IBUS 211 Semester Project
You are an attorney (“in-house counsel”) for a U.S. based company ready to expand into the international market. Your company will be doing business in a country of your choice. It is your job as in-house counsel to advise the company on legal issues, strategy, and risk management.
Create your own company/product/service (i.e. licensing intellectual property rights to use technology your company has created, or investing in a logging operation in Brazil for use of raw materials in your luxury boat company). See examples below.
Decide what methods your company will use to penetrate the international market –
You must combine at least two methods (i.e. trade and foreign direct investment; licensing and trade; franchising and foreign direct investment).
You are a U.S. company that builds luxury boats. Your company merges with a Brazilian firm to open a logging operation (foreign direct investment) in Brazil, managed by Americans and staffed by Brazilians. You export the raw materials from Brazil to the United States for processing and manufacturing.
You are a U.S. company that owns a patented technology for building personal space rockets. Your company licenses your patent rights to a factory in Germany to manufacture the rockets. Once built, you import the rockets back into the United States for use.
Please use single spacing with a double space between paragraphs. 12 pt font. Follow the outline below to format your paper.
Written Portion (180 points total)
***********You must cite your sources.*******************
Section I. INTRODUCTION (5 points)
The type of business/product proposed and a brief description, including logistics (i.e. method of transportation for goods (sea or air), staffing of employees in a manufacturing plant overseas, whatever is applicable). A brief description of the country proposed for business, identification of major existing tariff/non-tariff barriers, and the conclusion and rationale for selecting each business entry method.
Section II. ANALYSIS OF THE INTERNATIONAL BUSINESS RISKS AND BENEFITS: Legal, Political, and Economic analysis of United States and proposed trading country (50 points)
Section III. STRATEGY, CONTROL, MARKETING, AND CORPORATE SOCIAL RESPONSIBILITY (50 points)
Section IV. LEGAL AND BUSINESS RECOMMENDATIONS (Business Hat and Lawyer Hat) (25 points)
Comparative Legal/Business Analysis of the overall risks and benefits of doing business in your chosen country. Based on such risks, and your chosen country’s legal, political, and economic environment, make recommendations and provide an analysis of negotiation points for the company (i.e. importance of choice of law, forum clauses, cultural influences, dispute resolution, etc.)
Section V. CONCLUSION AND APPLICATION (50 points)
Draft a contract to minimize your company’s overall risk for one of the methods you chose to conduct business (for example, if you chose to license a patent and export the goods, you can draft either a licensing agreement or a trade/sales agreement. Or if you chose to build a factory in a foreign country and import raw materials for production, you can draft a business contract or a sales agreement). Remember to consider:
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