• Understand, apply and critically reflect on terms, theories and models explaining political, institutional and economic dimensions of the international business environment.
• Analyze the development and the dynamic links between politics, institutions and economic development in different societies.
• Identify and apply relevant indicators for political risks, institutional quality and economic development and find updated information through the internet, libraries and other sources.
• Understand and explain the drivers and barriers of globalization and explain the development in different stages of globalization.
• Understand and explain the main factors driving economic growth and explain the role of institutions for growth and business development.
• Understand and explain political, institutional and economic factors behind international trade and capital flows.
• Analyze the key decisions that multinational firms make in relation to the choice of markets and entry strategies.
• Apply and understand different modes of engagement with international markets and explore the interconnectedness between these and the political, institutional and economic environments in which companies operate.
• Understand the role played by multinational economic and social aid organizations such as the UN, EU, IMF and World Bank in facilitating international trade and business.

This course focuses on the business context and the related business decisions that are unique to cross-border business activities, and that are particularly important to the competitiveness of Danish firms. It presents the key political, institutional, and economic features of the different contexts in which firms operate and how the company may respond to the opportunities and challenges of the international environment. The starting point is a model of society focusing on three dimensions: Politics – Institutions (rules of the game) and Economy. The dynamics between these three elements is key to understanding the globalization process and the development in a specific countries. The models and theories are applied on the actual development in the global economy and in specific countries to identify similarities, differences and important links. This macro-level analysis makes the foundation for understanding how companies can join the internationalization process through international business.

Preliminary plan:

1. Drivers and trends of Globalization
2. PIE-model and indicators for Politics, Institutions, Economy
3. Informal institutions – culture
4. Trade theories and trade policies
5. FDI – Foreign Direct Investments
6. The International Monetary System
7. Growth and the developments on different types of markets
8. EU and US – the financial crisis, Euro crisis, Corona crisis
9. Emerging Markets – Brazil, Russia, India, China compared
10. Global integration and new global economic order
11. Starting International Business
12. Foreign entry strategies
13. Dynamics in international competition
14. Global strategies and acquisitions
15. Outlook for the world economy
16. Rounding - summary, exam questions, course evaluation

Lectures will take place from week 34 to 41, Monday and Wednesday for online and Tuesday and Thursday for face-to-face.

Mike Peng and Klaus Meyer: International Business, 4th edition, CENGAGE Learning, 2023

Mygind N., (2007): The PIE-model: Politics – Institutions – Economy, CEES working paper no 67,

  http:/​/​openarchive.cbs.dk/​bitstream/​handle/​10398/​7062/​wp67%202007.pdf?sequence=1

Mygind N. 2016  – A Simple Growth Model, 20 pages, working paper, Canvas.

Mygind N. 2021 - PIE-model for globalization, working paper. Canvas

Latest versions of:

IMF: World Economic Outlook. World Bank: Global Economic Prospects. World Bank: Doing Business. OECD: Economic Outlook. UNCTAD: World Investment Report.