International Business Chapter 3 - Politics and Law - terms

Chapter 3 - terms

Political system -- structures, processes, and activities by which a nation governs itself
democracy -- a political system in which government leaders are elected directly by the white participation of the people or by their representatives
Representative democracy -- democracy in which citizens elect individuals from their groups to represent their political needs and views
private sector -- segment of the economic environment comprising independently and firms that exist to make a profit
totalitarian system -- political system in which individuals govern without the support of the people, government maintains control over many aspects of people's lives, and leaders do not tolerate opposing viewpoints
theocracy -- political system in which a country's political leaders are religious leaders who enforce laws and regulations based on religious beliefs
theocratic totalitarianism -- political system in which religious leaders govern without the support of the people and did not tolerate opposing viewpoints
secular totalitarianism -- political system in which leaders rely on military and bureaucratic power
Communism -- the belief that social and economic equality can be obtained only by establishing on all powerful Communist Party and by granting the government ownership and control over all types of economic activities
Socialism -- the belief that social and economic equality is obtained through government ownership in regulation of the means of production
capitalism -- the belief that ownership of the means of production belongs in the hands of individuals and private businesses
political risk -- likelihood that a government or society will undergo political changes that negatively affect local business activities
confiscation -- forced transfer of assets from a company to the government without compensation
expropriation -- forced transfer of assets from a company to the government with compensation
nationalization -- government takeover of an entire industry
local content requirements -- laws stipulating that a specified amount of a good or service be supplied by producers and the domestic market
lobbying -- policy of hiring people to represent a company's views on political matters
Foreign Corrupt Practices Act -- 1977 statute for baiting US companies from bribing government officials or political candidates and other nations
legal system -- set of laws and regulations, including the processes by which a country's walls or enacted and enforced in the ways in which its courts hold parties accountable for their actions
e-government -- use of information technology and e-commerce techniques that allow citizens and businesses to access government information and obtaine public services
nationalism -- devotion of a people to their nation's interests and advancement
common law -- legal system based on a country's legal history (tradition), passed cases that have come before its courts (precedent), and the ways in which laws are applied in specific situations (usage)
civil law -- legal system based on a detailed set of written rules and statutes that constitute a legal code
theocratic law -- legal system based on religious teachings
intellectual property -- property that results from People's intellectual talent and abilities
property rights -- legal rights to resources and any income they generate
industrial property -- patents and trademarks
patents -- property right granted to the inventor of a product or process that excludes others from making, using, or selling the invention
trademark -- property right in the form of words or symbols that distinguish a product in its manufacture
copyright -- property right giving creators of original works the freedom to publish or dispose of them as they choose
Berne Convention -- international treaty that protects copyrights
product liability -- responsibility of Manufacturers, sellers, and others for damage, injury, or death caused by defective products
value added tax (VAT) -- tax levied on each party that adds value to a product throughout its production and distribution
antitrust (anti-monopoly) laws -- laws designed to prevent companies from fixing prices, sharing markets, in gaining unfair monopoly advantages
ethical behavior -- personal behavior that is in accordance with rules and standards for right conduct or morality
social responsibility -- practice of companies going beyond legal obligations to actively balance commitments to investors, customers, other companies, and communities
United Nations (UN) -- international organization formed after World War II to provide leadership in fostering peace and stability around the world