The common goal of economics and management is the cost-performance of companies or national economies. First, this lecture provides students with a better understanding of material efficiency or energy efficiency in the EU, Asia, Russia and others, which should meet corporate social responsibility (CSR), armed with basic concepts of intermediates inputs and value added (GDP). Students are also able to understand various impacts of oil prices on the growth of Russia and the EU through energy efficiency and foreign trade.
Today, most companies and nations are involved in global business and supply/value chains. Not only large nations with giant multinational or trans-national companies but also small-medium nations with small-medium companies have to seek better cost-performance for their own value added (GDP) or profit margins, considering outsourcing, fragmentations, intermediate imports, imported capital investment, and domestic or foreign human resources. These relations generate global business/supply/value chains. The importance of Global Value Chains (GVCs) is addressed by WTO, OECD and other international organizations, using a new concept of value added trade and intercountry production data with foreign trade. This lecture focuses on GVCs generated by global business-supply chains, using data on intercountry data in its simplified versions and case studies (iPhone, TOYOTA or Ford). Through this lecture, students will be able to better understand issues of global business chains and how to generate global business chains to maximize their own profit margins or value added. They may also fully discuss US-China/Mexico/Japan trade frictions addressed by Mr. Trump from the viewpoint of GVCs. In addition, students will be able to better synthesize the relationships of material or energy efficiency with GVCs that better meet CSR away from global warming.