Week 4 Learning Materials

Readings from Course Text:

Chapter 7 – International Finance for Global Managers

This chapter takes a look at the recent history of global monetary systems and how they have evolved over the past two centuries. While the current monetary system continues to evolve, lessons learned over the past fifty years help determine the best future options. As part of the post–World War II monetary environment, two institutions—the International Monetary Fund (IMF) and the World Bank—were created and have expanded to play an increasingly larger role in the world economy. Understanding the role of the IMF and the World Bank provides global managers with the insight into how governments, primarily developing countries, receive funding and partner with the private sector to implement projects related to trade and monetary policy.

Chapter 8 – Foreign Exchange and the Global Capital Markets for Global Managers

This chapter explores currencies, foreign exchange rates, and how they are determined. It also discusses the global capital markets—the key components and how they impact global business. Foreign exchange is one aspect of the global capital markets. Global managers need to understand how their firms can utilize the capital markets to conduct business effectively around the world. Companies access the global capital markets to utilize both the debt and equity markets; these are important for growth. Being able to access transparent and efficient capital markets around the world is another important component in the flattening world for global firms. Finally, this chapter discusses how the expansion of the global capital markets has benefited entrepreneurship and venture capitalists.

Chapter 9 – Manager’s Perspective on Understanding the Roles of Finance and Accounting in Global Competitive Advantage

In this chapter, you’ll learn what managers need to understand about the basic principles and techniques of global finance and accounting at the company level. As a manager in any function within a company, it’s important to understand the difference between finance and accounting. In this chapter, we’ll focus more on accounting, which focuses on the day-to-day flow of money in and out of a company, whereas finance is a broader term for the management of assets and liabilities and the planning of future growth.


Sources:

Global Business Management, Version 1.1 By: Sanjyot P. Dunung Published: November 2020 ISBN (Digital):

978-1-4533-3741-7 https://scholar.flatworldknowledge.com/books/34695/read

License

LOS325 – Leadership and Management in a Global World Copyright © by David Adams. All Rights Reserved.