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As Hurricane Katrina roared towards the Louisiana and Mississippi coasts on August 28, 2005, the public sector-ranging from local law enforcement to the Federal Emergency Management Agency-feverishly prepared for what was expected to be a devastating hit. At the same time, the private sector was undergoing its own exhaustive preparations. At its Bentonville, Arkansas, headquarters, giant retailer Wal-Mart had already launched a comprehensive emergency response that included stocking stores in the storm zone with special merchandise; stationing teams to evaluate stores as soon as the hurricane passed; and gathering representatives of all major functional areas in a centralized emergency operations center in order to find displaced employees, re-open stores, and help stricken communities. After Hurricane Katrina caused catastrophic flooding that overwhelmed the government's response, though, Wal-Mart found itself playing a larger role than it had anticipated. The following chaotic weeks raised important questions about whether the public sector could take full advantage of the retailer's strengths and capabilities, and whether it was ready to accept a larger role for Wal-Mart and other companies in responding to national emergencies. The case should be useful for those interested in emergency preparedness; inter-agency collaborations; public-private partnerships; and organizational behavior. Revised September 2008. HKS Case Number 1876.0

As Hurricane Katrina roared towards the Louisiana and Mississippi coasts on August 28, 2005, the public sector-ranging from local law enforcement to the Federal Emergency Management Agency-feverishly prepared for what was expected to be a devastating hit. At the same time, the private sector was undergoing its own exhaustive preparations. At its Bentonville, Arkansas, headquarters, giant retailer Wal-Mart had already launched a comprehensive emergency response that included stocking stores in the storm zone with special merchandise; stationing teams to evaluate stores as soon as the hurricane passed; and gathering representatives of all major functional areas in a centralized emergency operations center in order to find displaced employees, re-open stores, and help stricken communities. After Hurricane Katrina caused catastrophic flooding that overwhelmed the government's response, though, Wal-Mart found itself playing a larger role than it had anticipated. The following chaotic weeks raised important questions about whether the public sector could take full advantage of the retailer's strengths and capabilities, and whether it was ready to accept a larger role for Wal-Mart and other companies in responding to national emergencies. The case should be useful for those interested in emergency preparedness; inter-agency collaborations; public-private partnerships; and organizational behavior. Revised September 2008. HKS Case Number 1876.1

The theory of comparative advantage is a surprisingly common-sense idea, but it is often misunderstood. In this technical note the basic theory of comparative advantage is presented with an example that drives home its logic when there are technological differences between countries. In addition, we look at some extensions that specify other sources of comparative advantage, as well as some related theories.

This note discusses the welfare implications of tariffs for consumers, producers, and the government. A brief survey of the state of protectionism in recent years is included.

South Africa had formally introduced a policy of inflation targeting (IT) in February 2000. By December 2001, the governor of the South African Reserve Bank after reading the latest statistics is concerned with the disappointing economic data. Economic activity had slowed drastically, to the point that the country appears to be heading for a recession. The gloomy statistics force the governor to consider whether the country had pursued the right policy. The persistently high unemployment, one legacy of the apartheid era, meant that South Africa did not have the luxury of waiting for new policies to bear fruit. With inflation forecast to exceed the mandated target, the governor would have to tighten monetary policy, which would further restrict investment. He questions whether it is time for South Africa to change course.

This article was controversial when first published in 1980. At the time, American business was suffering from marked deterioration in competitive vigor and economic well-being, which most economists and business leaders attributed to factors such as the virus of inflation, the limitations imposed by government regulation and tax policy, and the feverish price escalation by OPEC. Not quite right, say the authors. In their judgment, responsibility rests not with general economic forces alone but also with the failure of American managers to keep their companies technologically competitive over the long run. Drawing on their extensive work in the manufacturing sector, as well as their association with Harvard's International Senior Managers Program in Vevey, Switzerland, the authors prescribe some strong medicine for American business. They compare the U.S. system of management with those of Europe and Japan and call for fundamental shifts in management attitudes and practices. In advocating change, they also reaffirm the importance of following business basics: to invest, innovate, lead, and create value where none existed previously. The original article now includes a sidebar by Robert Hayes, who summarizes what has--and what has not--changed in American management over the past 27 years. He encourages managers to go beyond the traditional fundamentals to implement a new set of essentials for today's networked, virtual world.

Singapore is the most future-oriented country in the world, new research from Thunderbird business school reveals, whereas Russia is the least. Yet people the world over aspire to plan for the future, a fact global managers can use to inspire workers in present-oriented cultures to look ahead.

Considers the strategy of U.S.-owned IBM, then a manufacturer of punch cards, in Nazi Germany before 1937. Opens with IBM CEO Thomas J. Watson meeting Adolf Hitler in his capacity as President of the International Chamber of Commerce. IBM had acquired a German company in 1922 and, like other American companies, found itself operating after 1933 in a country whose government violently suppressed political dissent and engaged in intimidation and discrimination against Jews. Explores the tensions between IBM's German affiliate and its parent and provides an opportunity to explore the options and responsibilities of multinationals with investments in politically reprehensible regimes.

"Caselets" present several examples of decisions involving bribery or take other actions that could be considered as corrupt.

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Examines how the Tanzania government intends to address a pressing deterioration in the infrastructure and services of Dar es Salaam's Water and Sewage Authority. The decision process unfolds in the spring of 2002, on the heels of the Cochabamba uprising in Bolivia and an increasing dispute over the involvement of the International Finance Corporation and the World Bank in other water development projects in Ghana, Mauritania, and South Africa. At that time, the World Bank was already sponsoring similar projects in Angola, Benin, Guinea-Bissau, Niger, Rwanda Sao Tome, and Senegal, despite some vocal local opposition. Provides a rich and graphic account of the special threats and opportunities in the water sector--a wealth of complementary teaching resources can also stimulate larger debates by juxtaposing the decision with a broader crisis of confidence in for-profit solutions to water and sewage provision in Africa and Latin America.

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Describes Italy's main macroeconomic problems: low productivity growth, stagnant GDP growth, and high public debt. As of early 2007, the country's global competitiveness has plummeted and its debt remains well above the level allowed by the EU's Maastricht treaty. Historical and structural reasons for the current situation are explored, and Italy's possible strategies are discussed in the context of the country's challenging political climate. A replacement of an earlier case done in 2003.

In April 2001, Japan curbed imports on three Chinese farm products--fresh shiitake mushrooms, rushes for grass mats, and Chinese onions. In retaliation, in June 2001 China imposed a 100% punitive tariff on imports of three Japanese export products--motor vehicles, mobile phones, and air conditioners. Japan was accused of violating WTO rules. The dispute was subsequently resolved, but given that China was not a WTO member at the time of the dispute, the dispute generated a lot of controversy regarding trade safeguard measures. Introduces students to the WTO dispute settlement mechanism and compares it to the old GATT system, and highlights the role of political interest groups in trade policy. Questions whether Japan had a case for citing their safeguard measures or was it just protecting its powerful shiitake mushroom farmers. In addition, questions whether WTO membership would in turn protect China from trade disputes such as this one.

Examines the career of Ernesto Tornquist, a cosmopolitan financier considered to be the most significant entrepreneur in Argentina at the end of the 19th century. Tornquist created a diversified business group, linked to the political elite, which integrated Argentina into the trading and financial networks of the first global economy. Provides an opportunity to understand why Argentina was such a successful economy at this time, and to debate whether its very success laid the basis for the country's subsequent poor economic performance.

Describes the circumstances surrounding the introduction of www.google.cn. In order to comply with Chinese government requirements, Google.cn censors web results. This appears to contradict Google's stated philosophy and its mission to organize and make accessible the world's information. A public outcry ensues and Google is forced to defend its controversial decision. Presents both sides of the debate and asks students to consider what they feel is right.

By 2006, the Point Lisas Industrial Estate (PLIPDECO) consisted of approximately 44 industrial sites on 1,000 hectares of land. Some in Trinidad advocated the creation of additional estates as well as expansion into business like aluminum, which required a great deal of energy. The government of Trinidad had continued a menu of tax exemptions and incentives, and substantial additional foreign investments were expected. Meanwhile, Hugo Chavez had become President of Venezuela and had instituted a socialist, anti-American regime that was seizing assets and rewriting contracts with foreign investors. Trinidad looked like a favourable investment site compared with Venezuela. However, not all was happiness. The businesses involved with PLIPDECO needed relatively few employees. Some in Trinidad referred to this reality as the "curse of oil."

At the 2005 Group of Eight summit, world leaders agreed to relieve the world's poorest countries' debt burden and double aid to Africa by 2010. The announcement raised questions whether debt relief would really help the poor. By examining past aid trends and policies of multilateral institutions, such as the International Monetary Fund and the World Bank, this case also questions whether aid can allow poor countries to break their vicious cycle of poverty, and/or how aid can be used effectively.