Module 11 - Legal & Gov't considerations in INTB

Question 1

What are the two types of law that international business is concerned with?

Answer 1

Comparative law & international law

Question 2

What is comparative law?

Answer 2

comparing the legal system of different countries

Question 3

What are the two types of international law?

Answer 3

Public & private

Question 4

What is public international law?

Answer 4

deals with relationships between countries; involves treaties, wars, the sea, etc.

Question 5

What is private international law?

Answer 5

international law that deals with issues between persons and businesses including settlement of conflicts & enforcement of contracts

Question 6

What are the 4 major legal systems that are found internationally?

Answer 6

1. code law
2. anglo-american common law
3. islamic law
4. socialist law

Question 7

What is code law?

Answer 7

civilian law that does not depend upon legal precedent; dependent on the principles of the French Revolution (Quebec, Europe, Japan, Latin America)

Question 8

What is anglo-american common law?

Answer 8

decisions are made based on precedent

Question 9

What is Islamic/ Sharia Law?

Answer 9

based on the Qur’an, saying and deeds of Mohammed, interpretations by islamic scholars, & legal consensus; based on ethics and moral issues as well as commercial law

Question 10

What is socialist law?

Answer 10

based on communist ideology related to private property, personal rights, & business organizations (not as important anymore)

Question 11

What are some (5) legal issues that can affect international businesses?

Answer 11

1. dispute settlements
2. trademarks & intellectual property
3. employment regulations
4. marketing & communication
5. financial information

Question 12

What is the difference between HIGH CONTEXT and LOW CONTEXT cultures when settling disputes?

Answer 12

HIGH CONTEXT: prefer a style that avoids finding out who is to blame/ who should be punished; lawsuit may be viewed as disrupting harmony severely - losing face
LOW CONTEXT: tend to adhere to written contracts so litigation is seen as appropriate if not abided by

Question 13

Cultural views on ___ ____ influence laws on trademarks

Answer 13

private property

Question 14

How do LOW CONTEXT cultures handle job safety laws?

Answer 14

detailed rules and regulations to help make a safe work environment

Question 15

How do HIGH CONTEXT cultures handle job safety laws?

Answer 15

not all accidents can be avoided therefore detailed rules may be missing

Question 16

What attributes of marketing are regulated differently across countries?

Answer 16

role of children, language, standards of decency