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International Business, 8th Edition by Michael H. Moffett, Iikka A. Ronkainen, Michael Czinkota

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CHAPTER 15

Services

CHAPTER CONTENTS & LEARNING OBJECTIVES

DIFFERENCES BETWEEN SERVICES AND GOODS

1. To examine the important role of services in international business

THE ROLE OF SERVICES IN THE U.S. ECONOMY

2. To understand why trade in services is more complex than trade in goods

THE ROLE OF GLOBAL SERVICES IN THE WORLD ECONOMY

3. To appreciate the heightened sensitivity required for international service success

GLOBAL TRANSFORMATIONS IN THE SERVICES SECTOR

4. To learn that stand-alone services are becoming more important to world trade

PROBLEMS IN SERVICE TRADE

5. To examine the competitive advantage of firms in the service sector

CORPORATIONS AND SERVICES TRADE

6. To analyze the strategic options available for corporations in the global service market

Global Labor Mobility Outsourcing and the Worker of the Future

Globalization has had major implications for international business—from the worldwide spread of information technology and resulting productivity gains to the increased pace of internationalization and the appearance of “born global” firms. Analysts point to labor mobility as the last remaining bastion of preglobalization economics. Workers have tended to move around at a far slower pace than all the other factors of production. There are two reasons that are cited most often: (1) people are culturally embedded, that is, they have connections to their communities and familial networks, which trump the pursuit of better-paying jobs overseas, and (2) would-be migrants ...

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