Phase 1 Individual Project
Global Managerial Economics
Professor Art Vaughn
Colorado Technical University Online
25 August 2014
The World Bank and the International Monetary Fund were brought into existence at a formal meeting in Bretton Woods, New Hampshire in 1944. The World Bank and the IMF is a group of companies that can assist countries with the means of advancement in the form of a loan, guidance and exploration into a better, more successful economy after World War II this was a big help with capital. Supply and Demand drives the cost of goods lower as countries make more products thus the regional businesses lose money, assuring a supply of cheaper products to overseas markets. Expanding internationally may also drive other companies out of business.
Gross Domestic Product (GDP) means the monetary value of all finished goods and services created inside the country's confines in a given time period even though GDP is almost always determined once a year. This is the government spending, exports minus imports transpire inside a distinct area and investments, utilization both public and private. Net exports that can be either negative or positive will change the Gross Domestic Product, by showing an increase in GDP if net exports are positive and shows a decrease in the GDP net exports are negative. The higher the Gross Domestic Product the better. A business owner knows that the Gross Domestic Product is going the biggest part of the company's income.
As an organization functioning in a number of countries yet governed by a solitary country multinational corporations divided into four areas known as a Multinational, decentralized (the passing on the control from the dominant authority to the local international company) A Global, centralized company also called "command and Control" (chron.com) gains price lead by means of combined manufacturing in a place where everything is cheaply obtainable. An International...