Soklan Perniagaan Antarabangsa

ASSIGNMENT QUESTION PURPOSE: The purpose of this assignment is to assess and enhance students’ learning and understanding of an international firm’s business activities and the market environment of international business. BACKGROUND: SINGAPORE – AN ECONOMIC SUCCESS STORY Singapore is an island with a total land area of 682 square km. However, its compact size belies its economic growth. In just 150 years, Singapore has grown into a thriving centre of commerce and industry. Its former role as an entrepot has diminished, as the Republic has increased its manufacturing base. Singapore is the busiest port in the world with over 600 shipping lines sending super tankers, container ships and passenger liners to share the busy waters with coastal fishing vessels and wooden lighters. One of the world's major oil refining and distribution centres, Singapore is also a major supplier of electronic components and a leader in shipbuilding and repairing. It has also become one of the most important financial centres of Asia, with more than 130 banks. Business dealings are facilitated by Singapore's superb communications network which links the Republic to the rest of the world via satellite, 24-hour telegraph and telephone systems. Fascinating cultural contrasts and tourist attractions also contribute to its success as a leading destination for both business and pleasure. Among many of its successful companies is ST Engineering (Singapore Technologies Engineering Ltd), which is an integrated engineering group providing solutions and services in the aerospace, electronics, land systems and marine sectors. The Group reported revenues of $5.05b in FY2007 and ranks among the largest companies listed on the Singapore Exchange. ST Engineering has more than 18,000 employees worldwide, and over 100 subsidiaries and associated companies in 21 countries and 35 cities. Its United States headquarters is a subsidiary, Vision Technologies Systems Inc. (VTS), set up in 2001 in Virginia, near Washington, D.C. to oversee the subsidiaries and affiliates throughout the continental US and Canada. China is also an important market for ST Engineering, where its key operations comprise an aircraft maintenance and repair operations facility, an IT

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software development and R&D center, an automotive maintenance center, and factories to produce specialty vehicles for the construction and mining industries. The Group also has representative offices in Hong Kong, India and Kazakhstan. In March 2007, ST Engineering has been ranked 19th in the Aerospace & Defence industry sector of the world's largest public companies by Forbes. (Adapted from Newasia-Singapore and Singapore Technologies Engineering Ltd)

INSTRUCTIONS: Based on the information above, answer ALL the following questions. Question 1 Select ONE appropriate theory of international trade or international investment to explain how Singapore managed to attain its present strategic importance. Explain. (12 marks) Question 2 Discuss and illustrate how ST Engineering uses the Grid analysis in order to decide the most preferred country to expand its business. (13 marks) Question 3 Evaluate the possible types of international business activities that can be suitably implemented by ST Engineering in its foreign market expansion. (10 marks)

[Total: 35 marks]

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SOALAN TUGASAN TUJUAN: Tujuan tugasan adalah untuk menilai dan memperkukuhkan pembelajaran dan pemahaman pelajar mengenai aktiviti firma perniagaan antarabangsa dan persekitaran pasaran perniagaan antarabangsa. LATARBELAKANG: SINGAPURA – SUATU KISAH KEJAYAAN EKONOMI Singapura adalah sebuah pulau seluas 682 km persegi. Saiznya yang kecil kurang mencerminkan pencapaian ekonominya. Dalam tempoh hanya 150 tahun, Singapura telah berkembang menjadi sebuah pusat perdagangan dan industri yang maju. Peranannya sebagai entrepot semakin berkurang dengan berkembangnya industri pembuatan. Singapura merupakan antara pelabuhan yang paling sibuk di dunia dengan lebih 600 buah syarikat perkapalan yang menghantar kapal tanki, kontena dan penumpang di samping kapal-kapal nelayan serta kapal-kapal kecil lain. Selain menjadi salah sebuah pusat penapis dan pengedaran minyak, Singapura juga adalah pembekal utama komponen elektronik serta pembinaan dan pembaikan kapal. Ia juga telah menjadi salah sebuah pusat kewangan yang terpenting di Asia dengan adanya lebih 130 buah bank. Kemudahan urus niaga disokong oleh rangkaian komunikasi yang canggih menghubungkan negara dengan seluruh dunia melalui satelit, sistem telefon serta telegraf yang beroperasi 24 jam. Campuran pelbagai budaya yang mempesonakan serta pusat-pusat tarikan pelancong juga menyumbang kepada kejayaannya sebagai destinasi utama untuk berniaga mahu pun bergembira. Antara syarikat-syarikatnya yang berjaya adalah ST Engineering (Singapore Technologies Engineering Ltd). Ia adalah satu kumpulan syarikat kejuruteraan bersepadu yang membekalkan khidmat dan sistem penyenggaraan dalam sektor penerbangan, elektronik, sistem darat dan marin. Kumpulan ini telah melaporkan pendapatan sebanyak S$5.05 billion pada tahun 2007 dan merupakan antara syarikat terbesar yang tersenarai di Bursa Singapura. ST Engineering mempunyai lebih 18,000 kakitangan di seluruh dunia, dan lebih 100 anak syarikat serta syarikat sekutu yang terletak di 35 ibu kota di 21 buah negara. Ibu pejabatnya di Amerika Syarikat adalah sebuah subsidiari yang bernama Vision Technologies Systems Inc. (VTS). Ia ditubuhkan pada 2001 di Virginia, berhampiran Washington, D.C.

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untuk menyelia anak-anak syarikat dan syarikat-syarikat gabungan di benua Amerika serta Kanada. Negara China juga merupakan sebuah pasaran penting ST Engineering, di mana operasi utamanya terdiri daripada sebuah kemudahan penyenggaraan dan pembaikan pesawat udara, sebuah pusat penyelidikan dan pembangunan perisian, sebuah pusat penyenggaraan automotif, dan kilang-kilang yang mengeluarkan kenderaan khusus bagi industri pembinaan dan perlombongan. Kumpulan ini juga mempunyai pejabat-pejabat wakil di Hong Kong, India dan Kazakhstan. Pada Mac 2007, ST Engineering telah disenaraikan oleh Forbes sebagai syarikat yang ke19 besar di dunia dalam sektor industri Penerbangan & Pertahanan. (Diubahsuai daripada NewAsia-Singapore dan Singapore Technologies Engineering Ltd) ARAHAN: Berpandukan maklumat di atas, jawab SEMUA soalan berikut: Soalan 1 Pilih SATU teori perdagangan atau pelaburan antarabangsa yang sesuai untuk menerangkan bagaimana Singapura berupaya mencapai kepentingan strategik sekarang. Jelaskan. (12 markah)

Soalan 2 Bincangkan dan jelaskan bagaimana ST Engineering menggunakan kaedah analisis Grid bagi mencapai keputusan negara paling sesuai untuk mengembangkan perniagaannya. (13 markah)

Soalan 3 Buat penilaian mana-mana EMPAT aktiviti perniagaan antarabangsa yang mungkin sesuai dilaksanakan oleh ST Engineering dalam perkembangan pasaran asingnya. (10 markah)

[Jumlah: 35 markah]

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GUIDE FOR ANSWERING ASSIGNMENT QUESTIONS i. Guide The assignment consists of three questions that must be satisfactorily addressed. Marks will be awarded based on the accuracy, clarity and relevance to the background information that has been provided. Question 1 •

Students are required to select only ONE appropriate theory of international trade or international investment that is considered the most appropriate to explain how Singapore managed to attain its present strategic importance.

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The relevant factors/principles/components within the theory must be fully explained and supported/substantiated.

Question 2 •

Identify any FOUR countries as the initial selection.

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Analyse/rank/tabulate the countries using the Grid method. Factors shown in the module may be replaced where appropriate.

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Explain/justify fully each country’s position/ranking.

Question 3 •

Choose any types of international business activities. Students are encouraged to explain at least FOUR types of international business activities.

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Explain the advantages and disadvantages of each type.

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Recommend any TWO types of activities considered most suitable to be implemented by ST Engineering in the country ranked most preferred in Question 2 above.

ii. References The basic materials can be found in the module (Chapters 1, 5 and 9). However, students are strongly encouraged to refer to other reliable sources beyond the module such as textbooks, articles, journals and research findings to support your answers. These sources must be listed in a separate bibliography section at the end of the assignment so as to avoid any element of plagiarism.

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iii. Important Topics •

Theories of International Trade and International Investments.

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Background and history of Singapore’s economic development and strategic importance.

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Background information of Singapore Technologies Engineering Ltd.

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The Grid technique of country analysis and selection for international business.

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Types of international business activities and foreign market entry strategies.

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