Introduction to International Business & Globalization

What is international business?

• International business refers to the trade of goods, services, technology, capital and/or knowledge across national borders and at a global or transnational scale.

• International business refers to a company has economic transactions that are done within the country's geographical limits.

• International business refers to privately owned corporations, partnerships, or sole proprietorships that have fewer employees and/or less annual revenue than a regular-sized business or corporation.

• International business refers to businesses that maintain revenues, assets or a number of employees below a certain threshold.

Globalization defined as...

• is the widening set of interdependent relationships among people from different parts of a world divided into nations.

• service industries are very common to find on the most profitable small business list.

• segmentation in market research to understand consumer behavior.

• the sum total of all external and internal factors that influence a business.

The following are the important to study international business...

• most companies are either international or compete with international companies

• global events and competition affect almost all companies, regardless of industry

• understanding of IB helps you make better career decisions

• All of these

The following are the forces driving globalization EXCEPT...

• increase in and application of technology

• growth of consumer pressures

• increased global competition

• people behaviour

What are the costs of globalization?

• Threats to national sovereignty

• Economic growth and environmental stress

• All of these

• Growing income inequality and personal stress

Which of the following NOT example of international company?

• Alex Minishop

• IBM

• Google

• Nestle

Benefits of international business is...

• more job employment

• all of these

• increase FDI

• variety of goods & services available

A product you buy from another country is considered

• export

• import

• trade barrier

• none of these

Why companies engage in international business?

• To expand sales

• To acquire resources

• To diversify or reduce risks

• all of these

Modes of operations in international business as below EXCEPT...

• licensing

• domestic business

• FDI

• import & export