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International Business Environment Essay

3418 words - 14 pages

1. International business environment
Book0)Business mean to busy in an activity, which are related to money almost business have 50% chances of profit and losses.(Morrison, j. 2002)Business is operated in every part of the world. As the business grow. It is looking for new opportunities across the border. International business is the term use for the operation and objective of the organisation that have interest in other countries. For example Tesco, Ford, General Motor, McDonald, Disney, so many other companies. These companies have key interest to standardise their product for general acceptance. The international business becomes more complex. Tie between the different societies and ...view middle of the document...

(Czinkota et al., 1999) The international business brings countries together. It makes the world as global village. It exchanges the ideas, information, service, and capital across the country's borders. This results in best used of human capital increases employee opportunity. Equal growth of wealth, price stability, availabilities of goods and services to each and every one. It bring new environment of friendship, development, stability, prosperity, innovation and technology in the world. Due to the international business same kind of product are used throughout the world. For example ford, Toyota, Honda, and McDonald, KFC, burger king, and so many other things which are use worldwide.
International business brings globalisation in the production. For example dell computer it different part are produced in different countries, assemble these parts in another and sell it in yet other countries.
3. Definition of international business
(Book4) “The commercial activities crossed national borders. It involved the international movement of good, capital, services, employees and technology; importing and exporting; cross-border transactions in intellectual property (patents, trademarks, know-how, copyright materials, etc) via licensing franchising and management contracts.”
Book3 ) “the transaction done by individual or organisation cross the countries. To satisfied the objective by mean of export, import and foreign direct investment. And it carried out in wholly owned, joint venture, licensing, franchising and management contracts”
4. Problems of international business
Book4) International business experiences some difficulties when they operate in other countries.
* International businesses have to deal under the local rules and regulation. Have to use foreign languages.
* Difficult to get information about foreign countries.
* Deal in foreign currency. The exchange rate may be varied.
* When deal in other countries their culture and social value must be taken in account.
* The risk factor is high in foreign countries include political, commercial, and financial.
* Communication and control of international business is difficult.
* Difficult to absorb the demand of the international market.
* Most of time is waste in research and survey of the local market trends.
5. Meaning of stability
J1) Stability is very important for the human life. Without it there will be no “culture” no “organisation” and no “society”. (dictionary) According to oxford`s dictionary. “Resistance to change, deterioration or displacement”. Stability is a ship in the sea which maintain its upright position either the condition is.
Stability maintain for long period of time and it resist to all the changes that happen in the surrounding. According to Aldous Huxley`s “the stability is way of life. And life Moto is community, identity and stability.” if we come to the countries stability it has great impact on all walks of life. J4)...

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