International Trade

Sustainable Development Goals (SDG)

• 1. No poverty
• 5. Gender equality
• 6. Clean water and sanitation
• 7. Affordable and clean energy
• 8. Decend work and economic growth
• 9. Industry, innovation and infrastructure
• 10. Reduced inequalities
• 12. Responsible consumption and production
• 16. Peace, justice and strong institutions

Objectives

• To achieve an overall knowledge of strategic and operational management of international trade.
• To understand the origin and reasons for trading internationally.
• To know the specific rules of management and operating process in international trade.
• To achieve an strategic overview to support international expansion of SMEs.

Learning outcomes

• RA1. Analyses and evaluates the national and international environment in which business activity takes place and that affects the management of organisations.
• RA2. Manages and administers a company or organisation, considering its competitive and institutional location, its strengths and weaknesses.
• RA3. Shows skills for the analysis of situations from a global and comprehensive perspective, relating social, cultural, economic and political elements as appropriate.
• RA4. Understands oral and written messages of different types fully expressed in their own languages and in English.

Competencies

General skills

• Show ability to adapt to contexts and changing business and social realities within a global environment.

Specific skills

• Devise integrated business plans for development of business initiatives.

Basic skills

• Students can communicate information, ideas, problems and solutions to both specialists and non-specialists.
• Students have the ability to gather and interpret relevant data (usually within their field of study) in order to make judgements that include reflection on relevant social, scientific and ethical issues.

Core skills

• Use oral, written and audiovisual forms of communication, in one's own language and in foreign languages, with a high standard of use, form and content.

Content

1. The global economy
   1. Why countries trade?
   2. Historical perspective
   3. International trade bodies
2. Internationalization strategy
   1. Barriers to international trade
   2. Customs and tariffs
   3. Harmonised system and TARIC
   4. INCOTERMS
3. Regulation of international trade
   1. Rules of origin
   2. Procedures and documentation
4. International transport and logistics
   1. Modes of international transport
   2. Carriage contracts
5. International finance
   1. Payment methods in international trade
   2. Investment and export finance instruments
6. Marketing and international negotiation
   1. Selection of markets
   2. Market entry strategies
   3. International negotiation
   4. Cooperation and development
7. Supply chain management
   1. Strategic fit in a supply chain
   2. Vertical integration

Evaluation

• Observation of active participation and cooperative work: 10%

• Completion of work assignments: 40%
  • 20% accounts for delivery of the weekly tasks assigned (group tasks).
  • 10% accounts for the oral presentation of weekly works assigned (group tasks).
  • 10% accounts for the questionnaires (short single-option tests) on the content's review that will be followed in class, on occasional units (individual tasks).

• Written exams: 50%
  • 1st assessment 25% (mid-term), and 2nd assessment 25% (final exam).
  • Grades will be weighted, provided that individual scoring on each exam is at least 4.0.
  • All students must pass the exams with a minimum 4.0 score (over 10), in order to qualify for the final grade.
  • In case of failing to reach that 4.0 on every exam, retaking an exam (including the relevant parts) is mandatory to pass the course.

To pass the course the overall average grade must be at least five.

Methodology

The teaching-learning process implemented in this course is mainly active and participatory. Cooperative work in small groups is required for every student in order to conduct the completion of weekly works and present them for reflection and debate in seminar sessions. Every group shall present their weekly work, at least once during the course. Every group shall be required to deliver for grade their weekly works, at least 4 times during the course.

Written exams will be mostly a confirming process of achieved understanding of concepts worked during the units and an opportunity to deliver interpretation and application of the new knowledge.

Bibliography

Key references

• Charles W. L. Hill and Tomas M. Hult (2017). International Business: Competing in the Global Marketplace (11 ed.). McGraw-Hill Education.
• Sunil Chopra / Peter Meindl (2015). Supply Chain Management: Strategy, Planning, and Operation (6 ed.). Pearson.

Further reading

Teachers will provide complementary bibliography and compulsory reading throughout the course via the Virtual Campus.