Charles W. L. Hill - Global Business Today

page i

page ii

Global Business Today

12e

Charles W. L. Hill

University of Washington

page iii

For my children, Elizabeth, Charlotte, and Michelle

Charles W. L. Hill

page iv

GLOBAL BUSINESS TODAY

Published by McGraw Hill LLC, 1325 Avenue of the Americas, New York, NY 10121. Copyright 2022 by McGraw Hill LLC. All rights reserved. Printed in the United States of America. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written consent of McGraw Hill LLC, including, but not limited to, in any network or other electronic storage or transmission, or broadcast for distance learning.

Some ancillaries, including electronic and print components, may not be available to customers outside the United States.

This book is printed on acid-free paper.

1 2 3 4 5 6 7 8 9 LWI 24 23 22 21 20

ISBN 978-1-266-10314-8

MHID 1-266-10314-7

Cover Image: naqiewei/DigitalVision Vectors/Getty Images

All credits appearing on page or at the end of the book are considered to be an extension of the copyright page.

The Internet addresses listed in the text were accurate at the time of publication. The inclusion of a website does not indicate an endorsement by the authors or McGraw Hill LLC, and McGraw Hill LLC does not guarantee the accuracy of the information presented at these sites.

mheducation.com/highered

page v

about the author

Charles W. L. Hill

University of Washington

Charles W. L. Hill is a Professor of Strategy and International Business in the Foster School of Business at the University of Washington. Professor Hill has taught in the Management, MBA, Executive MBA, Technology Management MBA, and PhD programs at the University of Washington. During his time at the University of Washington, he has received over 25 awards for teaching excellence, including the Charles E. Summer Outstanding Teaching Award.

A native of the United Kingdom, Professor Hill received his PhD from the University of Manchester, UK. In addition to the University of Washington, he has served on the faculties of the University of Manchester, Texas A&M University, and Michigan State University.

Professor Hill has published over 50 articles in top academic journals, including the Academy of Management Journal, Academy of Management Review, Strategic Management Journal, and Organization Science. Professor Hill has also published several textbooks, including International Business (McGraw-Hill) and Global Business Today (McGraw-Hill). His work is among the most widely cited in international business and strategic management.

Professor Hill works on a private basis with a number of organizations. His clients have included Microsoft, where he taught inhouse executive education courses for two decades. He has also consulted for a variety of other large companies (e.g., AT&T Wireless, Boeing, BF Goodrich, Group Health, Hexcel, Philips Healthcare, Philips Medical Systems, Seattle City Light, Swedish Health Services, Tacoma City Light, Thompson Financial Services, WRQ, and Wizards of the Coast). Additionally, Dr. Hill has served on the advisory board of several start-up companies.

For recreation, Professor Hill enjoys skiing and competitive sailing!

page vi

brief contents

page vii

the proven choice for international business

Relevant. Practical. Integrated.

It is now more than a quarter of a century since work began on the first edition of Global Business Today. By the third edition, the book was the most widely used international business text in the world. Since then its market share has only increased. The success of the book can be attributed to a number of unique features. Specifically, for the twelfth edition we have developed a learning program that

• Is comprehensive, state of the art, and timely.

• Is theoretically sound and practically relevant.

• Focuses on applications of international business concepts.

• Maintains a tight integrated flow between chapters.

• Focuses on the implications of international business concepts for management practice.

• Makes important theories accessible and interesting to students.

• Incorporates ancillary resources that turbo-charge the text and make it easier to teach your course.

Over the years, and through now twelve editions, I have worked hard to adhere to these goals. It has not always been easy. An enormous amount has happened over the last 25 years, both in the real world of economics, politics, and business, and in the academic world of theory and empirical research. Often I have had to significantly rewrite chapters, scrap old examples, bring in new ones, incorporate new theory and evidence into the book, and phase out older theories that are less relevant to the modern and dynamic world of international business. That process continues in the current edition. As noted later, there have been significant changes in this edition, and that will no doubt continue to be the case in the future. In deciding what changes to make, I have been guided not only by my own reading, teaching, and research, but also by the invaluable feedback I receive from professors and students around the world who use the book, from reviewers, and from the editorial staff at McGraw Hill. My thanks go out to all of them.