Essay on International Business

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“International business is any firm that engages in international trade or investment” (Hill, 2011, p.49). The world has been globalised; now every business has a chance to operate in foreign markets the usage of advertising through internet. This essay explains why businesses use internet; how they market their products, explain advantages and disadvantages to firms on the advertising on internet and conclusion. Globalisation and Internationalisation strategy

Globalisation is one of the words “most defined and probably the most, nebulous and politically spectacular over the past and future years” (Beck, 2003, p.37 as cited in Negrea, 2012, p.94). “Business is going global, and so are boards or at least they should be if they are to maximize their effectiveness” (Mandl, 2003, as cited in Staples, 2007, p.312). Internationalisation strategy is a path towards investment in a foreign country rather than licensing and exporting. Firms need comparative advantage or some assets to utilise for expansion based on industry, nation, region and firm itself. There are versatile forms of internationalisation such as importing and exporting, licensing, franchising, contracts and strategic alliances. Now every business has got internet facility and it is not expensive to use. They can advertise their products on the internet. The customers are not only active on national market but also in the international market. “It shows that the pattern of international opportunity identification, refinement, development and commitment to international markets is path and history dependent” (Sydow, Schreyogg, and Koch, 2009 as cited in Chandra, Styles & Wilkinson, 2012, p. 92). Advantages

Firms want to increase market share and profitability. To get this businesses require correct information to enhance their competitiveness (Lee & Mcguiggan, 2009). “The internet is widely recognized as a valuable source of information; yet small businesses are reported to...