What are the challenges of International Business Management?
International business management is a term that is used collectively to describe all commercial transactions which include;
The above take place between two or more nations. It involves all business activities which partake in cross border activities of goods, services and resources between nations.
Private companies and the government partake in international business for profit and political reasons respectively.
Every business has its difficulties and presents is own challenges in when it comes to operating it successfully.
Countries and firms that operate in the international firm undergo challenges and they prove how successful the company or country shall be.
Challenges faced in international business
The main aim of any international business is to be successful in the countries they are operating and make their products or service a global name.
The challenges that are brought about by international business include:
• Political system and policy
• Economic policy
• Legal policy
• Language/ communication barrier
• Environmental standards
• Corporate and local culture
• Foreign exchange markets
• Import and export regulations
• Trade agreements
All the above are the most common challenges in the international business sector that affect countries, local firms and global industries.
Challenges in international business is broad and it affects different sectors that is;
1. The firm
2. The country
3. The industry
1. The Firm and International Business
The presence of international business in the country (example – Uganda) causes strain in the local business industry.
It is considered rather difficult to penetrate the local industry due to the presence of international, multinational and private companies.
The challenges... [continues]
Cite This Essay
(2011, 10). Challenges of International Business Management. StudyMode.com. Retrieved 10, 2011, from http://www.studymode.com/essays/Challenges-Of-International-Business-Management-793984.html
"Challenges of International Business Management" StudyMode.com. 10 2011. 10 2011 <http://www.studymode.com/essays/Challenges-Of-International-Business-Management-793984.html>.
"Challenges of International Business Management." StudyMode.com. 10, 2011. Accessed 10, 2011. http://www.studymode.com/essays/Challenges-Of-International-Business-Management-793984.html.