Global Economic Environments - Essay Example

Global Economic Environments College: Global Economic Environments Big US Refrigerator Corporation is a renown company in the country for some decades. It has been making different electronics and in this year, the company has come up with something of its kind. The company has invented a new model of refrigerator that it plans to launch within the next few months. In addition, this model is far much better than the previous model since there have been some additional features fixed in it. The refrigerator comes in different sizes just like the previous model to suit individual needs.

As the designers were designing this new product, they also considered companies that make use of refrigerators. This is to mean that our products are not intended for home use only but also for the large company and factory use. As the director of the company, I would like to ask for authorization for the company to launch and distribute this product. It is our belief that these new refrigerators will cater for each and everyone needs. It is worth noting that the company has used the best technology to ensure that our products cause no pollution.

Owing to the subsidy issued, the company is in the first line fight against environmental pollution (Astley, 2004). Resultantly, it has also taken a step ahead and invited the officials from the environmental pollution control unit to come and test the amount of pollution caused by these products. Having complied with all the required rules, we as the company believe that we have all it takes to distribute our products to oversee states. Given this chance, we shall be grateful, and we believe that everyone who gets a chance to purchase our product will not be disappointed.

In case of any complaints, the company is ready to fix the issues. We look forward to your consideration.By the time of launching of the new refrigerators, 10,000 refrigerators will be remaining in the company’s stock. The reason is that customers in US cannot buy them since they belong to the older version. Therefore, the company has only two options as the remedy. Either, the company searches for new markets from developing countries or it upgrade them. Upgrading them will not be cost effective since it will cost the company more money and the possibility of recovering the lost money is very low.

However, finding markets in the developing states can be more cost effective. The only problem is whether the states governments will allow the company to sell these products to them. Researchers have realized that selling a dead stock at lower prices results to the fast moving of that particular commodity (Evans, 2009). In addition, such stocks can be sold to countries that cannot produce such products of their own or where development is still taking place. Therefore, the only solution that the company is left with is opt selling the old refrigerators to developing states, or risk the loss of upgrading them.

Our company is in support of the Transatlantic Trade and Investment Partnership since it advocates for free trade between the European Union countries and United States. The partnership will allow for market access by the participating states since there will be no trade barriers. (Josling & Crombez, 2013). This will ensure that customs duties on goods have been removed as well as the restrictions set on services have also been removed. Resultantly, businessmen will have better access to the public markets and will have easy time investing.

Also, the T-TIP should be authorized since it has outlined clear and precise border rules and also principal’s regarding the modes of co-operation. Enhanced and healthy co-operation by these countries will result in increased business thus benefiting the participating states as well as the involved business personalities. It has been noted that if T-TIP is authorized, the families of those working in these countries will get some form of protection. This will ensure that there is a continuous flow of income to the country and families.

In addition, the agreement has restricted dumping in any of the participating states (Josling & Crombez, 2013). This means that no country will use another as dumping site like it has happened earlier. For this reason, if any of our products is found to be obsolete, the company will take the liability. Therefore, by backing up the T-TIP, the company’s products have higher chances of being sold in the European Union market.ReferencesAstley, W. G. (2004). Toward an appreciation of collective strategy.

Academy of management review, 9(3), 526-535. Evans, D. S. (2009). The online advertising industry: Economics, evolution, and privacy. Journal of Economic Perspectives, Forthcoming.Josling, T., & Crombez, C. (2013). The Political Economy of Transatlantic Free Trade. Revised Draft of Working Paper 7/17/13.