european business

Order Description all document will be uploaded i am aimin" rel="nofollow">ing to achievin" rel="nofollow">ing a merit. if you further in" rel="nofollow">information please contact me This assignment gives you the opportunity to submit evidence in" rel="nofollow">in order to achieve the followin" rel="nofollow">ing MERIT and DISTINCTION grades Grade Descriptor Indicative characteristic/s Contextualisation M1 Identify and apply strategies to fin" rel="nofollow">ind appropriate solutions Effective judgments have been made. An effective approach to study and research has been applied. To achieve M1, you will make effective judgments and use relevant tools to explain" rel="nofollow">in the terms ‘surplus’ and ‘deficit’ and the significance of long-term deficits to open economies. An effective approach to study should be used to explain" rel="nofollow">in the role played by exchange rates in" rel="nofollow">in in" rel="nofollow">international trade (LO1 1.4 & LO2 2.1) M2 Select / design and apply appropriate methods / techniques Appropriate learnin" rel="nofollow">ing methods/techniques have been applied. To achieve M2, you will have used suitable techniques to present the difference between free trade and protectionism and the role played by tariffs, quotas and deregulation within" rel="nofollow">in the EU. You will also apply the same techniques in" rel="nofollow">in assessin" rel="nofollow">ing the role played by EU directives. (LO2 2.3 & LO3 3.2) M3 Present and communicate appropriate fin" rel="nofollow">indin" rel="nofollow">ings Communication is appropriate for familiar and unfamiliar audiences and appropriate media have been used. To achieve M3 the work you present will be presented in" rel="nofollow">in suitable busin" rel="nofollow">iness formats and will use busin" rel="nofollow">iness termin" rel="nofollow">inology accurately. You also need to use a correct Harvard referencin" rel="nofollow">ing style usin" rel="nofollow">ing a wide range of resources and fin" rel="nofollow">inally use critical reflection to evaluate own work and justify valid conclusions. (LO1, LO2, LO3 & LO4) D1 Use critical reflection to evaluate own work and justify valid conclusions Conclusions have been arrived at through synthesis of ideas and have been justified. Realistic improvements have been proposed again" rel="nofollow">inst defin" rel="nofollow">ined characteristics for success. To achieve D1 you would have made valid conclusions by analysin" rel="nofollow">ing the advantages attributed to the adoption of a sin" rel="nofollow">ingle European currency. You also need to demonstrate a good ability to synthetize when reflectin" rel="nofollow">ing on scenario and give alternative courses of action with relevant recommendations (LO1 1.2 & LO2 2.2). D2 Take responsibility for managin" rel="nofollow">ing and organisin" rel="nofollow">ing activities Activities have been managed. To achieve D2 you will have demonstrated an effective approach to in" rel="nofollow">independent research and study and use your critical reasonin" rel="nofollow">ing to complete different tasks to achieve the unit assessment criteria. (LO2 2.4 & LO4 4.2) D3 Demonstrate convergent/lateral/creative thin" rel="nofollow">inkin" rel="nofollow">ing Effective thin" rel="nofollow">inkin" rel="nofollow">ing has taken place in" rel="nofollow">in unfamiliar contexts When makin" rel="nofollow">ing recommendations for improvement, realistic ideas have been generated and decisions taken. Creative and in" rel="nofollow">innovative thin" rel="nofollow">inkin" rel="nofollow">ing with deep learnin" rel="nofollow">ing have been applied in" rel="nofollow">in management decisions. LO4 4.3 & 4.4 Assignment title European Busin" rel="nofollow">iness Framework Purpose of this assignment To provide learners with an understandin" rel="nofollow">ing of the importance of in" rel="nofollow">international trade and in" rel="nofollow">in particular UK trade with the European Union. It is important, that learners seekin" rel="nofollow">ing employment in" rel="nofollow">in the busin" rel="nofollow">iness world realise that if we do not export sufficient goods or services we cannot afford to import the food and raw materials we need to main" rel="nofollow">intain" rel="nofollow">in our economic wellbein" rel="nofollow">ing. Scenario You are required to write a report a formal report for the group of in" rel="nofollow">investors to understand how tradin" rel="nofollow">ing in" rel="nofollow">in European market takes place. The report must consist of followin" rel="nofollow">ing tasks, usin" rel="nofollow">ing the guidelin" rel="nofollow">ines provided. Task 1 (LO1 AC 1.1, 1.2, 1.3, 1.4) LO1: Understand the significance of in" rel="nofollow">international trade and the balance of payments to open economies such as the UK UK, England, London Listed Palm Oil Firm Gets Cookin" rel="nofollow">ing After £1.1bn Bid (By Oscar Williams-Grut, Evenin" rel="nofollow">ing Standard 10/10/14) ‘You can cook with it, it does in" rel="nofollow">in everythin" rel="nofollow">ing from margarin" rel="nofollow">ine to soap and it’s even used to make plastics – palm oil is big busin" rel="nofollow">iness thanks to its presence in" rel="nofollow">in the London commodities markets. Malaysian conglomerate, Sime Darby, one of the world’s biggest producers of the stuff, today offered £1.1 billion to snap up London-listed New Britain" rel="nofollow">in Palm Oil, a sustain" rel="nofollow">inable palm oil producer. The 715p-a-share offer represents a whoppin" rel="nofollow">ing 85% premium to yesterday’s closin" rel="nofollow">ing price, for a firm that has flown under the radar of most in" rel="nofollow">in the City. The vegetable oil, popular in" rel="nofollow">in Africa and south-east Asia, has recently attracted negative press from environmental groups as forests are often cleared to make way for palm trees. New Britain" rel="nofollow">in Palm Oil, which has palm fields in" rel="nofollow">in Papua New Guin" rel="nofollow">inea, produces its wares in" rel="nofollow">in an environmentally friendly way. Its position in" rel="nofollow">in London gives Sime Darby a foothold in" rel="nofollow">in Europe, where demand for palm oil is growin" rel="nofollow">ing fast. New Britain" rel="nofollow">in Palm Oil leapt 288.5p to 675p. News of the blockbuster deal boosted Dekel Oil, an Ivory Coast-focused palm oil producer, 0.1p to 1.47p, amid hopes of further consolidation in" rel="nofollow">in the sector. Optimism in" rel="nofollow">in US and Asian markets overnight helped the Footsie shrug off its recent gloom, addin" rel="nofollow">ing 46.15 poin" rel="nofollow">ints to 6528.39. Traders poin" rel="nofollow">inted to dovish sentiments in" rel="nofollow">in the latest Federal Reserve min" rel="nofollow">inutes. Comments from the Fed expressin" rel="nofollow">ing concern about the strength of the dollar also helped gold prices, givin" rel="nofollow">ing a welcome lift to producers. Fresnillo added 43p to 766.5p, Randgold Resources climbed 290p to 4341.5p, Antofagasta put on 22p to 696.75p, Polymetal International improved 23p to 493.9p and African Barrick Gold rose 6.1p to 206.2p. Egyptian gold producer Centamin" rel="nofollow">in, up 2.85p at 60.57p, was lifted by third-quarter production figures, which revealed a 15% rise in" rel="nofollow">in production compared with the prior three-months. Californian, USA customer services software specialist Kofax collapsed 49.75p to 420p after missin" rel="nofollow">ing first-quarter forecasts. It was blamed on large software deals takin" rel="nofollow">ing too long to complete. 1. Explain" rel="nofollow">in the importance of in" rel="nofollow">international trade to an open economy such as the UK (This provides evidence for assessment criteria 1.1) 2. a) Defin" rel="nofollow">ine Comparative Advantage, Absolute advantage and Terms of Trade & Exchange Rate b) Assess the significance of comparative advantage, absolute advantage, the terms of trade and exchange rates to the UK economy (This provides evidence for assessment criteria 1.2) 3. Taken that the balance of payment of a country “Sangala” comprises the followin" rel="nofollow">ing main" rel="nofollow">in items (all figures in" rel="nofollow">in millions of £): exports of goods 400; imports of goods 500; government (in" rel="nofollow">invisibles) -150; other in" rel="nofollow">invisibles +200; in" rel="nofollow">investment and other capital flows -45. Describe the structure of the balance of payments and calculate the: a. Visible trade balance, b. Current balance and c. Balance for official fin" rel="nofollow">inancin" rel="nofollow">ing. (The above provides evidence for assessment criteria 1.3) 4. What is Surplus and Deficit in" rel="nofollow">in an economy? a. Explain" rel="nofollow">in the terms ‘surplus’ and ‘deficit’ b. Explain" rel="nofollow">in the significance of long-term deficits to open economies (This provides evidence for assessment criteria 1.4) Task 2 (LO2 AC 2.1, 2.2, 2.3, 2.4) LO2: Understand the economic rationale underpin" rel="nofollow">innin" rel="nofollow">ing the European Union (EU) Task 2a Productivity growth has in" rel="nofollow">increased in" rel="nofollow">in Central and Eastern European countries relative to Western European countries. This has implications for the real exchange rate. Let’s look at the Czech Republic versus France (suppose they are the only two European countries). For your task you are required to explain" rel="nofollow">in the role played by exchange rates in" rel="nofollow">in European busin" rel="nofollow">iness. (This provides evidence for assessment criteria 2.1) Task 2b The Euro is a sin" rel="nofollow">ingle currency arrangement that came in" rel="nofollow">into theoretical operation between 11 members of the European Union in" rel="nofollow">in January 1999. On January 1st 2002, 12 EU members got rid of their own currencies and in" rel="nofollow">introduced the Euro as their sole currency. A sin" rel="nofollow">ingle currency means that there are no longer separate national monetary policies, and in" rel="nofollow">instead a new central bank has been set up – The European Central Bank – that conducts a Europe wide monetary policy, in" rel="nofollow">in particular the settin" rel="nofollow">ing of in" rel="nofollow">interest rates. That means a loss of separate national monetary policies – in" rel="nofollow">interest rates and exchange rates. Should Germany want to in" rel="nofollow">introduce an economic policy to fight back again" rel="nofollow">inst unemployment, it cannot do so as this can only come from the European Central Bank. For your task you are required to analyse the advantages attributed to the adoption of a sin" rel="nofollow">ingle European currency. (This provides evidence for assessment criteria 2.2) Task 2c Explain" rel="nofollow">in the difference between free trade and protectionism and the role played by tariffs, quotas and deregulation within" rel="nofollow">in the EU. (This provides evidence for assessment criteria 2.3) Task 2d One of the foundin" rel="nofollow">ing prin" rel="nofollow">inciples of the European Union is the freedom of movement of workers (Article 39 of the Treaty establishin" rel="nofollow">ing the European Community). The free movement of workers is essential for the creation of an area without in" rel="nofollow">internal frontiers, and for the strengthenin" rel="nofollow">ing of economic and social cohesion as well as active European citizenship in" rel="nofollow">in creatin" rel="nofollow">ing wealth for the economic development. Despite these obvious returns geographic and occupational mobility rates are still relatively low in" rel="nofollow">in the European Union, both within" rel="nofollow">in and between countries. For in" rel="nofollow">instance, on average between 2000 and 2005, workers’ mobility within" rel="nofollow">in EU Member States (regional mobility) amounted to only one per cent each year. This is much lower than mobility rates across Australian territories and US states, which exceed two and three per cent, respectively (Adapted from European Commission, 2007). For your task you are required to evaluate the importance of geographic and occupational mobility in" rel="nofollow">in wealth creation for EU member countries. (This provides evidence for assessment criteria 2.4) Task 3 (LO AC3.1, 3.2, 3.3) LO3: Understand the role of the major EU in" rel="nofollow">institutions. Task 3a The Communities Act 1972, which gives legitimacy to the UK’s membership of the EU is under threat. Mr Cameron, the UK Prime Min" rel="nofollow">inister, has promised a referendum by 2017 to allow the British people decide whether or not the UK should remain" rel="nofollow">in in" rel="nofollow">in the EU. If the majority vote is for the UK to pull out of the EU, it means that the Communities Act will be repealed and the UK will no longer be a member of the EU. One of the overarchin" rel="nofollow">ing arguments behin" rel="nofollow">ind the referendum is that the UK seem to have relin" rel="nofollow">inquished too much powers to the EU, through the main" rel="nofollow">in EU in" rel="nofollow">institutions. Read widely and in" rel="nofollow">investigate further the facts above and answer the followin" rel="nofollow">ing question: 1) Advise the UK government on what role the main" rel="nofollow">in EU in" rel="nofollow">institutions play in" rel="nofollow">in the determin" rel="nofollow">ination and legitimisin" rel="nofollow">ing of EU policy; and briefly discuss whether there is any veracity to the argument that the UK has relin" rel="nofollow">inquished too much powers to these in" rel="nofollow">institutions. (This provides evidence for assessment criteria 3.1) Task 3b A fictitious directive 267/14 was issued by the EU to all member states on 1 October 2014. It prohibits the export of fire arms out of the EU. The UK government has come to you for advice as they are concerned that if they implement this directive, they will be in" rel="nofollow">in breach of their contract with a non-EU country to whom they supply fire arms. The contract is due for renewal on 1 October 2015. Consider the scenario above and answer the followin" rel="nofollow">ing questions 2) Advise the UK government on the function of EU directives and whether or not you thin" rel="nofollow">ink they will be in" rel="nofollow">in breach as described above. Further, should the UK decide to ignore the directive, what consequences, if at all, do you thin" rel="nofollow">ink may follow. (This provides evidence for assessment criteria 3.2) 2) What are the main" rel="nofollow">in EU fundin" rel="nofollow">ing streams? Evaluate their structure and purpose. (This provides evidence for assessment criteria 3.3) Task 4 (LO AC4.1;4.2;4.3;4.4) LO4: Be able to develop an action plan for a specific UK company (Wonga) wishin" rel="nofollow">ing to trade within" rel="nofollow">in the EU. Read the case study below and further research, complete the questions that follow. A Slap Down of Italy and France Over Budget "France and Italy pressed for an easin" rel="nofollow">ing of budget restrictions to stimulate growth and cut unemployment in" rel="nofollow">in Europe, but won no concession from the German Chancellor Angela Merkel, who in" rel="nofollow">insisted that countries had to move faster on reforms. The difference over budgetary policy overshadowed the Milan meetin" rel="nofollow">ing of EU leaders on how to create jobs, as the multi-year budget plans of both France and Italy seemed likely to be rejected by the European Commission because of their fiscal backslidin" rel="nofollow">ing. While government leaders and EU officials agreed on the need to tackle record youth unemployment, which has exceeded 40 per cent in" rel="nofollow">in several Eurozone countries, they seemed no closer on the policy prescriptions. Respondin" rel="nofollow">ing to a prior call by Hollande for Germany to exploit its trade surplus and balanced budget to adopt more expansionary policies, Angela Merkel said her country had already taken steps to boost domestic demand by 15bn Euros" (City AM 10 Oct.2014) Tasks 1) Produce a profile of the EU as a tradin" rel="nofollow">ing bloc and discuss its importance to member states. (This provides evidence for assessment criteria 4.1) 2) Evaluate the significance of: a) Lin" rel="nofollow">inguistics, b) Cultural, c) Logistical and d) Environmental barriers to EU operations; and e) Briefly, explain" rel="nofollow">in how these factors may in" rel="nofollow">influence as barriers to the national budgets of the member states. (This provides evidence for assessment criteria 4.2) 3) Carry out an audit of possible EU fundin" rel="nofollow">ing streams that may be available and relevant directives to support companies in" rel="nofollow">in France or Italy durin" rel="nofollow">ing their fin" rel="nofollow">inancial situation in" rel="nofollow">in the case study. (This provides evidence for assessment criteria 4.3) 4) Produce an action plan which lists the actions necessary for Wonga to begin" rel="nofollow">in an in" rel="nofollow">investment venture in" rel="nofollow">in EU. (This provides evidence for assessment criteria 4.4) Indicative readin" rel="nofollow">ing for learners Textbooks The books are aimed at undergraduates and are expensive. They are best for dippin" rel="nofollow">ing in" rel="nofollow">into. Czin" rel="nofollow">inkota M R, Ronkain" rel="nofollow">inen I A and Moffett M H – International Busin" rel="nofollow">iness (Thompson Learnin" rel="nofollow">ing, 1998) ISBN 0030223784 Czin" rel="nofollow">inkota M R – Fundamentals of International Busin" rel="nofollow">iness (Cram101 Textbook Outlin" rel="nofollow">ines, 2003) ISBN-10 1428805521 Monir Tayeb – International Busin" rel="nofollow">iness: Theories, Policies and Practices, (Fin" rel="nofollow">inancial Times/Prentice Hall, 2000) ISBN-10 0273637126 Morrison J – International Busin" rel="nofollow">iness Environment: Global and Local Marketplaces in" rel="nofollow">in a Changin" rel="nofollow">ing World (Palgrave Macmillan, 2006) ISBN 1403936919 Wild J and Kenneth Wild – International Busin" rel="nofollow">iness, The Challenges of Globalization (Prentice Hall, 2007) ISBN10: 0135032814 Journal Journal of International Busin" rel="nofollow">iness Studies (Palgrave Macmillan) Newspapers The Economist The Fin" rel="nofollow">inancial Times Websites http://europa.eu Website of the European Union http://news.bbc.co.uk provides up-to-date country profiles www.bbc.co.uk/learnin" rel="nofollow">ing/subjects/busin" rel="nofollow">iness_studies.shtml A changin" rel="nofollow">ing bank of learnin" rel="nofollow">ing resources and up to date case studies. This site also has lin" rel="nofollow">inks to other useful sites www.britishchambers.org.uk British Chambers of Commerce site for exportin" rel="nofollow">ing www.busin" rel="nofollow">inesslin" rel="nofollow">ink.gov.uk Busin" rel="nofollow">iness Lin" rel="nofollow">ink site for importin" rel="nofollow">ing and exportin" rel="nofollow">ing www.cadbury.co.uk Cadbury