INTERNATIONAL BUSINESS Lesson 4.1 12/26/2018 LESSON 4.1 INTERNATIONAL BUSINESS Explain the difference between imports and exports Describe three barriers to international trade INTRO TO BUSINESS

Trade with Other Nations 4.1 Trade with Other Nations Imports Goods and services that U.S. companies buy from other countries Exports Goods and services that U.S. companies sell to other countries

Trade with Other Nations 4.1 Trade with Other Nations

4.1 Balance of Trade A country’s balance of trade is the difference between its exports and its imports Positive balance of trade Exports > Imports Negative balance of trade Imports > Exports

International Currency 4.1 International Currency The exchange rate is the value of a currency of one country compared with the currency of another country.

International Currency 4.1 International Currency

Barriers to International Trade 4.1 Barriers to International Trade A quota is a device governments use to regulate international trade that sets a limit on the quantity of a product that can be imported or exported. Examples: Sugar and products with more than 65% sugar content Tobacco Peanuts and peanut butter Many specific dairy products (e.g. powdered milk, baby formula) Cotton Beef Animal feed Anchovies Wire rod Ethyl alcohol Olives Mandarin oranges Tuna Brooms

Barriers to International Trade 4.1 Barriers to International Trade A tariff is a tax a government places on certain imported products to cause the price of those products to increase in the country’s markets. Current tariffs: Same items that have quotas

Barriers to International Trade 4.1 Barriers to International Trade An embargo is a device governments use to regulate international trade that completely stops the export or import of goods or services. Some Countries on US list: Iran North Korea Syria Cuba

GOVERNMENT IN THE U.S. ECONOMY Lesson 4.2 12/26/2018 LESSON 4.2 GOVERNMENT IN THE U.S. ECONOMY Explain the ways a government protects citizens and businesses Describe the ways in which a government acts as a business INTRO TO BUSINESS

Government as a Protector 4.2 Government as a Protector Governments enact laws that protect individuals and businesses in the marketplace.

4.2 Enforcing Contracts An agreement to exchange goods and services for something of value, usually money, is called a contract. To be enforceable, however, contracts must include the following basic elements: Agreement Competent parties Consideration Legality

Protecting Intellectual Property Rights 4.2 Protecting Intellectual Property Rights Intellectual property is purely intangible, with no physical characteristics—a person cannot touch it. Intellectual property includes: Patent Copyright Trademark

Regulating Public Utilities 4.2 Regulating Public Utilities A public utility is an organization that supplies a good or service that all citizens need and use. These needs include: Local telephone service Water Gas Electricity

Government as a Business 4.2 Government as a Business Buying goods and services Employing workers Raising revenue Borrowing money

BUSINESS ETHICS AND SOCIAL RESPONSIBILITY Lesson 4.3 12/26/2018 LESSON 4.3 BUSINESS ETHICS AND SOCIAL RESPONSIBILITY Explain the importance of business ethics Describe how businesses can be socially responsible INTRO TO BUSINESS

4.3 Business Ethics Ethics are the principles of conduct governing an individual or group. Business ethics are rules about how businesses and their employees are expected to behave. A code of ethics is a set of rules for guiding the activities of employees or members of an organization.

4.3 Code of Ethics

Examples of Topics Covered in Codes of Ethics 4.3 Examples of Topics Covered in Codes of Ethics Protecting confidential business information Treating others with respect Showing integrity in all business conducted

Ethical Conduct Setting a good example 4.3 Ethical Conduct Setting a good example Doing business in other countries Educational programs

Social Responsibility 4.3 Social Responsibility Social responsibility refers to the duty of a business to contribute to the well-being of the community and society at large. When a company tries to be socially responsible, it must consider the interests and concerns of many groups.

Common Social Concerns 4.3 Common Social Concerns Protection of the environment Inclusion of minorities and women in the workplace Employment of physically challenged and older workers Safe and healthy work environments

Environmental Protection 4.3 Environmental Protection Conservation is preserving scarce natural resources. When the environment is contaminated with by-products of human activity, the result is pollution.

Environmental Protection 4.3 Environmental Protection

4.3 Workplace Diversity Businesses are increasingly sensitive to the roles of women, ethnic groups, the physically challenged, and older workers in the workplace. Members of these groups must have equal access to education, training, jobs, and career advancement.

Workplace Diversity - Women 4.3 Workplace Diversity - Women

Workplace Diversity - Ethnic Groups 4.3 Workplace Diversity - Ethnic Groups

Workplace Diversity - Physically Challenged & Older Workers 4.3 Workplace Diversity - Physically Challenged & Older Workers Physically Challenged Older Workers Protected by the ADA (Americans with Disabilities Act of 1990. Protected by the Age Discrimination in Employment Act (ADEA) forbids age discrimination against people who are age 40 or older.

Job Safety Safe place to work Training 4.3 Job Safety Safe place to work Training How to work safely What to do in case of an emergency Occupational Safety and Health Administration (OSHA) Health and wellness

International Business Relationships 4.3 International Business Relationships Societal expectations and standards Unfair labor practices

Social Responsibility Benefits And Costs 4.3 Social Responsibility Benefits And Costs Benefits Reduces government action Improves quality of life Costs Costs reduce profit Striking a balance between the benefits and the cost of social responsibility