MS-97 : INTERNATIONAL BUSINESS

MANAGEMENT PROGRAMME
Term-End Examination re)
December, 2021

MS-97 : INTERNATIONAL BUSINESS
Time : 3 hours Maximum Marks : 100
(Weightage 70%)
Note : (i) There are two Sections : A and B
(ii) Attempt any four questions from Section A and
any one question from Section B. All questions carry
equal marks.
SECTION - A 1. Compare Adam Smith's theory of absolute cost advantage with Ricardo's comparative cost theory of international trade. What is common between the two and what is not common ?

2. (a) Differentiate the evolutionary pattern of MNEs that originated from Europe from those that originated from Japan.

(b) How would you identify the environmental volatility of a given company engaged in international business ?

3. (a) What methods/ techniques an MNE can follow to promote a common culture among all its businesses across the globe that would also be conducive for control ? Explain with examples.

(b) What policies and practices an MNE could follow to minimize the possibility of
hostility/conflict in its operations in a foreign country ?
4. (a) Describe the approaches that a multinational firm might use for meeting its
manpower/staffing requirements. What are the trends ?
(b) "There are certain issues about which the governments of developing countries are
concerned before allowing multinationals to operate in their countries". What are these
issues in general which the managers of such enterprises should identify before
starting negotiations ?
5. Write notes on any two of the following :
(a) What factors an MNE would consider before deciding about FDI ?
(b) Objectives of trade groupings and SAARC
(c) WTO
(d) Make or buy decisions in relation to production in international business