Chapter 6 Case Study

Satisfactory Essays
Diez Pena Ezequiel
Small Business Management
Professor Gustafson
31 August, 2011
Chapter 6 Case Study 1. What theories of trade help to explain Russia’s position as an oil exporter? Which ones do not, and why?

In our opinion two theories of trade help to explain Russia’s position, namely theory of absolute advantage and competitive advantage. “A country has a natural advantage in producing a product or service because of climatic conditions, access to certain natural resources, or availability of certain labor forces” (Daniels 221). Russia has became one of the countries with the largest oil reserves in the world, which makes the country to have a natural advantage due this natural resource availability. Furthermore, the diamond of national advantage is other theory that supports Russia’s position as an oil exporter. Given that demand conditions for Russia’s oil are advantageous, “so lucrative is its business in gas and oil that petroleum export taxes have allowed the government to pay off all foreign debt incurred” (Daniels 246), factors conditions are acceptable given that organizations such as LUKOIL are working to improve its technology base (Daniels 248,249). Also, related and supporting industries and firms’ strategy, and structure and rivalry are other facet of the diamond helping Russia to achieve national advantage (Daniels 235, 236). At last, interventionist theories does not help to explain Russia’s position as an oil exporter, because Russia’s economy is based on free trade theories. Neither, product life cycle applies because Russia’s oil does not go over a life cycle. At last, the Theory of Country size does not apply either, because Russia’s economy depends highly on oil exports “If the price per barrel of oil shifts by so much as $1, Russian revenues shift by about $1.4 billion in the same direction” (Daniels

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Chapter 6 Case Study

    • 550 Words
    • 3 Pages

    Chapter 6 Case Study 1 Job Candidate Assessment Test Go Virtual 1. What do you think are the prime advantages and disadvantages of National City Corporation’s virtual tryouts? The advantages of using virtual tryouts are competitive edge against other companies. Allows them to pick candidates better suited for their work environment, allows candidates the knowledge that they are applying for a company that is at the cutting edge of technology and they want to move forward with the times. Unfortunately…

    • 550 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Chapter 6 Case Study

    • 979 Words
    • 3 Pages

    Chapter 6- Case study- Big Data, Big Rewards 1. Describe the kinds of big data collected by the organizations described in this case. The organizations described in this case are The British Library, NYPD, Vestas and Hertz. Each of these organizations collects different kinds of data. The British Library has to accommodate about 6 billion searches annually and collects and preserves all websites that are of any historical significance. This also includes websites of past politicians. NYPD collects…

    • 979 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Chapter 6 Case Study

    • 1093 Words
    • 5 Pages

    Week 3 – Group Alpha Chapter 6 Case Study – Cami Machado and Listo Systems’ Digital Information Services Team A recent incident involving hacking and data theft prompted the implementation of a new data security system at Listo Systems. A “black box” system will be installed on every PC in the company and will not only affect the way data moves but also who has access to sensitive files. Nearly everyone at Listo Systems will be doing things very differently once the black boxes are in place…

    • 1093 Words
    • 5 Pages
    Good Essays
  • Satisfactory Essays

    chapter 6 case study

    • 478 Words
    • 2 Pages

    The paper will focus on the Books and Music that was formed in 2001 as a result of a merger of the two largest book stores in Canada- Chapters and indigo. The smaller of the two, Indigo, bought 50.1% of Chapters' shares in February 2001 amidst protestation of the latter's board of directors. During the course of 2001 Indigo slowly but sure acquired more Chapters' shares completing the takeover at the end of the same year. The merger of the two companies obviously presented major challenges to the…

    • 478 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    chapter 6 case study

    • 387 Words
    • 2 Pages

    Case Study: 6 – Wal-Mart Case Study: Data Communications at Wal-Mart Case Study: Data Communications At Wal-Mart? There are many things Wal-Mart has done to improve its data communications systems for suppliers. Their chief improvement was the implementation of the sales and inventory data to their suppliers. Suppliers could log in and gain access to all of the sales and inventory data to more efficiently stock Wal-Mart with their products. A key component of data security…

    • 387 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Chapter 6 Case Study

    • 459 Words
    • 2 Pages

    Case Study 6-A Summary: The economy is down due to recession and a Florida hotel resort is trying to change their cleanliness policy to bring customers back. To do this, the hotel managers propose the “$10 dollar test”. The cleaning staff clean rooms based off of an instructional video. The manager observes them and then picks one random room to inspect. If the room is clean to the manager’s expectations, he or she will leave ten dollars. However, the manager will subtract a dollar for every mistake…

    • 459 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    1. What kind of reinforces does Salatino use to motivate his sales people? Salatino uses every ones favorite reinforcements, money! Money is considered a secondary motivator because its not considered a basic human need. Saltaino uses commissions ranging between 5% and 12% as an incentive motivate his employees to make sales. This secondary motivator is a positive motivator because money is why people have jobs and careers. 2. What kind of reinforcement schedule is used by Great…

    • 1347 Words
    • 6 Pages
    Good Essays
  • Good Essays

    themselves and how it may affect their own interests, rather than considering effects for the success of the business. When Perrier planned to cut 15% of its workforce, there was an uproar from CGT. To make it more worse, Perrier’s management purchased cases of a competitor’s latest beverage, Badoit Rouge, and placed it throughout the company cafeterias. For some workers it was a sign of provocation. To…

    • 893 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Case Chapter 6

    • 1317 Words
    • 4 Pages

    ORLANDO AT DREDDO DAN’S ‘Most people see the snack market as dynamic and innovative, but actually it is surprisingly conservative. Most of what passes for product innovation is in fact tinkering with our marketing approach, things like special offers, promotion tie-ins and so on. We occasionally put new packs round our existing products and even more occasionally we introduce new flavors in existing product ranges. Rarely though does anyone in this industry introduce something radically different…

    • 1317 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    Chapter 6

    • 985 Words
    • 11 Pages

    Outline • • • • • • Exam Team Expectations Upcoming Schedule Case Analysis Capstone Group-work Business Policy and Strategy – Feb. 17, 2015 Exam 1 • Average: 28.29 (~ 81%) • Range: 22 – 32 (~ 63% - 92%) • Which of the following is NOT an example of complementary products or services when thinking about “the sixth force” of Porter’s five-forces? – Xbox gaming console and Halo gaming franchise – Shell gasoline and Ford F-150 pickup truck – Google Android operating system and Samsung smartphone…

    • 985 Words
    • 11 Pages
    Satisfactory Essays