Globalization
...ter then the ones currently there. More people would stay in Mexico instead of come to the US to find jobs. There would be more money flowing into Mexico’s economy too. The relations of Mexico and the US would be better also. The disadvantage would be that Mexico would lose a little sovereignty. They could not fix prices they way that they want since it would be governed by all countries involved. What does the U.S have to gain and lose from Acme operating(NAFTA) in Mexico (include issues of international sovereignty, employment, and GDP)? There are many that the US has to gain and lose from operating in Mexico. First they would be able to save money. By this I mean that instead of paying twenty dollars an hour here in the US they can pay someone in Mexico 2 dollars an hour. This does however hurt employment in the US. It takes away jobs here to people that need it. Like Mexico the US would lose a little sovereignty. They could not fix prices they way the see fit. How does the macroeconomic stability of the host country affect a multinational corporation? The macroeconomic stability of the host company affects the multinational corporation greatly. The economy has to be stable and offer labor that is somewhat skilled. You have to make sure that things such as inflation, recession and wages are stable. You do not want an uprising Is it economically efficient for the U.S. to move low-skilled jobs to Mexico? Explain your answer As explained earlier it is efficient for the Acme to move low-skilled jobs to Mexico. The save huge amounts of money (the twenty dollars to two dollars explained in question number two). This in turn lets them put the money back into the business and back into the economy. As far as the US, I’m not so sure. The US loses jobs and that does hurt. What role do cross-cultural communication, cooperative decision-making, and collaborative problem-solving play in multinational corporation management? The three things mentioned...