File Name: nature and characteristics of international business .zip
- International Business
- International Marketing - Characteristics
- Importance of International Business
Globalisation refers to the integration of markets in the global economy, leading to the increased interconnectedness of national economies. Markets where globalisation is particularly significant include financial markets , such as capital markets, money and credit markets, and insurance markets, commodity markets, including markets for oil, coffee, tin, and gold, and product markets, such as markets for motor vehicles and consumer electronics. The globalisation of sport and entertainment is also a feature of the late 20th and early 21st centuries.
While some believe that entrepreneurs are born rather than made, anyone can at least learn some of the characteristics that make entrepreneurs what they are. There is no single definition of what an entrepreneur actually is, but the term usually refers to someone who, among other things, spearheads a venture, makes decisions on how to proceed, secures the capital needed to make the venture a reality, and shoulders most or all of the associated risk. In order to think like an entrepreneur, you need to have or develop the characteristics of an entrepreneur. Read on to find out about entrepreneurial skills that will help you in the workplace.
Globalisation refers to the integration of markets in the global economy, leading to the increased interconnectedness of national economies. Markets where globalisation is particularly significant include financial markets , such as capital markets, money and credit markets, and insurance markets, commodity markets, including markets for oil, coffee, tin, and gold, and product markets, such as markets for motor vehicles and consumer electronics.
The globalisation of sport and entertainment is also a feature of the late 20th and early 21st centuries. Globalisation brings a number of potential benefits to international producers and national economies, including:.
Most recently, the collapse of the US sub-prime housing market triggered a global crisis in the banking system as banks around the world suffered a fall in the value of their assets and reduced their lending to each other. This created a liquidity crisis and helped fuel a severe downturn in the global economy. Over-specialisation, such as being over-reliant on producing a limited range of goods for the global market, is a further risk associated with globalisation.
A sudden downturn in world demand for one of these products can plunge an economy into a recession. Many developing countries suffer by over-specialising in a limited range of products, such as agriculture and tourism. The awareness of rising inequality, along with job losses, has been argued to have contributed to the rise in anti-globalisation movements. Increased trade associated with globalisation has increased pollution and helped contribute to CO 2 emissions and global warming.
Trade growth has also accelerated the depletion of non-renewable resources, such as oil. The impact of globalisation on the UK economy The main issues arising from globalisation for the UK are:. However, growth in the short term may become more unstable as the global economy becomes increasingly interconnected. The recent credit crunch is evidence that unstable growth is a possible consequence of globalisation. Some economists have also argued that globalisation has increased the process of deindustrialisation in the developed countries, including the UK.
Long term, jobs may be destroyed in the manufacturing sector and created in the service sector, hence creating structural unemployment , which could widen the income gap within countries. The net effect of the impact on employment depends upon the speed of labour market adjustment, which itself depends upon mobility and flexibility. Improvements in labour productivity may be needed to close the productivity gap. Increased competition is likely to reduce the price level, for traded manufactures.
Because UK firms can source from around the world costs may be held down, and this may be passed on in terms of reduced domestic and export prices. The volume of both imports and exports is likely to increase, with trade representing an increasing proportion of GDP. The effect on the balance of payments is uncertain and depends upon relative growth rates, inflation, competitiveness, and the exchange rate.
The economy is one of the major political arenas after all. Identifying Speculative Bubbles and Its Effect on Markets Speculation plays an interesting role in economics and one that drastically affects markets.
It is Many economies are at the brink of collapse, as companies struggle to stay afloat. World governments Globalisation Globalisation refers to the integration of markets in the global economy, leading to the increased interconnectedness of national economies. Why has globalisation increased? The pace of globalisation has increased for a number of reasons: Developments in IT, transport and communications have accelerated the pace of globalisation over the past 40 years.
More recently, the rise of social media means that national boundaries have, in many ways become irrelevant as producers use new forms of communication and marketing, including micro-marketing, to target international consumers. The rise of new electronic payments systems ,, including e-Wallets, pre-pay and mobile pay, e-Invoices and mobile pay apps, also facilitate increased global trade.
When capital can move freely from country to country, it is relatively straightforward for firms to locate and invest abroad, and repatriate profits. Increased trade which has become increasingly free, following the collapse of communism, which has opened up many former communist countries to inward investment and global trade. The emergence of footloose multinational and transnational companies MNCs and TNCs and the rise in the significance of global brands such as Microsoft, Apple, Google, Sony, and McDonalds, has been central to the emergence of globalisation.
The drive to reduce tax burdens and avoid regulation has also meant the establishment of complex international business structures.
The advantages of globalisation Globalisation brings a number of potential benefits to international producers and national economies, including: Providing an incentive for countries to specialise and benefit from the application of the principle of comparative advantage.
Access to larger markets means that firms may experience higher demand for their products, as well as benefit from economies of scale , which leads to a reduction in average production costs. Globalisation enables worldwide access to sources of cheap raw materials, and this enables firms to be cost competitive in their own markets and in overseas markets.
Seeking out the cheapest materials from around the world is called global sourcing. Because of cost reductions and increased revenue, globalisation can generate increased profits for shareholders. Avoidance of regulation by locating production in countries with less strict regulatory regimes, such as those in many Less Developed Countries LCDs. Globalisation has led to increased flows of inward investment between countries, which has created benefits for recipient countries.
These benefits include the sharing of knowledge and technology between countries. In the long term, increased trade is likely to lead to the creation of more employment in all countries that are involved.
The disadvantages of globalisation There are also several potential disadvantages of globalisation, including the following:. Business Economics.
International Marketing - Characteristics
Business is an economic activity of production and distribution of goods and services. It provides employment opportunities in different sectors like banking, insurance, transport, industries, trade etc. Image Courtesy : 2. It provides a source of income to the society. Business results into generation of employment opportunities thereby leading to growth of the economy.
However international business is beyond this definition, it has a very wide scope. Basically international business is a cross border transaction between individuals, businesses, or government entities. The transaction can be of anything that has value, examples include —. All the major international business conducted in the world can come under seven main types. These can also be termed as modes of business. Simplest and most commonly used method, imports and exports can be seen as the foundation of international business.
Importance of International Business
It involves cross-border transactions of goods and services between two or more countries. Transactions of economic resources include capital, skills, and people for the purpose of the international production of physical goods and services such as finance, banking, insurance, and construction. International business is also known as globalization.
The following points highlight the three importance of International business. The importance are: 1. National Economy 2.
One reply on “Features of International Business”
- Мигель Буисан. - Понятно. Она получит ваше письмо утром. - Спасибо, - улыбнулся Беккер и повернулся, собираясь уходить. Консьерж бросил внимательный взгляд в его спину, взял конверт со стойки и повернулся к полке с номерными ячейками. Когда он клал конверт в одну из ячеек, Беккер повернулся, чтобы задать последний вопрос: - Как мне вызвать такси. Консьерж повернул голову и .
Как быстрее добраться до аэропорта. - У входа возьмешь такси. Беккер вытащил из кармана купюру в тысячу песет и сунул панку в руку. - Премного благодарен, приятель! - крикнул тот ему вслед. - Увидишь Меган, передавай от меня привет! - Но Беккер уже исчез. Двуцветный вздохнул и поплелся к танцующим. Он был слишком пьян, чтобы заметить идущего следом за ним человека в очках в тонкой металлической оправе.
Где-то в уголке сознания Беккера звонили колокола. Я не умер. Он с трудом открыл глаза и увидел первые солнечные лучи.
Бринкерхофф кивнул и положил трубку. - Стратмор отрицает, что ТРАНСТЕКСТ бьется над каким-то файлом восемнадцать часов. - Он был крайне со мной любезен, - просияв, сказал Бринкерхофф, довольный тем, что ему удалось остаться в живых после телефонного разговора. - Он заверил меня, что ТРАНСТЕКСТ в полной исправности.
От изумления у Джаббы глаза вылезли на лоб. Похоже, она от меня не отвяжется. И он решил не реагировать на сообщение.
- El anillo. Кольцо. Беккер смотрел на него в полном недоумении. Человек сунул руку в карман и, вытащив пистолет, нацелил его Беккеру в голову. - El anillo.