Lovely Professional University
TOPIC: – contemporary Issues
Submitted to: Submitted by:
Mr. RAJBIR SINGH SETHI Nipun Vij
Course Instructor MBA IB
Regd. No:- 10903611
Roll no:- rr1906a02
I wish to express my deepest gratitude and warmest appreciation to the following people, who, in any way have contributed and inspired the researchers to the overall success of the undertaking:
To Mr. Rajbir Singh Sethi for his guidance and support in the duration of the study.
To my friends, who have been unselfishly extending their efforts and understanding.
To my parents who have always been very understanding and supportive both financially and emotionally.
And above all, to the Almighty God, who never cease in loving us and for the continued guidance and protection.
In this research it is noted that the Contemporary Issues are important for the business point of
View. This paper examines the importance of global business responsibilities.
The recent public scandals of corporate malfeasance have heightened this need and
organizations face numerous contemporary issues. Strategies such as codes of conduct,
developed by various international entities, can guide multinational corporations in this
effort. The authors also analyze various ethical climate and ethical problems. Author
concludes that a global code of ethics, developed and enforced by an international
agreement is the best means of bringing ethics to international businesses.
New trends and issues arise on a daily basis which may create an important burden to
organizations and end consumers.
Nowadays, the need for proper contemporary issues within organizations has become
crucial to avoid possible lawsuits.
Contemporary issues are current, arguable topics, such as abortion, gambling, television violence, and affirmative action. In writing a paper on contemporary issues, you must examine both sides in order to make a well-informed argument. New trends and issues arise on a daily basis which may create an important burden to organizations and end consumers.
The Contemporary issues provides a comprehensive exploration of the managerial side of doing business in the global economy-e.g., the functional areas of business, how managers work in a global marketplace, how business activities are increasingly driven by technology, etc. the critical changes occurring now in the global economy by showing them how the decisions and the choices facing businesspersons and consumers around the world are influenced by events and issues such as political upheavals, spread of new technologies, fluctuations in exchange rates, etc. Global Marketplaces and Business Centers. Legal, Technological, and Political Forces. The Role of Culture. International Trade and Investment Theory. International Monetary System and the Balance of Payments. Foreign Exchange and International Financial Markets. Formulation of National Trade Policies. International Cooperation among Nations. International Strategic Management. Strategies for Analyzing and Entering Foreign Markets. International Strategic Alliances. Organizational Design for International Business. Managing Behavior and Interpersonal Relations. Controlling the International Business. International Marketing. International Operations Management. International Financial Management. International Accounting and Taxation. International Human Resource Management and Labor Relations are the components of Contemporary Issues.
WTO Contemporary Issues
The WTO is NGOs Non-government organization that have grown in importance in the late 1990’s and early 2000’s to take on a significant role in influencing the trade and commerce between nations.
Sometimes the rules and regulations and assistance provided by these NGOs has been helpful, sometimes it has been disruptive.
In this the role of the WTO – sort of an int’l trade referee. They will discuss actual examples of WTO rulings involving specific countries and specific industries so that you may be able to form own opinions as to the merits of this organization.
It is also helpful to understand the role and effect of the WTO as it applies to being involved in International Business Management – meaning: having to make decisions in consideration of a WTO ruling or requirement and how it can effect (positively or negatively) the international business of a company you might be working with.
Contemporary Issues by WTO on Agriculture:-
Drafting the templates is highly technical and is intended to be neutral, without affecting the size of cuts or other adjustments to reach the new commitments.
The basis for discussing the substance of the negotiations is in the modesties and related documents. These contain parts in square brackets (“bracketed”), indicating that they have not been agreed. They also contain notes (“otherwise annotated”) by the then chairperson,
Some delegations suggested the consultations should also cover areas of the draft text that are ambiguous or need political interpretation, and one said the talks should look at the amendments to the Agriculture Agreement that would eventually be needed.
WTO Agriculture in Doha Round:-
Negotiations on agriculture began in early 2000, under Article 20 of the WTO Agriculture Agreement. By November 2001 and the Doha Ministerial Conference, 121 governments had submitted a large number of negotiating proposals.
These negotiations will continue, but now with the mandate given by the Doha Declaration, which also includes a series of deadlines. The declaration builds on the work already undertaken, confirms and elaborates the objectives, and sets a timetable. Agriculture is now part of the single undertaking in which virtually all the linked negotiations are to end by 1 January 2005.
The declaration reconfirms the long-term objective already agreed in the present WTO Agreement: to establish a fair and market-oriented trading system through a programme of fundamental reform. The programme encompasses strengthened rules, and specific commitments on government support and protection for agriculture. The purpose is to correct and prevent restrictions and distortions in world agricultural markets.
Without prejudging the outcome, member governments commit themselves to comprehensive negotiations aimed at:
market access: substantial reductions
exports subsidies: reductions of, with a view to phasing out, all forms of these
domestic support: substantial reductions for supports that distort trade
The declaration makes special and differential treatment for developing countries integral throughout the negotiations, both in countries’ new commitments and in any relevant new or revised rules and disciplines. It says the outcome should be effective in practice and should enable developing countries meet their needs, in particular in food security and rural development.
The ministers also take note of the non-trade concerns (such as environmental protection, food security, rural development, etc) reflected in the negotiating proposals already submitted. They confirm that the negotiations will take these into account, as provided for in the Agriculture Agreement.
World Bank Contemporary Issues:-
World Bank Foreign Aid for Development Assistance
Foreign aid or (development assistance) is often regarded as being too much, or wasted on corrupt recipient governments despite any good intentions from donor countries. In reality, both the quantity and quality of aid have been poor and donor nations have not been held to account.
In 1970, the world’s rich countries agreed to give 0.7% of their gross national income as official international development aid, annually. Since that time, despite billions given each year, rich nations have rarely met their actual promised targets. For example, the US is often the largest donor in dollar terms, but ranks amongst the lowest in terms of meeting the stated 0.7% target.
Furthermore, aid has often come with a price of its own for the developing nations:
•Aid is often wasted on conditions that the recipient must use overpriced goods and services from donor countries
•Most aid does not actually go to the poorest who would need it the most
•Aid amounts are dwarfed by rich country protectionism that denies market access for poor country products, while rich nations use aid as a lever to open poor country markets to their products
•Large projects or massive grand strategies often fail to help the vulnerable; money can often be embezzled away.
World Bank Military Aid
Military aid can be controversial. It’s stated aim is usually to help allies or poor countries fight terrorism, counter-insurgencies or to help fight drug wars.
The aid may be in the form of training, or even giving credits for foreign militaries to purchase weapons and equipment from the donor country.
It is argued that strengthening military relationships can strengthen relationships between nations and military aid may be a way to achieve that. Where the two nations are democracies, it is believed such relationships can be strengthened even further when the militaries of the respective nations are fully behind the principles of democracy.
But military aid may even be given to opposition groups to fight nations. This could be understandable if the opposition is a potential democratic force standing up against authoritarian rule.
However, as was especially seen during the Cold War, democratic nations (or potentially emerging democratic fledgling nations) often found themselves fighting foreign supported undemocratic forces because of geopolitical goals of the superpowers who tolerated or supported such regimes and dictatorships in order to achieve their own geopolitical aims.
IMF Contemporary Issues:-
IMF helps in Poverty
Cutbacks in health, education and other vital social services around the world have resulted from structural adjustment policies prescribed by the International Monetary Fund (IMF) as conditions for loans and repayment. In addition, developing nation governments are required to open their economies to compete with each other and with more powerful and established industrialized nations. To attract investment, poor countries enter a spiraling race to the bottom to see who can provide lower standards, reduced wages and cheaper resources. This has increased poverty and inequality for most people. It also forms a backbone to what we today call globalization. As a result, it maintains the historic unequal rules of trade.
Around the world, in rich or poor nations, poverty has always been present.
The causes are numerous, including a lack of individual responsibility, bad government policy, exploitation by people and businesses with power and influence, or some combination of these and other factors.
IMF helps in Safeguarding Emerging Economies’ Access to External Financing
While monetary and budget policies are likely to be crucial to sustaining demand, emerging economies face an important additional challenge in ensuring that the unfolding liquidity squeeze does not become transformed into a solvency crisis. Because of financial deleveraging in the advanced countries, foreign investors have been reducing their exposures to a broad swath of these economies, and several countries are suffering from sharp capital flow reversals or sudden stops. Relatively liquid markets that benefited previously from large carry trade positions have been hit particularly hard, and exchange rate movements have been especially dramatic, with sharp depreciations registered in many emerging economies.
• For countries with flexible exchange rate regimes, the exchange rate should be allowed to absorb much of the pressures arising from capital outflows. Some countries may need to increase the flexibility of their exchange rate regime, while ensuring the maintenance of a credible anchor. Large stocks of international reserves accumulated by many countries in recent years should provide room for intervention to avoid disorderly market conditions.
• Countries need to respond quickly in providing liquidity. Since the intensification of the crisis in September, several emerging economies have provided extraordinary liquidity support to financial systems, including by lowering required reserves and by easing collateral requirements for rediscounting purposes, and should continue to do so. The extension of liquidity may also need to include the non-financial corporate sector in countries where funding markets are quickly disappearing. Countries with large reserve buffers should provide foreign currency liquidity as needed, as acute shortages of dollar funding is increasingly affecting firms’ ability to operate.
• The IMF has quickly moved to help emerging economies battered by the crisis and by the sharp slowdown in advanced economies, in particular in Emerging Europe. The Fund today has available more than $200 billion in liquid funds that may be used to support member countries facing financing shortfalls. Indeed, several countries, including Hungary, Iceland, Serbia, and Ukraine, recently have secured IMF financial support, and several other countries are currently negotiating IMF-supported economic adjustment programs. In addition, the IMF has created an innovative short-term liquidity facility (SLF). The SLF provides those emerging market member countries that possess strong macroeconomic positions and records of consistent policy implementation with large upfront access to Fund resources to help address short-term external liquidity pressures.
• Regional initiatives can also be helpful. Efforts aimed at a regional pooling of international reserves, through bilateral swaps, such as in Asia, provide a further backup for individual countries facing external funding pressures.
Societal Ethos and Economic Development Organizations in Nicaragua
This article analyzes efforts in Nicaragua to create ethical organizations and an ethical economy. Three societal ethea found in contemporary Nicaragua are examined: the ethos of revolution, the ethos of corruption, and the ethos of human development. The emerging ethos of human development provides the most hope for the nation’s social and economic evolution. The practices of three successful economic development organizations explicitly aligned with the ethos of human development are described and evaluated: (1) a microfinance foundation (FDL), (2) a federation of cooperatives (FENACOOP), and (3) a local branch of an international NGO (IO-Nicaragua). The article concludes with additional reflections on the meaning of ethical organizations and an ethical economy in the context of contemporary Nicaragua.
(Viewed on May 5, 2010)
Collaborative corporate social responsibility; A case study examination of the international public relations agency involvement in the United Nations Global Compact
This purpose of this paper is to examine how two, American-based, international public relations agencies came to participate in the United Nations Global Compact. The global compact is an initiative which brings together more than 4,000 member organizations in over 100 countries to address some of the world’s most pressing issues. Specifically, this paper seeks to identify: the events that prompt these senior-level executives, as members of their agency’s dominant coalition, to initiate participation in the global compact; what obstacles within the agency present challenges to joining the global compact; and how each agency integrates the compact principles into its work. Grunig’s situational theory of publics is used as a framework to create a single, embedded case study which integrates three subunits of analysis: in-depth interviews, and primary and secondary document analysis. In-depth interviews are conducted with one senior-level executive/counselor from each of the two agencies that are examined. Primary document analysis focuses solely on the Communication on Progress reports which must be submitted on a bi-annual basis by every global compact participant. Secondary document analysis includes any agency-produced materials, such as speeches/presentations, as well as articles written for business publications. Overall, results indicate that both agencies have yet to fully integrate the compact principles into their own internal functions, and primarily use the global compact as a tool for counseling clients. However, both agency executives reveal that it is going to become necessary for their agency to involve themselves in the global compact, within and across the entire agency – particularly in terms of confronting issues such as ethics and diversity. This paper adds to the existing scholarship in a few, important ways. First, it incorporates and encourages the continued use of qualitative methods to examine contemporary issues that face the practice of public relations. Second, this research establishes an argument for furthering the idea that public relations professionals can be advocated for social change and can be influenced through the work they do. Finally, this paper stresses the continued importance of public relations work in facilitating global citizenship initiatives.
(Viewed on May 5, 2010)
HACCP for the hospitality industry: the chefs’ perspective
The purpose of this paper is to examine the applicability of HACCP within the hospitality industry from the perspective of two qualified and experienced chefs. It is the second article in the second Worldwide Hospitality and Tourism Themes issue of the International Journal of Contemporary Hospitality Management presenting a new method of HACCP for the hospitality industry and proof of its utility. A combination of academic literature and industry materials is used to examine the nature of the hospitality industry, the scale of food safety problems and previous attempts to solve them. The paper argues that in its traditional form, and in the way that many external bodies have tried to impose it, HACCP does not work for the hospitality industry and has been anything other than a benefit. However, HACCP could be the very catalyst the industry needs to come to terms with the food safety issues of a changing world. To make the principles meaningful they must be developed for the industry by the industry itself. They cannot simply be transferred from other sectors and superimposed by external agencies. This informed and detailed chefs’ perspective on HACCP in the hospitality industry is the first of its kind. It will be valuable reading for industry bodies, academics, enforcers and governments working with HACCP in this industry.
(Viewed on May 5, 2010)
Improving the Non-Governmental System of Outsourcing Labour Regulation in China
This article examines, from a legal point of view, the working and functioning of the non-governmental system of outsourcing labour regulation in China. This examination is conducted from two angles. First, by adopting the analytical tool of contemporary international law, in particular human rights law, it is found that generally the outsourcing regulation system possesses its full legitimacy and special value in realising business entities’ responsibilities to respect, protect, fulfil and promote labours’ fundamental rights and interests. The international community has also set some minimum legal requirements in this regard. Second, reviewed in the context of domestic law and policy, this article identifies that many legal questions arising from the outsourcing of labour regulation in China have been neglected by either the governmental or the non-governmental labour regulation system. Some representative legal issues are illustrated. It is argued that the underlying causes are three pairs of controversies, i.e. the controversy between the ideal standardised model norms vis-a-vis the realistic specified local societal concerns; the controversy between the voluntary nature of the non-governmental norms vis-a-vis the necessity for official authorities’ legal guidance and enforcement; and the controversy between the internal interests of the international production chain vis-a-vis the external interests of outer stakeholders. Finally, this article concludes that, on the one hand, the foreign buyer companies and the international non-governmental organisations must not neglect the particular societal concerns and demands in China, and, on the other hand, the Chinese public authorities should promote and direct the development of the non-governmental labour regulation by improving the governance of rule of law as well as policy making and implementation. Some tentative proposals are raised for solution.
(Viewed on May 5, 2010)
Globalization, inequalities and the “Polanyi problem”
Purpose–The purpose of this paper is to contribute to the debate on the consequences of globalization, in particular the increasing disparity between the wealth of nations and individuals in society. It discusses mechanisms which lead to perpetuation and reinforcement of the situation in which, despite being characterized by inequalities and fragmentation, societies remain by and large cohesive and stable. Design/methodology/approach–This article engages with the so-called “Polanyi problem” and with Polanyi’s and other authors’ responses to it. In the discussion, the analytical approach is adopted by reference to Aldous Huxley’s Brave New World, in particular his concept of soma. Findings–Using the metaphor of soma, developed into four interrelated dimensions, illustrations of social and organizational processes, which ensure sustainability of, and cohesion within, a society based on inequality and fragmentation, are indicated. It is argued that the existence of stratified societies, and inequalities of wealth within and between them, is accompanied by phenomena which support and sustain them. Practical implications–Drawing upon literary fiction can offer valuable insights into issues pertinent to contemporary academic debate. Originality/value–Engagement with Huxley’s work provides an alternative way of contributing to the globalization debate and, in particular, to the literature addressing the so-called “Polanyi problem,”
(Viewed on May 5, 2010)
http://books.google.co.in/books?id=Jd99UYTkw-0C&q=what+is+contemporary+issues+of+international+business&dq=what+is+contemporary+issues+of+international+business&lr=&as_brr=0&cd=1(Viewed on May 5, 2010)
http://www.wto.org/english/tratop_e/agric_e/negoti_e.htm (Viewed on May 5, 2010)
http://www.globalissues.org/article/35/foreign-aid-development-assistance (Viewed on May 5, 2010)
http://www.globalissues.org/article/785/military-aid (Viewed on May 5, 2010)
http://www.wto.org/english/tratop_e/agric_e/negoti_e.htm://www.ruralforum.info/documents/brown_bag/presentation_cleaver.pdf (Viewed on May 5, 2010)
http://docs.google.com/viewer?a=v&q=cache:9_6DEmdXDpUJ:www.wto.org/english/res_e/booksp_e/parliamentarians_e.pdf+WTO+contemporary+issues+of+International+business&hl=en&gl=in&pid=bl&srcid=ADGEESjrOIlYkA2RXLB-9VZO1jzaWN3gZtWObHdEvp63cy9u5mYOaQF9oX2-QJYKJKwiVlcauLPin0oGxlQqSF2es1jvycSsZazICH8lwUVNedsQVQIeThl49-CjmbsSZMgOk6yqQE9j&sig=AHIEtbSO5ItNcRsRAcJu93p2Xu6yNwohSQ (Viewed on May 5, 2010)
http://www.imf.org/external/np/speeches/2008/121008a.htm (Viewed on May 5, 2010)