happen in future and performing a series of tasks and activities accordingly in a systematic and organized way is one of the important functions of management, which necessitates an effective and proactive planning process. Proper planning and designing an effective organizational structure by assigning an assortment of responsibilities to the concerned employees may help the business organizations to accomplish their set of objectives. Putting the right person at the right place and at the right time is essentially much important to any business as it comprises of a wide and comprehensive range of activities in relation to “the management of man“. Manpower planning, not only focuses on the effective utilization of existing human elements but also concern in Continue reading

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