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Unit One An Overview of International Business1

Ⅰ An Introduction to International Business1

1．Definitions1

2．Why Nations Trade?2

Ⅱ　History of International Trade3

Ⅲ　Protection or Free Trade?5

Ⅳ　MNCs and Globalization6

1．Global Exchange7

2．Have a Break7

Ⅴ　Effects of Technology on International Business8

Vocabulary10

Notes18

Related Terms25

Post-reading Activities28

Supplementary Reading31

Unit Two　Theories of International Business35

Ⅰ　The Age of Mercantilism35

Ⅱ The Theory of Absolute Advantage37

Ⅲ The Theory of Comparative Advantage38

Ⅳ The Factor Proportions Trade Theory40

Ⅴ The Leontief Paradox42

Ⅵ The Product Cycle Theory43

Ⅶ Protectionism46

Vocabulary47

Notes53

Related Terms57

Post-reading Activities61

Supplementary Reading65

Unit Three Economic Integration73

Ⅰ Levels of Economic Integration73

1．Preferential Trade Arrangement(PTA)74

2．The Free Trade Area(FTA)74

3．The Customs Union74

4．The Common Market75

5．The Economic Union75

6．Monetary Union75

Ⅱ European Integration76

Ⅲ North American Economic Integration78

Ⅳ Integration in Asia80

1．ASEAN Free Trade Area(AFTA)80

2．The ASEAN Plus Three(APT)81

3．Asia-Pacific Economic Cooperation(APEC)82

Vocabulary84

Notes88

Related Terms99

Post-reading Activities103

Supplementary Reading107

Unit Four Multinational Corporations114

Ⅰ The Multinational Corporate Phenomenon114

1．Definitions of the Multinational Corporation114

2．Why Do We Have Multinational Corporations?115

3．The Most Powerful Institution in the World Today116

Ⅱ Foreign Direct Investment(FDI)117

1．Definitions117

2．Impacts of FDI118

3．Major Types of FDI120

Ⅲ Technology Transfer123

1．Introduction123

2．Modes of Technology Transfer124

Ⅳ Market Entry Modes of Multinational Corporations126

1．International Joint Ventures(IJVs)126

2．Fully Owned Subsidiaries127

Vocabulary130

Notes137

Related Terms143

Post-reading Activities147

Supplementary Reading150

Unit Five Instruments of Trade Policy158

Ⅰ Tariffs159

1．Specific Tariff159

2．Ad Valorem Tariff160

3．Compound Tariff161

Ⅱ Quotas162

Ⅲ Embargoes163

Ⅳ Exchange Controls164

Ⅴ Product Standards167

Ⅵ Anti-dumping168

1．Anti-dumping169

2．Anti-dumping,Safeguards,Countervailing Duties169

3．WTO—Doha Development Round170

Ⅶ Subsidies171

1．Export Subsidies171

2．WTO Rules on Subsidies172

Vocabulary173

Notes179

Related Terms184

Post-reading Activities188

Supplementary Reading192

Unit Six International Marketing202

Ⅰ Marketing Research203

Ⅱ Segmentation205

Ⅲ Marketing Objectives and Strategy208

1．Marketing Objectives208

2．Marketing Strategy208

Ⅳ Marketing Mix210

1．Product210

2．Price211

3．Place(Distribution)213

4．Promotion215

Ⅴ Product Life Cycle217

1．Introduction Stage218

2．Growth Stage218

3．Maturity Stage219

4．Decline Stage219

Vocabulary220

Notes226

Related Terms232

Post-reading Activities236

Supplementary Reading240

Unit Seven GATT and WTO243

Ⅰ GATT243

1．A Bfief History of GATT243

2．The Goal of GATT244

3．GATT 1994:Structure245

4．The Principles of GATT246

Ⅱ WTO248

1．A Brief History of WTO248

2．The Function of WTO249

3．The Principles of WTO249

4．China's Accession252

Vocabulary256

Notes260

Related Terms266

Post-reading Activities270

Supplementary Reading275

Unit Eight Market Transition and Development in China280

Ⅰ Market Transition280

Ⅱ Development with Its Major Trading Partners282

1．Trade with the European Union(EU)283

2．Trade with the USA285

3．Trade with Southeast Asia287

Ⅲ The Impact of Globalization on Chinese Economy289

1．The Impact on the World Economy289

2．The Impact on the Chinese Economy290

Vocabulary292

Notes294

Related Terms297

Post-reading Activities300

Supplementary Reading304

Appendix Ⅰ Vocabulary312

Appendix Ⅱ Key to the Exercises343