Btec 2020 l3 Int Bus DG U5 v1
Btec 2020 l3 Int Bus DG U5 v1
Btec 2020 l3 Int Bus DG U5 v1
Delivery guidance
Learners are likely to be familiar with a number of global business organisations in their
role as consumers or in a workplace setting. This unit gives learners the opportunity to
understand how globalisation can have an impact on all businesses, regardless of their
size. In approaching this unit, therefore, you have the opportunity to focus not only on
the major players in the global economy but also those small and medium-sized
businesses in the local economy who are directly involved in international business or
who are influenced by changes in international markets.
Refer learners to local, national and international businesses so that they gain an
appreciation of the complex network of business relationships that exist in the global
economy and how technology influences these networks. Additionally, learners should
consider the risks faced by those businesses that are involved in international business
in order to understand that although the global economy gives businesses
opportunities for growth and profits, it also brings with it considerable challenges.
Your learners are likely to be familiar with some of the social, economic and political
issues that have arisen as a result of globalisation. The focus of this unit, however,
should be clearly on the implications for business of globalisation (which, in this unit,
includes international communications and technology, international currencies, trading
blocs and the notion of the international mobility of labour and capital).
In this unit, learners are not required to make any judgements regarding the scope and
development of globalisation, but they are required to explore the issues and
challenges prompted by globalisation. For example, the dominance of large
international corporations in some countries can exert a negative influence on
competition and the growth of local businesses. On the positive side, such large
international businesses can be a stimulus for the development of a country’s
infrastructure and the upskilling of its workforce. This, in turn, can have a both a positive
direct and positive indirect impact on the development of new businesses in the
economy. For example, smaller businesses could supply parts to the larger
multinationals, thereby directly benefiting from the fortunes of the large business. More
indirectly, a small firm can take advantage of external economies of scale (such as
infrastructure development, technology transfer and a skilled workforce) to contribute
towards its own growth and development. It is important for learners to understand the
factors that have influenced the growth of globalisation and how small and medium-
sized enterprises can exploit these factors for their own advantage.
Many countries belong to some form of trading bloc or have established trade deals
with specific countries. Learners should explore the features of different types of
trading blocs and identify the influence of these trading associations on the activities of
a business.
with international business. Simple calculations involving exchange rate calculations will
enable learners to analyse the impact of currency fluctuations on the price of imported
raw materials and the price of exported goods in international markets. Similarly, the
impact of direct and indirect barriers to international business, such as tariffs and
quotas (direct barriers) and product standards (indirect barriers), could be explored in
relation to specific markets and countries.
Taking all of these points into consideration will enable learners to apply their
knowledge of international business to specific business contexts and the operational
influences that will impact upon business decisions, tactics and processes.
You can use a range of delivery methods in this unit, such as:
● discussions, e.g. class and small group discussions on the international business
environment
● videos.
Group work is an acceptable form of delivery, but you must ensure that each learner
produces sufficient evidence on their own for assessment.
You can also involve local employers in the delivery of this unit if there are local
opportunities to do so.
When introducing learning aim A, it would be useful for learners to have a broad
understanding of the scope and scale of international business in their own country.
This should include the country’s main exports and imports and how international
business has helped shape the local, national and international economy. You could
produce a data sheet drawn from official government sources, which learners could use
to identify the features and characteristics of the country’s trading activities. You could
then highlight to them the nature of international business in terms of activities that
involve trade in both goods and services. You could also refer to those features in the
local economy that have been influenced by international trading activities. This could
involve visits to businesses in a local retail or business park or inviting a local business
leader to talk to your learners about the international dimension of their business
operations, including the business’s main markets and suppliers.
For learning aim B, you could prepare a presentation for your learners on the different
types of trading blocs and associations that exist in the global economy, looking at
barriers to international business and why they exist. Again, the focus should be on the
implications for business rather than the wider social and political implications of
globalisation.
Learners should engage in activities that highlight how these features influence
business operations. For example, you could introduce learners to one of the major
risks in international business: international currency fluctuations. You could ask
learners to track international currency fluctuations and encourage them to update you
and the class in each lesson with what they have found. You could then use this
information to identify some of the business risks or opportunities associated with
these fluctuations and the implications for specific businesses.
Having identified the main features of globalisation, learning aim C gives learners the
opportunity to look at these features from the perspective of specific international
businesses. Recap the concept of the external business environment and the features
that can be identified in this environment (previously covered in Unit 1: Exploring
Business). Make your learners aware of the reasons why it is important for a business to
have a clear understanding of the environment in which it operates. You should link this
to the business risks identified in learning aim A.
You could then guide learners through the various models that can be used by
businesses to analyse the external business environment in which they operate. Case
studies involving online research of specific multinational corporations are particularly
useful for allowing learners to conduct STEEPLE analysis (Social and cultural,
Technological, Economic, Environmental, Political, Legal and regulatory, Ethical).
Learners should use situational analysis to consider the impact of external factors on
international business.
Learners are likely to focus on the role of technology and its influence on
communications as a key factor in the development of the global economy. This could
be used as the stimulus for introducing the impact of globalisation on the international
business support systems that is utilised within the main functional areas. For example,
engaging in the global economy requires a business to have access to a range of
different payment methods. It would therefore be useful for you to explain these
different methods to learners; this background knowledge will enable them to complete
a case study looking at how different payment methods could be used in different
circumstances.
Learning aim C also gives learners the opportunity to apply the knowledge and
understanding that they have gained to considering the implications of operating
internationally on business strategies. Explain the types of business relationships and
organisations that could be considered when engaging in international trade, such as
licensing, agencies and outsourcing.
Some learners may not be aware that many multinational corporations with which they
are familiar operate as franchises. It is therefore useful for them to look at how
franchises operate and how franchises may have to take into account local
circumstances and cultures in certain countries.
Assessment model
Assessment guidance
This unit is assessed internally. The recommended assessment is through two internal
assignments (in the form of reports), one for learning aim A and one for learning aims B
and C. An assignment is a distinct activity that is completed independently by learners
and that is separate from teaching, practice, exploration and other activities that
learners complete with direction from you. All learners must work independently and
generate their own evidence towards the achievement of the learning aim(s), and this
must be appropriately authenticated.
For learning aim A, learners must produce a comprehensive report that explores both
the positive and negative factors that influence the growth or reduction in scale of
business activities that take place in the global economy
For learning aims B and C, learners must produce a comprehensive case study of a self-
selected international business organisation and undertake an in-depth exploration of
how its involvement in international business contributes to its mission, values and
long-term strategic aims. Central to the exploration will be the preparation of SWOT
analysis (Strengths, Weaknesses, Opportunities, Threats) and STEEPLE analysis (Social
and cultural, Technological, Economic, Environmental, Political, Legal and regulatory,
Ethical). These types of analysis will enable the learner to identify the opportunities and
risks faced by the business and how it adapts its strategy and business tactics in
different international markets to take account of these factors.
Give learners the opportunity to engage in assignments that develop and support their
knowledge of international business as well as their generic skills. Research activities
should ask learners to use different source materials that require them to present their
findings in a variety of formats, such as reports, business articles and presentations. In
their completed assignments, learners should show evidence of data analysis and
evaluation. This data analysis should be used to inform and justify any conclusions and
recommendations that they include in their final submission.
Getting started
This provides you with a starting place for one way of delivering the unit, based
around the recommended assessment approach in the specification.
Introduction
The impact of globalisation is one of the key challenges faced by business organisations. It
demands creative strategies that allow businesses to reap the rewards gained by operating in
the global economy while at the same time addressing the risks that arise when conducting
international business. The ultimate aim of this unit is for learners to evaluate the effectiveness
of strategies implemented by international businesses.
Begin by introducing the aims of the unit, giving an overview of the content of the learning
aims and explaining how learners will be assessed. This will give a basis for the types of
activities in which learners will be engaged throughout this unit.
sized enterprises.
● In small groups, learners research the role of technology in opening up opportunities for
international business, then present their findings to the class.
● Extend learning by asking learners to write a short report reviewing the influences that
have led to the development of international businesses within the global economy. This
should include the range of agencies which serve to support the interests of international
businesses and government support.
● Ensure that all learners are prepared for assessment before handing out the assignment
brief for learning aim A.
Resources
In addition to the resources listed below, publishers are likely to produce Pearson-
endorsed textbooks that support this unit of the BTEC Internationals in Business. Check
the Pearson website (http://qualifications.pearson.com/endorsed-resources) for more
information as titles achieve endorsement.
Textbooks
Brewer, Q., Edexcel Economics – A Student Guide: Theme 4 A global perspective. Phillip Allan,
2016, ISBN: 9781471857805
Includes relevant sections on global markets, cultural factors and corporate social
responsibility. Suitable for higher-level learners.
Peng, M. and Meyer, K., International Business (3rd edition), Cengage, 2019, ISBN:
9781473758438
Daniels, J., Radebaugh, L. and Sullivan, D., International Business: Environments &
Operations Global Edition (16th edition), Pearson, 2019,
ISBN 9781292214733
Videos
Websites
Economics Online is a website that covers aspects of globalisation, including video clips
and links to global organisations such as the World Trade Organization (WTO) and the
European Union (EU).
Pearson is not responsible for the content of any external internet sites. It is essential for tutors to
preview each website before using it in class so as to ensure that the URL is still accurate, relevant and
appropriate. We suggest that tutors bookmark useful websites and consider enabling students to access
them through the school/college intranet.