Sl

Term

Definition

Import Quota

Example

No
.
direct

restriction

on

the Products Under US Import

quantity of a good that can be Quotas

imported into a country.

Sugar and products with

more than 65% sugar
content

Tobaccco

Peanuts

and

peanut

butter

Incentives

Devices

used

to

reward Examples of incentives in a

managerial behaviour.

workplace include recognition

incentives,

appreciation

incentives, reward incentives

Individualism

and compensation incentives.

An emphasis on the importance Individualism
in cultures
of

guaranteeing

individual (mainly

freedom and self expression.

Individualism

Theory

focusing

vs Collectivism

relationship

on

between

Western

Europe,

North America, and Australia

the

& New Zealand),

Individualistic:

the loyalty

lies

with

me

My
first.

individual and his or her fellows. Nuclear families; yourself, your

In individualistic societies, the parents and your children
ties between individuals are loose

Collectivistic: My loyalty

and individual achievements are lies with my group first.

highly valued. In societies where Extended families; brothers,
collectivism is emphasised ties sisters, uncles, aunts, cousins
between individuals are tight,

people are born into collectives, nephews etc.

Inelastic

such as extended families.

When a large change in price

produces only a small change in

Petrol petrol has few

alternatives

demand.

because

people

with a car, need to buy petrol.

For

many

necessity.
substitutes,

driving

is

There

are

weak

such

as

train,

walking and the bus. But,

generally, if the price of petrol
goes up, demand proves very
inelastic.

Inefficient

One in which prices do not reflect While financial markets appear

Market

all available information.

reasonably

efficient,

events

such as market-wide crashes

and the dotcom bubble of the
late '90s seem to reveal some
sort of inefficiency within the
markets.
Infant

New industries in developing Infant Industry Theory was

Industry

countries must be temporarily the basis of U.S. trade policy

Argument

protected

from

international after gaining its independence

competition to help them reach a from Britain. At that time, the

position where they can compete well-established

British

and

on world markets with the firms other European products were

of developed nations.

familiar and sought by the U.S.

consumers
more

but

expensive

were

made

by

tariffs

and duties, giving a chance for

U.S. firms to take hold in their
own

domestic

marketplace.

Years later, in the late 19th and

early 20th centuries, the U.S.
steel

industry

was

granted

protection from international

competition

through

tariffs

and quotas that kept other

steel producers out of the U.S.
market, allowing the U.S. steel
industry to dominate its own
domestic
compete

market

and

effectively

international markets.

Inflows of Flow
FDI

of

foreign

direct Data on FDI net inflows and

investment into a country.

outflows are based on the sixth

edition

of

Payments

the

Balance

Manual

of

(2009)

reported by the International

Monetary Fund (IMF). Foreign
direct

investment

supplemented

by

data
the

are

World

Bank staff estimates using data

from

the

Conference
Development

United
on

Nations

Trade

(UNCTAD)

and
and

official national sources

Initial rate

The spot exchange rate when

a budget is adopted.

Chemical Kinetics
Method of Initial Rates

Innovation

Development

of

new It can be a unique incentive

to
in

products,

processes, program

organization,

to

reward

high-

management performing employees. Or, it can

practices and strategies.

be

process,

such

as lean

methodology, a model which

streamlines

workflows

and

eliminates waste to keep costs

for

low while maintaining quality.

achieving Standardization,

Integrating

Mechanisms

Mechanis

coordination

subunits

Intellectual

organization.
Products of the mind, (ideas, IP is protected in law by, for

Property

books,

between Regulation etc.

within

music,

an

computer example, patents, copyright and

software,

designs, trademarks, which enable people

technological know-how). It to earn recognition or financial

can be protected by patents, benefit from what they invent or
Internal

copyrights or trademarks.
create.
A
company-generated Implied rates.

Forward

forecast of future spot rates.

rate
Internal

Individuals or groups who Internal stakeholders are groups

Stakeholde

work for or own the business.

within a business or people who

work

directly

within

the

business, such as employees,

owners,

Internaliza

Marketing

tion theory

approach to foreign direct

investors.

Imperfection

investment.
Internation Organization

of

al

representatives

of

Accounting

professional

Standards

organizations

Board

countries that is attempting

(IASB)

to

harmonize

and

accounting
from

many

accounting

The

IASB

Research

Forum will form part of the 2016

Contemporary

Accounting

Research (CAR) conference that

will take place in Waterloo,

standards across countries.

Ontario, Canada on 15 and 16
October 2016.

Internation Any firm that engages in

al Business

international

trade

or

investment.
Internation Division Responsible for a
al Division firms international activities.
Internation For any two countries, the For example, if country A's
al

Fisher spot exchange rate should interest rate is 10% and country

Effect

change in an equal amount B's interest rate is 5%, country

but in the opposite direction B's currency should appreciate
to the difference in nominal roughly 5% compared to country
interest

rates

between A's

currency.

countries.
The rational for the IFE is that a
country with a higher interest
rate will also tend to have a
higher inflation rate.
increased amount
inflation should

This
of

cause

the

currency in the country with the

high interest rate to depreciate
against a country with lower
interest
Internation International institution set
al

up to maintain order in the

Monetary

international

monetary

Fund
system.
Internation Institutional

agreements

al

countries adopt to govern

Monetary

exchange rates.

System

rates.

Internation Trying to create value by Multidomestic

al Strategy

transferring

core strategy maximizes

competencies

to

foreign responsiveness

markets where indigenous decentralizing

competitors

lack

local
by

giving

decision-making

those authority to local business units

competencies.

in each country so that they can

create products and services

optimized to their local markets.

Internation Occurs when a firm exports The World Trade Organization
al Trade

goods

or

services

consumers
ISO 9000

in

country.
Certification
requires

referees

international

another trade. Agreements devised since

process

certain

to (WTO)

1948 by its 153 members

that The process of implementing

quality quality assurance standards is

standards that must be met.

called quality
management. Quality assurance
and quality management are the
areas covered by the ISO 9000
series.

J
Joint

A cooperative undertaking

Venture

between two or more firms.

Kellogg Company Joins with

Wilmar International Limited

Just

One that is considered fair & Redistribution of benefits

Distributio

equitable.

n
Just-In-

Logistics systems designed to JIT methods are high inventory

Time (JIT)

deliver parts of a production turnover ratios

and

high asset

process as they are needed turnover ratio ratios.

not before.
K
Kantian

Belief that people should be To use an example, with Kantian

Ethics

treated as ends and never ethics helping an old lady across

purely as means to the ends the street because you feel pity
of others.

for her is NOT a moral act.

Likewise, helping an old lady

because your coworker will think
highly of you is NOT a moral act.
However, helping an old lady
because you have a sense of duty
to help the elderly IS a moral act.
Knowledge

Network

for

Network

information

transmitting
within

an structured data using a capture,

organization that is based on codify

and

informal contacts between (Wilson, 2002).

managers

within

an

enterprise and on distributed

information system.

store

approach