Trade is an important part of the growth and profitability of a nation. In the age of globalization, international trade has played a major role in the survival of both developed and developing countries. Globalization basically helped intensified competition among nations in the international market. This is reflected in regard to trading in goods and services and in movement of capital, labor and employment, environment (Hartungi, 2006).
BACKGROUND OF THE STUDY
The UN Millennium Development Goal has eight key goals that guide developing countries. They include: eradicating extreme poverty and hunger; achieving universal primary education; promoting gender equality and empowering women; reduce child mortality; improve maternal health; combat HIV/AIDS, malaria and other diseases; ensuring environmental sustainability; and developing a global partnership for development (UN, 2005). The last requirement, or the eight development goal, is the main concern of this study because it tells all about trade and trading policies that developing countries should adopt. It tells developing countries to create an open trading system and financial system that is compatible with today's globalization trend. This has already been followed by
The study aims to investigate the improvements and changes of trade relations between
Ø To explore the developments of trade relationships between
Ø To identify the effects of
Ø To identify the effects of
Ø To identify the impact of
Ø Does the difference in culture between the two countries impact their trade relations?
The following objectives will be explored through secondary research on previous news, documents of the Department of Trade of
The literature review for this research will be acquired from
One specific variable that will be investigated in this study is the difference of culture between the two and its impact on their trade relations. Initially, Hofstede's (1980) four value dimensions will be used, which explain differences among work-related value patterns and affect the structuring and functioning of organisations. The four dimensions are the following:
Ø Large versus small power distance. Large power distance is the extent to which the members of a society accept that power in institutions and organisations is distributed unequally; while small power distance is the extent to which members of a society or organization accept that power is distributed fairly as employees are free to participate (Adler, 1997).
Ø Strong versus weak uncertainty avoidance. Strong uncertainty avoidance means the degree to which the members of a society feel uncomfortable with uncertainty and ambiguity, which leads them to support beliefs promising certainty and to maintain institutions protecting conformity; while weak uncertainty avoidance is the degree to which members tend to be relatively tolerant of uncertainty and ambiguity and require considerable autonomy and lower structure (Rodriguez, 1995).
Ø Individualism versus collectivism. Individualism is the preference for a loosely knit social framework in society; collectivism stands for a preference for a tightly knit social framework.
Ø Masculinity versus femininity. Masculinity is the preference for achievement, heroism, assertiveness and material success; while femininity refers to a preference for relationships, modesty, caring for the weak and the quality of life.
Secondary research will be conducted in the study. In other words, it will rely on previously written documents, news and articles. The date to which the documents are valid is from 1970 to the current date. The study will compile information, and though that, will analyze the changes and current condition of Russia-Zimbabwe trade relationship. The research will be conducted in
The study expects that the relationship between Russia and Zimbabwe in terms of trade have improved because of the guidelines released by the UN, the change of political climate in both countries, and improvement of both countries' democratic policies, internationally and locally. This will be confirmed once the study is finished.
REVIEW OF RELATED LITERATURE Internet banking refers to the utilization of the Internet for performing transactions and payments by accessing a bank's secure website.It also pertains to the application of financial services and markets through the use of electronic communication and computation(Humphrey et al. 2004).The developments can be subdivided into two main areas. The first is the impact of Internet banking on financial services. Most economists perceive that the existence of the Internet and other electronic communication processes has significantly changed many aspects of the banking industry. A majority of the services normally provided by banks can already be provided by other financial entities (Jayaratne et al. 2001). The second main area is the major transformation that occurred on most financial markets. Nowadays, these no longer need to be related with a physical place. In effect, trading systems for foreign exchanges are gradually becoming global. All these change…