Reply to the two DB post 250 words a piece see attached (Must introduce a NEW CONCEPT)

Discussion Board 1

Elizabeth Carter

Liberty University

Key Concept

In this discussion post global trade trends will be discussed. Global trends are an essential part of doing business in the world today. Global trade trend is also known as international trade. It is the import and export of products and services across international borders. It is the exchange of goods between different republics. Countries can obtain goods through trade and general services. The growth of the bank's wealth management business is part of a global trend need from other countries. Countries can also earn money by selling goods or services. Goods and services that come into a country for sale are called imports. The bulk of international trade concerns physical goods, while services account for a much lower share. I have chosen this topic out of academic curiosity. (Lautier, 2014)

Comparison

Firms are domestic, exporters and international. The domestic firms only sold products in the same country. The exporting firms sold its good and services overseas. The goods were usually bought from another firm. Goods were also sold. The international market sales goods that were produced domestically or on foreign soil and then sold either domestically or in other countries. Policies and procedure in the way domestic firms deal internationally must be clear cut. Regulations and laws will need to be adhered to when conducting international trade. Purchase agreements are closely scrutinized. If not adhered to properly a firm can face fines or jail time. Unto a stranger thou mayest lend upon usury; but unto thy brother thou shalt not lend upon usury: that the Lord thy God may bless thee in all that thou settest thine hand to in the land whither thou goest to possess it. (Deuteronomy 23:20, KJV)

Global trend producers can be classified into joint ventures, partial ownerships and foreign subsidiaries. A joint venture is a strategic alliance where two or more parties form a partnership. They share markets, intellectual property, assets, knowledge, and profits. A joint venture is different from a merger in the fact that there is no transfer of ownership. A joint venture is an arrangement in where two or more entities agree to join their resources to achieve a specific task. This task can be a new venture or one already in place. A partially or wholly owned firm is part of a larger corporation with its main office in another country. Foreign subsidiary firms are incorporated under the laws of the country it is located. (Cepparulo & Giuriato, 2016)

Global firms are companies that have multinational branches and headquarters in many other countries. They are also called International Firms. It is different from a locally based company selling its products globally or to other countries. The term is used describe firms that operate internationally. A global company is the opposite of a domestic business which only operates in one country. Global firms are also known as multinational corporations, or MNCs. A company extends internationally to become global to gain greater entry to a wider customer base and revenue streams

International trade in goods declined considerably in 2015, while trade in services was more buoyant. The bulk of international trade concerns physical goods, while services account for a much lower share. World trade in goods has increased from about $10 trillion in 2005 to more than $18.5 trillion in 2014 to then fall to about $16 trillion in 2015. Trade in services greatly increased between 2005 and 2015 from about $2.5 trillion to almost $5 trillion. The value of trade in goods is nearly the same in developing and developed countries. (Lobb & Roscini, 2015)

Article Summary

I chose the article Trends in global trade management by Claire Umney. This article discusses the advancement in technology that will lead to consumers spending more money. Smart phones have added to the increase in purchases. The availability of online purchases has changed the way consumers behave. Consumers have put pressure on businesses to have product readily available and become more specific of what they want.

The article also discusses how high fuel cost will cause a business and the increase in global trade has affected decision making. Decisions must be made about what to keep in stock, where to establish factories and how to ship merchandise to air freight or some cheaper options. With the new pressures and demands of global trade supply chain management should be increased.

The explanations given for an end-to-end supply chain management solution is the need for a common platform, process improvement, data visibility, reduced operating cost, increased customer responsiveness, and improved strategic decision making. The best practices for obtaining these goals are to not forget the big picture, integrate, staff training, optimize supply chain, study data, and to use the continuous improvement process. Global trade management is an ever-moving target, and market conditions are constantly changing. New considerations will come into play and new markets with unique features will open. (Umney, 2014) )

Application

Global Trade Trends are applied in many ways. With the advancement of new technology, it has influenced the way we do business worldwide. We can simply buy merchandise internationally, by way of the internet, through our computers or with our smart phones. Global trade is also applied in how we sell our products. Whether it be in the shipment of merchandise through air freight, ground transportation or what type of global firm we use. Global trade trends will require businesses to more versed in international trade laws. Increase in competition will be on the rise as more businesses enter the international market. Other challenges will be in the form of lower labor cost in the developing nations compared to higher labor cost in the United States. With the proper implementation of supply chain management, a business firm can become very successful. (Kaplinsky & Santos, 2005)

Biblical Integration

Unto a stranger thou mayest lend upon usury; but unto thy brother thou shalt not lend upon usury: that the Lord thy God may bless thee in all that thou settest thine hand to in the land whither thou goest to possess it. (Deuteronomy 23:20, KJV) Cast thy bread upon the waters: for thou shalt find it after many days. 2Give a portion to seven, and also to eight; for thou knowest not what evil shall be upon the earth Ecclesiastes 11:1-6 And ye shall dwell with us: and the land shall be before you; dwell and trade ye therein, and get you possessions therein (Genesis 34:10) These scriptures tells us to invest money in foreign trade. They also state that you glorify thy father while doing so.

Annotated Bibliography

Cepparulo, A., & Giuriato, L. (2016). Responses to Global Challenges: Trends in Aid-Financed Global Public Goods. Development Policy Review, 34(4), 483-507

Founded on a forty-year span between the years of 1973-2013 this article details the OECD-Development Assistance Committee and how it gives aid to emerging and developing countries. In this article. it shows aid-financed international public goods trends, their changings and their main drivers. A constant rise in the aid-financed international public goods and a swing towards weighted-sum and weakest-link international goods are observed in this article. Monetary conditions, imitation effects, international engagement and national spending result as the key drivers of contributors' demand for aid-financed global public goods. Cepparulo and Giuriato go into some detail about matching the provision of global goods and the role it plays. Europe and Japan trade are discussed with their collective action problems related to global goods.

Kaplinsky, R., & Santos Paulino, A. (2005). Innovation and Competitiveness: Trends in Unit Prices in Global Trade. Oxford Development Studies, 33(3-4), 333-355.

Ralph Kaplinsky and Paulino Santo’s article goes into detail about developing new methods for understanding the origin of competitive advantage and innovation. Neo-Schumpeterian and evolutionary economics discuss the key importance of barrier to entry and core competencies’. The authors feel these barrier to entry can be a major problem for an organization, the article is stating that there is no one measure that reflects a barrier to entry. Technological competence was taken into consideration. Consideration in the US literature writings have been given little to no consideration. This literature writing tries to shift the process to competitive advantage in the global economy.

Lautier, M. (2014). International trade of health services: Global trends and local impact. Health Policy, 118(1), 105-113. doi:10.1016/j.healthpol.2014.07.004

This article will discuss the global trends in the healthcare industry. It goes over the local impact this industry has on the trends. According to Lautier the health care industry has made its impact on the world. New entrants are expected to upset the traditional international healthcare market and draw billions of dollars from organizations in developed and emergent countries. Global firms can either export goods or services. This form is exporting services. This article will go in depth over the trading of these health services. The article also covers some health and trade policies incorporated in these trade agreements.

Lobb, A., & Roscini, D. (2015). Evolving Trends in Global Trade. Harvard Business School Cases, 1.

This article explores international trade. Lobb and Roscini give a historical account of the regulations of international trade roughout the years. It explores the period from World War II to present day developments of 2010. The policies on trade and the theories surrounding them are discussed in great detail. Its intent is to become more comprehensive is touched upon slightly. This is intended to be historically comprehensive. This article will discuss some key advantages and disadvantages of multilateral vs. bilateral. Plurilateral agreements were also discussed briefly being that they are becoming more common amongst trading partners. Lobbs and Roscinis’s article go over policies and procedures that that explain the evolution of international trade.

Umney, C. (2014). Trends in global trade management. Operations Management (1755-1501), 40(2), 38-40.

In this article Ms. Umney discusses the trends in global trade management. Claire gives her expertise as a CEO of an international business to give her vantage point on international trade. It goes over briefly the advancement in technology that will lead to consumers spending more money. Incorporated in the new technology has been the Smart phone and computers. They have been used to increase in global purchase. Availability of online purchases has changed consumer attitudes and the way we do business. Consumers have put pressure on businesses to have product readily available and become more specific of what they want. This article discusses the various ways we trade internationally,

References

Cepparulo, A., & Giuriato, L. (2016). Responses to Global Challenges: Trends in Aid-Financed Global Public Goods. Development Policy Review, 34(4), 483-507

Kaplinsky, R., & Santos Paulino, A. (2005). Innovation and Competitiveness: Trends in Unit Prices in Global Trade. Oxford Development Studies, 33(3-4), 333-355.

Lautier, M. (2014). International trade of health services: Global trends and local impact. Health Policy, 118(1), 105-113. doi:10.1016/j.healthpol.2014.07.004

Lobb, A., & Roscini, D. (2015). Evolving Trends in Global Trade. Harvard Business School Cases, 1.

Umney, C. (2014). Trends in global trade management. Operations Management (1755-1501), 40(2), 38-40.