Prior to beginning work on this discussion forum, read Chapter 5, International Trade, in the required textbook and review the website SlackLinks to an external site.. Use SlackLinks to an external site. to communicate with your foreign student research partner(s) and explore the trade environment of the foreign marketplace for the final paper. Incorporate the following elements into your research and ask your research partner to comment and provide feedback on your research:
Current trade environment with the United States.
Current trade barriers (non-tariff and tariff).
Review the target country through Porter’s diamond model.
Review ethical dilemmas of exporting to the foreign target market (see Chapter 5 Emerging Markets, section 5.1 Expanding UK Exports in Russia).
Evaluate the foreign direct investment (FDI) environment and potential for ownership, location, and internationalization (OLI) advantages.
Prepare a brief synopsis of your partner research. Your initial post should be 200 to 300 words. You should use at least two credible and recent sources in addition to the course textbook. Your post must be organized using APA Style headings as outlined in the APA Style ElementsLinks to an external site. resource.
Guided Response: Respond to at least two of your classmates by commenting on their posts with constructive comments that move the conversation forward. Though two replies are the basic expectation for class discussions, for deeper engagement and learning, you are encouraged to provide responses to additional students and to respond to any comments or questions from other students. In addition, responding to the instructor’s questions or comments is mandatory. Continuing to engage with peers and the instructor will further the conversation and provide you with opportunities to demonstrate your content expertise, critical thinking, and real-world experiences with the discussion topics.
Andrew Jennings
It is crucial to acknowledge the strong economic ties that exist between the two nations before delving into the trading environment between the US and Germany. “In order to analyze sector-specific informational asymmetries for real estate and other stocks, the four most established types of measures on information-based trade are analyzed for a set of German mid and small caps.” (Wolfe, 2015). One of Germany’s most important trading partners is the United States, and despite changes in the world economy, trade flows between the two countries have remained robust. Because of their trade agreements and membership in the World Trade Organization (WTO), the United States and Germany currently have very low tariff levels when it comes to trade barriers. Non-tariff barriers, on the other hand, can provide difficulties. For example, American exporters hoping to penetrate the German market must deal with strict rules pertaining to product safety and environmental requirements.
The application of Porter’s diamond model sheds light on Germany’s comparative advantage in global trade. The factor circumstances in Germany, such as its highly skilled labor force and advanced infrastructure, bolster its appeal as a target market for U.S. companies. The nation’s strong emphasis on innovation and technology development reflects competitive industries, particularly in sectors such as machinery, automotive, and eco-friendly products—aligning well with Jennings Clean & Green Solutions’ objectives. Furthermore, Germany has a robust market demand for sustainable products, reflecting trends in consumer preferences that favor environmentally friendly offerings. It is crucial to acknowledge the strong economic ties that exist between the two nations before delving into the trading environment between the US and Germany. “Germany was affected by another major facet of globalization that—at least economically—had a much milder impact in North America, namely the sudden and unexpected fall of the Iron Curtain with the subsequent transformation of the former socialist countries into market economies.” (Dauth, 2013). One of Germany’s most important trading partners is the United States, and despite changes in the world economy, trade flows between the two countries have remained robust. Because of their trade agreements and membership in the World Trade Organization (WTO), the United States and Germany currently have very low tariff levels when it comes to trade barriers. Non-tariff barriers, on the other hand, can provide difficulties. For example, American exporters hoping to penetrate the German market must deal with strict rules pertaining to product safety and environmental requirements.
The application of Porter’s diamond model sheds light on Germany’s comparative advantage in global trade. The factor circumstances in Germany, such as its highly skilled labor force and advanced infrastructure, bolster its appeal as a target market for U.S. companies. The nation’s strong emphasis on innovation and technology development reflects competitive industries, particularly in sectors such as machinery, automotive, and eco-friendly products—aligning well with Jennings Clean & Green Solutions’ objectives. Furthermore, Germany has a robust market demand for sustainable products, reflecting trends in consumer preferences that favor environmentally friendly offerings.
The knowledge of Rebecca Raegan-Theimes is very helpful in negotiating these issues. Her expertise in product management combined with her understanding of cultural quirks allows her to lead strategic choices that are in line with German market dynamics and U.S. corporate standards. Her knowledge of both cultures and her fluency in German make her a priceless asset as Jennings Clean & Green Solutions enters this exciting overseas market. Working with Rebecca will improve our comprehension of customer preferences and guarantee that we approach the investment from a culturally sensitive standpoint, utilizing Germany’s distinct market advantages.
References
References
Dauth, W., Findeisen, S., & Suedekum, J. (2013). The rise of the east and the Far East: German labor markets and trade integration. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2323663Links to an external site.
Wölfle, M. (2015). Information-based trade in German real estate and equity markets. Risks, 3(4), 573-598. https://doi.org/10.3390/risks3040573