Economic System And Economic Systems

There are many interesting features about the capitalist commercial scale cultural system that distinguishes between the tribal, imperial, and commercial world. All of which have made many modifications that make the system more workable and better for our world.

An economy could be considered the blood of a nation’s body; as everything flows smoothly, the body performs its functions properly. Two major types of economy in the world today are capitalist market economies and socialist command economies. Under a market economy, the people are granted the rights to free enterprise and build the economy through private business; they can create and trade products and services as they wish. Within a command economy, the government controls the land and capital and makes all the decisions involving economic issues. Both of these economies share some goals, but are also quite different in how each functions and each possess their own share of advantages and disadvantages.

1.Consider the following entry game.  Here, firm B is an existing firm in the market, and firm A is a potential entrant.  Firm A must decide whether to enter the market (play "enter") or stay out of the market (play "not enter").  If firm A decides to enter the market, firm B must decide whether to engage in a price war (play "hard"), or not (play "soft").  By playing "hard", firm B ensures that firm A makes a loss of $1 million, but firm B only makes $1 million in profits.  On the other hand, if firm B plays "soft", the new entrant takes half of the market, and each firm earns profits of $5 million.  If firm A stays out, it earns zero while firm B earns $10 million. Which of the following are Nash equilibrium strategies?

Every country differs in culture which has been there for centuries. The international market is growing rapidly, with more and more multinational organisations entering new markets each day. In this assignment I will evaluate how the difference in cultures affects the performance of international businesses.

The first dimension is Individualism and Collectivism. These are social patterns under which beliefs, attitudes, norms, and values are then organized into one theme. Some countries practice individualism and the members of society are motiviated by their own needs and preferences above the needs of the group. In contrast, countries that practice collectivism are much more closely linked as a group and are motivated by the obligations that are considered norms for the group. Hofstede felt that countries with higher higher per capita

Economic systems are organized way in which a state or nation allocates its resources and apportions goods and services in the national community. An economic system is slackly defined as country’s plan for its services, goods produced, and the exact way in which its economic plan is carried out. There are three types of economic systems exist, they are command economy, market economy, and mixed economy. Command economy is also sometimes called planned economy. The expectations of this type of economy is that all major decisions that related to the construction or production, distribution, commodity and service prices are all made by the government. However, in market economy, national and state governments play a

Throughout history, Capitalism in America has been proven to be simply the greatest economic system that brings people from nothing to something. This system has allowed America to grant opportunities to millions of people from all different backgrounds that Socialism and Communism could not duplicate. Individuals, under Capitalism, take a chance and either fail or succeed with money, time, and hard work put in to achieve their goal. Those who are unsuccessful their first try continuously get back up until one day they achieve success. The satisfaction and joy received from their hard work is incredible. It 's a feeling that cannot be accomplished through Socialism and is the very source that fuels the economic system of Capitalism. Of

There is three different systems used in economics. These system show how the population in these areas act and go along with day to day activities. Different areas around the world have different traditions and lifestyles. Other area are told what they can and con not have in their everyday life as a command economy. The other on third is depicted as being the economy that runs free as the buy and trade goods to form a market economy.

Every country in the world can be classified as having either a traditional economy, a command economy, or a market economy. All three of these systems are designed in such a way to manage resources and ensure that people receive the things they need and, occasionally, the things they want. First is the traditional economic system.

In our society today, there are many distinct types of economies. The three leading economies are Market economies, Traditional Economies, and Command Economies. Each Economy is very diverse and unique from the next. An example of a market economy is in the US, and in a market economy there is a great deal of individual freedom and less government involvement. A market economy is based on Capitalism. A Traditional economy is a small group of people who are their own government. Not many societies today use a traditional economy. In a command economy the government controls all economic decisions. Examples of command economies are communist countries such as China and North Korea. Each type of economy has its own advantages and disadvantages as well as its differences about resources and government involvement.

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

Using appropriate theories critically analyse the role of culture in International Business. Support your answer by quoting relevant examples from the case study.

Sometimes cultural difference between countries can cause a negative impact when conducting free market businesses. According to the textual evidence, economic advancement and globalization may be important factors in society change. The culture of societies may also change as they become richer because economic progress affects a number of other factors, which in turn influence culture.

The United States and China boast the two largest economies in the world but, despite this fact, these two countries have very little in common. At first glance, this may seem very obvious to most people but, what exactly is it that makes these two countries so different? How is it that such different perspectives and approaches can both lead to great success? Hofstede’s six dimensions of culture are an attempt to answer these questions and more. Dr. Geert Hofstede, studied employees of the computer firm IBM in over fifty different countries. When he examined his findings he found “clear patterns of similarity and difference along the four dimensions” (Manktelow, Jackson Edwards, Eyre, Cook and Khan, n.d.). The fact that he focused his research on solely IBM employees allowed him to eliminate company culture as a differentiating factor and “attribute those patterns to national and social differences” (n.d.). He used his findings to originally identify four dimensions, later expanded to six, that could “distinguish one culture from another” (n.d.). The six dimensions all on a scale from 0 to 100 are:

First, Individualism vs. Collectivism. Individualism is the social function of the relative likelihood of a free and individual means only take care of themselves and their families. By contrast, collectivism is the tendency of social functions relatively tight where each individual to identify themselves as a group with loyalty not need to be asked. The main problem of this dimension is the degree of interdependence of individuals in a