The European Economic Community (EEC): Pros, Cons, and Challenges

Global Business

Table of Contents
INDIVIDUAL NOTES 1 ................................................................................................................1
Online research on The European Economic Community (EEC) .............................................1
Pros and Cons of EEC.................................................................................................................2
INDIVIDUAL NOTES 2.................................................................................................................4
Critically discuss the reason why MNCs internationalise...........................................................4
Typical challenges.......................................................................................................................5
INDIVIDUAL REPORT ................................................................................................................7
Introduction.................................................................................................................................7
Analysis of domestic market.......................................................................................................7
Strategy to internationalise..........................................................................................................8
Selected country environmental analysis....................................................................................8
Mode of entry .............................................................................................................................9
Leadership qualities for the support of market entry..................................................................9
Conclusion.................................................................................................................................10
INDIVIDUAL REFLECTIVE ESSAY.........................................................................................10
REFERENCES..............................................................................................................................13

INDIVIDUAL NOTES 1
Online research on The European Economic Community (EEC)
The European Economic Community was the regional organisation as its objective is all
about economic integration between their state members. It was created by the Treaty of Rome
of 1957 regarding their formation of European Union as it was incorporated and renamed as the
European Community. Moreover in 2009, the EC's institutions were absorbed within the wider
framework for the ceased to exist. Along with this, it is designed in order to develop common
market among their members considering the reduction of most trade barriers for the
development of outside trade policies (Peng, 2016). Away with this, the first reduction in EEC
internal tariffs was executed in January 1959 but after 1968 all the inside tariffs had been
removed. The overall purpose of EEC in its preamble was to “reservation of peace and liberty
and also lay to the foundation of ever close union between people of Europe”. For this, balanced
economic growth was accomplished by:
 The development of customs union with common external tariff.
 Common policies for the agriculture, transport and trade considering standardization.
 Enlargement of EEC for the rest of Europe.
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(Source: European Community, 2020)
Pros and Cons of EEC
Pros:
 Easy access of European markets.
 Community and its members are entitled to European Development Grants.
 For this, British workers had all the rights to work in different EEC countries.
 The EEC could work together on the social matter like money for pitiful troubled
countries. The individual nations within the Europe struggle has prominent influence on the global
stage due to their size. It also leads to have larger economic blocks as it create better
import and export opportunities for the better pricing on the required commodities which
is beneficial for the greater products of Europe.
Cons:
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Illustration 1: European Community