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factor affecting international business

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Hemangi

This document discusses factors affecting international business. It defines international business as the exchange of goods and services among individuals and businesses in multiple countries. It then outlines some of the key challenges for organizations operating internationally, such as navigating different regulatory bodies and understanding varying customer tastes. The main factors said to influence international business are identified as political, economic, socio-cultural, technological, and legal factors. Specific examples are provided for some of these factors, such as differences in political stability, labor laws, inflation rates, culture, and regulations across countries.

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FACTOR AFFECTINGFACTOR AFFECTING INTERNATIONAL BUSINESSINTERNATIONAL BUSINESS Presented by : Hemangi Kotadiya Presented to : snehal maam 08/30/17 1
INTRODUCATIONINTRODUCATION 08/30/17 2
Definition Of InternationalDefinition Of International BusinessBusiness The exchange of goods and services among individuals and businesses in multiple countries. A specific entity, such as a multinational corporation or international business company that engages in business among multiple countries. 08/30/17 3
CHLLANGES FOR ANCHLLANGES FOR AN ORGANIZATIONORGANIZATION Navigation from home country to the host country Development of proper business system Knowledge of all regulatory bodies both in home and host countries Knowledge of customer's changing taste 08/30/17 4
CONCON Customers attitude towards foreign goods Revenue earning Interaction with right people to make business deal effective 08/30/17 5
FACTOR AFFECTINGFACTOR AFFECTING INTENATIONAL BUSINESSINTENATIONAL BUSINESS Political Factors Economic Factors Socio Cultural Factors Technological Factors Legal Factor 08/30/17 6
Political FactorsPolitical Factors Political stability Labor laws Tax policy 08/30/17 7
POLITICAL STABILITYPOLITICAL STABILITY Lack of political stability in a country effects business operations. This is especially true for the companies which operate internationally. For example, an forceful takeover could overthrow a government. This could lead to riots, raiding and general disorder in the environment. These disrupt business operations. Sri Lanka was in a similar state during a civil war. Egypt and Syria faced disturbances too. 08/30/17 8
LABOR LAWLABOR LAW IN U.S. The occupational safety and health Act. The fair labor standard Act. The employee retirement income security Act. IN INDIA Hours of work in the industry 08/30/17 9
CONCON Minimum age employment night work for young persons Maternity production Night work for women 08/30/17 10
ECONOMIC FACTORECONOMIC FACTOR Economic growth In India : 6.1% In China : 6.8% Interest rates In India : 6% In China : 4.35% 08/30/17 11
CON..CON.. Inflation rate In India : 2.36% In China : 1.40% National income In India : 8.594 trillion dollar In China : 21.37 trillion dollar 08/30/17 12
SOCIO CULTURL FACTORSOCIO CULTURL FACTOR Culture sensitivity Size of working population In India : 29650.00(thousand) In China : 77603.00 (tens of thousand) For example in India people (Hindu) do not take beef 08/30/17 13
TECHNOLOGICAL FACTORTECHNOLOGICAL FACTOR Extend of technological availability Availability of technocrats 08/30/17 14
LEGAL FACTORLEGAL FACTOR current home market legislation, future legislation Environmental regulations, employment law, consumer industry-specific regulations, competitive regulations 08/30/17 15
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factor affecting international business

  • 1. FACTOR AFFECTINGFACTOR AFFECTING INTERNATIONAL BUSINESSINTERNATIONAL BUSINESS Presented by : Hemangi Kotadiya Presented to : snehal maam 08/30/17 1
  • 3. Definition Of InternationalDefinition Of International BusinessBusiness The exchange of goods and services among individuals and businesses in multiple countries. A specific entity, such as a multinational corporation or international business company that engages in business among multiple countries. 08/30/17 3
  • 4. CHLLANGES FOR ANCHLLANGES FOR AN ORGANIZATIONORGANIZATION Navigation from home country to the host country Development of proper business system Knowledge of all regulatory bodies both in home and host countries Knowledge of customer's changing taste 08/30/17 4
  • 5. CONCON Customers attitude towards foreign goods Revenue earning Interaction with right people to make business deal effective 08/30/17 5
  • 6. FACTOR AFFECTINGFACTOR AFFECTING INTENATIONAL BUSINESSINTENATIONAL BUSINESS Political Factors Economic Factors Socio Cultural Factors Technological Factors Legal Factor 08/30/17 6
  • 7. Political FactorsPolitical Factors Political stability Labor laws Tax policy 08/30/17 7
  • 8. POLITICAL STABILITYPOLITICAL STABILITY Lack of political stability in a country effects business operations. This is especially true for the companies which operate internationally. For example, an forceful takeover could overthrow a government. This could lead to riots, raiding and general disorder in the environment. These disrupt business operations. Sri Lanka was in a similar state during a civil war. Egypt and Syria faced disturbances too. 08/30/17 8
  • 9. LABOR LAWLABOR LAW IN U.S. The occupational safety and health Act. The fair labor standard Act. The employee retirement income security Act. IN INDIA Hours of work in the industry 08/30/17 9
  • 10. CONCON Minimum age employment night work for young persons Maternity production Night work for women 08/30/17 10
  • 11. ECONOMIC FACTORECONOMIC FACTOR Economic growth In India : 6.1% In China : 6.8% Interest rates In India : 6% In China : 4.35% 08/30/17 11
  • 12. CON..CON.. Inflation rate In India : 2.36% In China : 1.40% National income In India : 8.594 trillion dollar In China : 21.37 trillion dollar 08/30/17 12
  • 13. SOCIO CULTURL FACTORSOCIO CULTURL FACTOR Culture sensitivity Size of working population In India : 29650.00(thousand) In China : 77603.00 (tens of thousand) For example in India people (Hindu) do not take beef 08/30/17 13
  • 14. TECHNOLOGICAL FACTORTECHNOLOGICAL FACTOR Extend of technological availability Availability of technocrats 08/30/17 14
  • 15. LEGAL FACTORLEGAL FACTOR current home market legislation, future legislation Environmental regulations, employment law, consumer industry-specific regulations, competitive regulations 08/30/17 15
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