How do financial systems affect the innovation capabilities


1) Ghemawat's ‘AAA' (adaptation, aggregation and arbitrage) framework has been used to analyse the demands placed on companies as they internationalize. Apply this framework to two companies and assess the usefulness of the framework in understanding the behaviour of those firms.

2) How do financial systems affect the innovation capabilities of firms? Compare two institutionally contrasting countries in your answer.

3) For two firms of your choice, explain their ownership and control structure and how that affects the competitive strategy and organizational capabilities of these firms. Use two institutionally contrasting countries in your answer.

4) The business systems approach asserts that certain national or regional institutional configurations are conducive to radical or incremental innovation. Critically examine this assertion. Compare two institutionally contrasting countries and provide examples in your answer.

5) How do education and labour systems affect organisational capabilities? Compare two institutionally contrasting countries and cite examples in your answer.

6) How and why do inter-firm relations vary across institutional contexts and how do inter-firm relations influence firms' development of organisational capabilities? Support your answer with evidence.

7) When investing abroad, multinationals face various kinds of risks in host countries. Analyse these host country risks and examine how multinationals might organize and structure their home and host organisations to manage these country risks. Support your answer with evidence.

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International Economics: How do financial systems affect the innovation capabilities
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