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Using the knowledge has been learned in the course of International
Business Management to answer the question or comment below:
1. In the current conditions, any professional business leaders would also have
to have a global vision and extensive knowledge of international economic
integration.
2. Before the trend of trade liberalization, the provisions on technical
standards for many countries increasingly being used as an effective tool to protect
domestic producers.

1


TABLE OF CONTENT

TABLE OF CONTENT............................................................2
RESEARCH OF CONTENT.....................................................3
1. In the current conditions, any professional business leaders would also
have to have a global vision and extensive knowledge of international economic
integration.................................................................................................................3
1.1 The impact of globalisation, international economic integration..........3
1.2 Professional leaders..............................................................................6
1.3 Professional leaders before the international economic integration......7
2. Before the trend of trade liberalization, the provisions on technical
standards for many countries increasingly being used as an effective tool to protect
domestic producers....................................................................................................9
2.1 Urgency the technical standards before trade liberalization trends.......9
2.2 Classification of technical standard used before trade liberalization
trends................................................................................................................... 10
2.3 The purpose of the technical standard used before trade liberalization
trends................................................................................................................... 10
2.4 Technical barriers in trade liberalization.............................................10



LIST OF REFERENCES........................................................13

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RESEARCH OF CONTENT
1. In the current conditions, any professional business leaders would also have to
have a global vision and extensive knowledge of international economic
integration.
1.1 The impact of globalisation, international economic integration
The development of the productive forces has led to a huge trend dominated
the development of the modern world, which is the process of globalization. A review
on the nature of globalization is the process of dramatic increases the link effects,
mutual impact on all sectors of economic life, society, politics among nations, peoples
around the world. In the content on the globalization just as the center, as well as
motivate the process of globalization in other areas. In essence, globalization is the
rapid increase in economic activities beyond national borders and regions, posing a
subject among other economies in the development towards a world economy
integration and unity.
Elements of liberalization to reproduce society worldwide through trade
liberalization is becoming an important content of international economic processes.
The goal of most economic institutions multilateral and bilateral trade, in particular
the WTO, both solve the problem of access to markets through its commitment to
trade liberalization. This is the process of gradual lifting of barriers in trade, the
Elimination of the discrimination, the creation of equal competition, which aims to
make trade operations on the increasingly international scope of freedom rather than
through the gradual reduction of tariffs; reduced, proceed to remove the fence tax-free,
as import quotas, import permits, foreign exchange management, import surcharges,
the fees and many other intangible obstruction; ensuring fair competition and nondiscrimination.

Promote liberalized financial operations and international investments are
promoted. Globalization in the financial sector is being promoted through the
widespread liberalization of national financial transactions and the development of the
international financial market, towards a financial markets worldwide. Financial
liberalization consists of the basic content, such as loosening credit controls; interest
rate liberalization; Join liberalization the banking and financial services all over the
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world, regardless of frontiers; the liberalization of international capital flows. This
process led to the system of national financial background and subject integration,
impact each other increasingly powerful.
Businesses have access to cheaper imported inputs will facilitate reducing
costs, increasing competitiveness. In terms of State carried for protection against an
industry that will result in the price of goods of that sector was higher than the market
and hence the relevant disciplines, particularly the use of products of the industry are
protected as raw materials production will have to bear the costs of major inputs. But
thanks to the removal of barriers to the flow of traffic of goods, services, capital, and
the price of the inputs of production process, sales in terms of competition will tend to
fall due to not/or reduce the cost for the import. As a result, trade liberalization
contributed to reduce the cost and increase the competitiveness of goods and services
of the business. Free trade also allows businesses to reduce the costs of business
transactions, thanks to the common principles are consistent.
On the positive side, international economic integration and contribute to
improving the competitiveness and business efficiency of the business. In the process
of integration, the protection of the State for business will have to decline under the
international commitments, sparking strong competitive pressure from outside, this is
a huge challenge, but also an opportunity for businesses to assert themselves. Because,
reducing the State's protection will pressurize and impetus to businesses to Vietnam
forced innovation management, technology, business, manufacturing improvements to

enhance efficiency and competitiveness to survive in the market. Enterprises have
been favorable business environment and both on the domestic and world markets.
The rules and regulations of the institutions of international economic links are
guaranteed for enterprises get access market, investment and production, business
with stable conditions, transparent and capable of predicting in advance. International
economic integration is also creating many opportunities for businesses to Vietnam
access to technology, modern techniques, learn the experience of production
management, advanced business of the country, thereby contributing to the
strengthening of management and production business. In theory, the international
economy is beneficial to all countries. However, in practice the benefit of this process
is to divide unevenly, it depends on the economic competitiveness of each country. In
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other words, the global economy led to the unfair distribution of economic benefits
and opportunities between regions, countries and populations. So it adds the status
inequality, deepen poverty distinction between countries.
On the negative side, the world economy can bring to the ill effects to the
economy of the country, including the rich Nations and the poor. Because, it brought
to status competition, raises the issue of bankruptcy, unemployment, exacerbating the
problem of the social labor. International economic trend is ever growing, the
unemployment rate will increase in some countries. The movement against
globalization was going pretty strong, especially populations suffered the negative
effects of the international economic processes, such as farmers, ranchers,etc,...
The developing countries are currently facing the increasingly fierce
competition and unequal in the commercial-economic relations. Trade liberalization
involved forcing all countries to adopt "the rules" freedom of competition, that is, to
open the market, lifted the tariffs and non-tariffs for goods and services abroad, the
removal of investment restrictions. In most of the economies of the developing
countries are still at a lower level then the freedom this competition put them in front

of the gigantic challenge.
The international economy opens up the opportunity to enlist outside resources,
the main dilemma that again imply the possibility depends greatly on the outside of
the country. This dependency level shown on the two main targets is the proportion of
trade in the total GDP and rate of foreign capital, especially short-term capital in total
investment to grow. This dependence cornered the situation facing many risks due to
fluctuations in the market, prices, even the conflicting issues of politics, ethnicity in
somewhere in the world.
The business will be subject to increased pressure of competition of imported
goods and foreign service providers in the domestic market. Because, as integration
with the regional economy and the world, the domestic market is "open", the tariff
barriers as well as tax-free are being reduced and eliminated, the foreign companies
are free to trade, supply of goods and services such as domestic enterprises on the
basis of equality, not discrimination. Besides, the traditional support of the State's very
popular for businesses in subsidized economy such as grants, subsidies, export credit
support incentives, rewards, exclusive export business ... well have to gradually cut,
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delete. While the goods and services imported by foreign countries offer variety, rich
with quality and lower prices, the "capital" more seasoned and experienced in
international competition, has not spoken to the General Psychology of the consumer
is largely "toward foreign goods." Many businesses in the country are at risk of losing
its market share, even bankruptcy.
Huge difficulties for enterprises in the process of integration is the
competitiveness of the product, the service of Vietnam businesses also weak compared
with other countries in the region and the world. This is reflected in the levels of
knowledge and technology in the product are low, capital factors in the structure of the
product is not high, based mainly on the labour factor or natural conditions, while the
advantage of the present labour are diminishing. The quality of goods and services in

general is not good; yet the rich variety of types; no goods or services were
remarkably strong position on the world markets thanks to the quality and strong
brand,etc,...
1.2 Professional leaders
Professional leaders who possess the characteristics:
Professional leaders who are visionary. A vision that will help lead the front
line operational long term strategies, foresee fluctuations may occur in the future in
order to prepare, find ways to adapt and take the chance. They are evaluated based on
competencies and results of work. They will use the numbers, facts, achievements,...
do not measure by other roads
Professional leaders who know how to create the relationship. This is the most
basic element of professional leaders. They are known to build good relationships
with other people, giving them the trust and convey to them the real reason
convincing. The main key to success is to establish relationships, accept the
differences and create mutual trust. To create the trust is very difficult by the need to
have the time, results. So, need patience, never the illusion that things will succeed
only in on a day two.
Professional leaders who are oriented to specific goals. All efforts of
professional leaders become meaningless if they do not have clear objectives. In other
words, as if they don't know their craft go about anywhere, whether that leaders have
tried to do is still useless. Therefore, leaders should determine the goals of the group,
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of the room or of the whole company before embarking on the task of a leader.
Actually, this is nothing difficult to understand by a learning orientation, specific
purpose, the leaders will make appropriate strategies, motivate everyone to strive for.
Professional leaders are rich in skill. They understand better than anyone the
importance of soft skills. Therefore, in that they are always available to the skills for
each specific work in each particular circumstance: skills in strategic planning,

organizing, setting goals, analysis and decision making, problem solving,
communicating effectively in communications, writing skills, presenting outstanding
presentationstime management,etc. A professional leader always knows how to
manage stress to balance life and work,etc,...
Professional leaders who are more experienced. No one has more experience
with the experience from the fact itself as a leader. The way from a normal leader to
become a professional leader is not easy, not easy for a lot of money, a lot of high
academic qualifications or "long life" is can become a professional leadership. A
professional leader has had to constantly try to learn and experience from low to high
elevation, from small scale to big scale, from simple to complex and from failure to
success,etc,... Each experience was the leaders analyze, unplug the trimmed and
developed the knowledge value of a professional leader. They've turned their thoughts,
actions, positive experience into positive action as the captain leading the way.
Professional leaders who have lived and worked hard. A professional leader
with a good leader. A good leader can run a growing company, high returns but have
yet to make the business of interest to society and also damaging to society. But a
professional leader is not only good at strategy, governance, good business but also
has a positive life attitude, of interest to the community and social responsibility. They
business because the philosophy "the highest purpose of business is not situated in the
accumulation of property that is in the creation of benefits to everyone".
1.3 Professional leaders before the international economic integration
In the current conditions, any professional business leaders would also have to
have a global vision and extensive knowledge of international economic integration.
Today, when the economy is further developed in the context of globalization, a
business want to stand firm on the market should have the appropriate trading strategy.
And to further success, arrived at the business to business strategy innovation7


innovation in thinking and field orientation, geographical areas, ways and resources to
business to compete, survive and grow even more. The majority of businesses

consider the construction business strategy is one of the top tasks. Leaders of large
businesses every year using up to 40% of the time to conduct research in order to give
appropriate business strategy for your business. If a company fails to innovate means
businesses are in the flow of time. A business is not subject to change, not to invest in
creativity will surely be far behind compared with other enterprises and compared
with high demands of society. Once there, the opportunities will slowly flicking
through, and businesses heading to lag and soon was wiped off the market is fierce.
At the same time, business strategy also involves the vision and purpose of the
business – by the strategy is essentially the planning direction aims to have in place.
Of vision, target every business has the distinction-have seen business focus is to
increase sales, gained market share on the market; There are businesses back selecting
increase profit ... by such business strategy of every business will also differ. A
selection of high profits is the strategic objectives will focus on serving the customer
or market segment with high profit products with high value or outstanding cost
performance. Conversely, if the target option to grow market share, enterprises must
diversify product lines to attract customers in many different market segments.
However over here can see, innovative business strategies are oriented, vision,
objectives; but in case of necessity, may have to consider readjusting the vision,
objectives accordingly.
Can business leaders Free to innovate business strategy to form organized as
well as innovative business practices, adapt to the new era; but in the context of the
current volatile, should pay attention to the core and fundamental values of the
business.
Business leaders need to know to balance the short-term pressure to show
immediate results while keeping the link with long term vision and especially need to
maintain the focus relentlessly on our customers. Any change of strategy would also
have to be based on identifying and correct understanding of the needs of the
customer. When you have determined the correct key customers, business leaders can
concentrate existing resources necessary to meet the needs of our clients and minimize


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the amount of resources available to others. This will bring the success that the
competitive advantage.
Finally, a further problem need to consider-these are the conditions for
renewing the strategy for business success. The most important elements to ensure the
success of the innovation strategy is: to adapt to market demand as well as the
capacity of private enterprises, and also offers technical superiority, and the
commitment, backed by business leaders.
2. Before the trend of trade liberalization, the provisions on technical standards
for many countries increasingly being used as an effective tool to protect
domestic producers.
2.1 Urgency the technical standards before trade liberalization trends
In more recent years, more and more countries adopt the regulations, technical
standards in international trade activities. It has a tremendous effect in protecting the
rights of consumers about the safety of use, product sales through consumer product
quality is guaranteed. Stemming from this tremendous effect, countries are
strengthening construction and implement a policy that includes the regulations and
technical standards applied in commercial activity in the country as well as in
international trade.
When a country wants to export their products to foreign countries, in addition
to products that meet the rules, technical standards and is in line with the regulations
and technical standards of importing countries. This is crucial to the country's
products that have been exported or not as it may be the market of imported water to
accept or not. This has raised required conformance, compatibility between
regulations, technical standards of different countries. To achieve the necessary
compatibility between regulations, technical standards of different countries require
huge expenditures such as the cost of translation of the regulations, the technical
standards of foreign countries; the cost to hire a foreign technical experts to explain,

explains the rules, technical standards that; cost adjusted domestic product to conform
to the regulations, foreign technical standards,etc,... In addition, the manufacturer
must prove that their products meet the requirements of the regulations, technical
standards. All of the charges, the procedure requires the manufacturer to throw out a
huge cost as well as time consuming. Even, these costs also increased a lot when
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exporting our products to many countries imports vary by each country to enact and
adopt a set of regulations, specific technical standards.
2.2 Classification of technical standard used before trade liberalization trends
+ Technical regulations. It is these provisions compulsory for the parties
involved. That means if the imported product does not meet the technical regulations
will not be allowed to sell on the market.
+ Technical standards. In contrast to the technical regulations, technical
standards are in place primarily with recommendations, i.e imported products sold on
the market as soon as the fish products that do not meet technical standards.
+ The procedure to evaluate the conformity. The procedure for assessing the
conformity of the technical procedures such as inspection, testing, inspection and
certification of conformity of the product with the rules, technical standards.
2.3 The purpose of the technical standard used before trade liberalization trends
Protect the health and safety of consumers.
Protection of plant and animal life.
Protection of the environment.
Prevent the incorrect information.
Other purposes related to the provision of quality goods
The purpose of national politics, etc.
2.4 Technical barriers in trade liberalization
Standing in front of the trend of globalization, tariffs no longer work, in order
to protect domestic production as well as be able to compete with the international

economy, the country has to use tariffs and non-tariffs to deal with the negative impact
of the globalization trend.
Tariffs is just the tax on goods for export and import. Tariffs with two main
purposes are: contributing to guarantee revenues for the State budget; and protection
of domestic production. By high taxes on imported goods, the State created the
pressure increase the selling price of imported goods, thereby helping domestic
producers have the advantage of competing on price with the imported goods. As
such, the tariff barrier is economic in nature for imported goods.
In addition to tariffs, imported goods from this country to another country can
face the fence tax-free. Under the impact of the trend of globalization, tariffs proved
10


no longer work, the country began to focus on non-tariff barriers, which is particularly
respected the rules on technical standards. Fence tax-free is understood as ways of
preventing or hindering goods imported but not the imported taxable. Fence tax-free
has two main groups are: administrative barriers and technical barriers.
First, the administrative barriers is the nature of the State administrative orders
to prevent or restrict the export or import. Administrative barriers including
regulations and legislation prohibited, prohibited, permits, quotas (quota), voluntary
export restraints, the percentage of localization required. Specifically:
- Prohibition of import or export bans are the legal rules that a country does not
allow the import or export of certain commodities. For those commodities have very
serious effects to human health, security, defence and the environment, the prohibition
of importing prohibited, is necessary. However, with respect to the normal if regulated
import or export bans, these are administrative measures create barriers impeding
international trade freedom.
- Import licences is one of the ways to create barriers to trade liberalization by
requiring importers to be applied to the import license for certain commodities. In
practice, the procedure has created no small barriers against imported goods.

- Quota is the maximum specified by values or by volume for goods imported
or exported during a specified period. Quotas can be specified for each
importer/exporter or regulations for each country that exported goods then this nation
back to allocate quotas for the export of that country.
- Voluntary export restraints are agreements between exporter and importer of
maximum limit values or as the mass of a certain goods exported from one country to
the other. This way almost like quotas but differs in that, while the quota is regulated
unilaterally by one country, the voluntary export restraint is the product of a bilateral
agreement.
- Localization ratio required is a way to prevent imported goods, under which a
country stipulated a certain items must reach a new localization rate to be consumed in
that country.
Second, technical barriers, it is merely the technical regulation by a national
regulation for goods. However, in many cases it is used as a way to obstruct goods in
the domestic market. Therefore, the technical standards is referred to as technical
11


barriers. In addition to the two groups of fence tax-free Orthodox nature mentioned
above, there are other barriers to unorthodox tax-free to another as the corruption of
public officials of customs, the ambiguity of the rules of origin of goods, the delay in
the implementation of the customs,etc,...
Some countries take advantage of the provisions of the agreement on TBT
( Agreement on Technical Barriers to Trade) and SPS ( Sanitary and Phytosanitary
Measures) to create barriers to imported goods that measure mainly applied new
technical barriers are difficult to meet, which is the United States of America, Japan
and the countries of the EU. For example, all products imported into the EU must
satisfy the condition of "the European standardization system". The construction of
the EU technical standards by three bodies: the Committee took charge of the
standardization of electronic engineering in Europe, the European Committee for

Standardization, European Telecommunications Standards Institute. Technical
standards system as a tax-free trade barriers of the EU were divided into five groups:
quality standards, standards of food hygiene, safety standards for users of the
standard, environmental protection and labour standards. In Japan, the agricultural
standard Law regulating the products: beverages, food processing, oil and lubricants,
agricultural products, aquatic products processing and imported into Japan are marked
with standard "Japan Agricultural Standard-JAS" (certified agricultural standards
mark of Japan). Food hygiene law of Japan apply to all goods related to food, spices,
food containers, food-processing machinery. The countries when exports of goods
related to food products into the Japanese market experiencing a lot of difficulties on
the question of food safety.
Many businesses in Vietnam also lack of understanding or embarrassing in
front of the strict technical regulation as well as the laws of the developed partners.
Therefore, it is necessary to adopt various measures to raise awareness for businesses
on measures that the developed countries are applied to protect domestic production,
especially the technical regulation and dynamic quarantine, plant. At the same time,
there is a positive aid to enterprises in Vietnam technology innovation and production
processes to meet the demands. The legal aid to enterprises working with foreign
litigation bodies when faced with anti-dumping lawsuits is also essential in order to
limit, was pressed in these cases.
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LIST OF REFERENCES
1) Course Syllabus International Business Administration, Associate Professor,
PhD. Ngo Thi Tuyet Mai, 2014.
2) Incentive tariff is valid for AFTA, Luu Dinh Khanh, 2013.
3) Trade preference agreement PTA, Nguyen Huong Mung, 2013.
4) Integration priority sectors, Luong Thu Huong, 2013.
5) Professional leaders, Tran Manh Hung, 2013.


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