International Business

International Business
Name:
Course:
Instructor:
Date:
PART I
Studying international business is now relevant more than ever before, because of increased globalization. The business environment has become more dynamic and international markets affect the local economy because of interconnectedness. Cross border trade has increased with the advent of globalization underlining the importance of international business. Many big corporations typically do business beyond their home country’s borders, and the ease of doing business is one of the parameters that influence the level of foreign investment in a country. Similarly, there is increased adherence to corporate responsibility in a global world that requires better cultural competence among business leaders (Paul, 2009). No one way of doing things is better than the other because different cultures determine how organizations operate, and business leaders need to understand that intercultural skills are relevant in an ever changing business environment.
The notion that studying international business does not value is wrong because external factors beyond an organization can affect business. The business environment extends beyond the physical elements to other factors that influence international business operations. In any case, business is typically affected by factors beyond control, but having an understanding of these factors helps to mitigate business risks (Cullen & Parboteeah, 2009). In essence, these forces affect the external; environment and typically include the threats and opportunities that impact on business. Having knowledge on international business, allows leaders to analyze the external environment and put in place measures that are necessary to facilitate sustainability. The political, economic and socio cultural aspects have a direct impact on international business and hence it is better to understand how the external environment affects business.