Impact of International Business on the Global Economy
2010
Niki Geiersbach
119
THE IMPACT OF INTERNATIONAL BUSINESS ON THE GLOBAL ECONOMY
Niki Geiersbach
Abstract
With the dawn of globalization, international business is becoming increasingly popular. Multinational organizations are among the most profitable in the world. A company needs to be aware of the language and culture of the country where it plans to embark with its investment. Politics and laws of the nation can either make international business easy or hard. With the success of international business, its future is gleaming, on a global scale.
Geiersbach N. - The Impact of International Business on the Global Economy
120
Business Intelligence Journal
July
The International Business Imperative
Revolutionary changes in technologies have provided the mechanisms that propel the growth of international business. The intensification of competition at both domestic and international levels has driven firms to look beyond their domestic markets for new opportunities. The progressive removal of barriers to trade and capital movements has stimulated greater flows of exports, imports and foreign direct investment (FDI). Multinational enterprises have emerged as the key agents of international economic coordination. They provide the capability to generate innovations and deliver new goods and services to the market; they also provide the capability to exploit these technological advances at a global level; and they are a depiction of the capacity of international managerial co-ordination to operate efficiently across international boundaries. Furthermore, the growing economic strength of the newly-industrializing countries (e.g. Taiwan, Hong Kong, Singapore, Korea) and the opening up of China and Eastern Europe have provided an additional stimulus to international business activities (Wei).
A 30-second advertising spot proved to be a costly mistake for Doubletree Hotels Corporation. The advertisement was the announcement of a $31 million marketing campaign
Niki Geiersbach
119
THE IMPACT OF INTERNATIONAL BUSINESS ON THE GLOBAL ECONOMY
Niki Geiersbach
Abstract
With the dawn of globalization, international business is becoming increasingly popular. Multinational organizations are among the most profitable in the world. A company needs to be aware of the language and culture of the country where it plans to embark with its investment. Politics and laws of the nation can either make international business easy or hard. With the success of international business, its future is gleaming, on a global scale.
Geiersbach N. - The Impact of International Business on the Global Economy
120
Business Intelligence Journal
July
The International Business Imperative
Revolutionary changes in technologies have provided the mechanisms that propel the growth of international business. The intensification of competition at both domestic and international levels has driven firms to look beyond their domestic markets for new opportunities. The progressive removal of barriers to trade and capital movements has stimulated greater flows of exports, imports and foreign direct investment (FDI). Multinational enterprises have emerged as the key agents of international economic coordination. They provide the capability to generate innovations and deliver new goods and services to the market; they also provide the capability to exploit these technological advances at a global level; and they are a depiction of the capacity of international managerial co-ordination to operate efficiently across international boundaries. Furthermore, the growing economic strength of the newly-industrializing countries (e.g. Taiwan, Hong Kong, Singapore, Korea) and the opening up of China and Eastern Europe have provided an additional stimulus to international business activities (Wei).
A 30-second advertising spot proved to be a costly mistake for Doubletree Hotels Corporation. The advertisement was the announcement of a $31 million marketing campaign
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