Answer the following questions:

1.  Do you think the IMF policy of a tight monetary policy and reduced government spending is the appropriate response for nations experiencing a currency crisis? What are the implications for international business? Explain your answer in a well-constructed and cogent response.

2.  Your business must decide whether to make a component part in-house or outsource it to an independent supplier. These potential suppliers are in countries whose currency is expected to increase against the U.S. dollar. What would you recommend and why?

3.  Provide an outline as to why the culture of a country may impact the costs of doing business in that country. Explain your answer and provide examples that enhance your point(s).

4.  Licensing proprietary technology to foreign competitors is the best way to give up a firm’s competitive advantage. Discuss whether you agree or disagree with this statement. Explain your answer in a well-constructed and cogent response.

5.  Why has the global capital market grown so rapidly in recent years? Will this trend continue? Why or why not?