Summary: International Business | 9789001805036 | Radha Jethu Ramsoedh, et al

Read the summary and the most important questions on International business | 9789001805036 | Radha Jethu-Ramsoedh, Maud Hendrickx.

• 1 Introduction to international business

  This is a preview. There are 15 more flashcards available for chapter 1
  Show more cards here

• What is the core of sustainable international business?

  The stakeholder

• What is a stakeholder?

  A group or individual who influences or is influenced by an organisation or company. Examples:

  • Shareholders
  • Social groups
  • Clients
  • Communities
  • Employees
  • Environmental groups
  • Suppliers
  • Governments

• On which three pillars is sustainable international business based?

  1. People
  2. Planet
  3. Profit

• For what reasons do companies import products or services?

  1. Production in other countries is cheaper
  2. The product/service is not yet available on the domestic market

• For what reasons do companies export products or services?

  1. Too small domestic market
  2. New markets
  3. Continuity of the enterprise
  4. Price is competitive
  5. Overcapacity

• What are the differences between proactive and reactive motives for doing business abroad?

  Proactive motives are derived from the policy that a company establishes to do business internationally, while reactive motives derive from a threat in the home market or the nature of the product.

• Name 7 proactive motives for doing business abroad

  1. Profit and growth goals
  2. Managerial urge
  3. Distinctiveness of the product
  4. Anticipating foreign market opportunities
  5. Economies of scale
  6. Integration of the supply chain
  7. Tax benefits

• Name 7 reactive motives for doing business abroad

  1. Competitive pressure
  2. Small and/or saturated home market
  3. Utilisation of overproduction/ excess capacity
  4. Reduced dependence on customers/suppliers
  5. Stabilisation of seasonal factors
  6. Proximity of customers/suppliers
  7. Perishable products

• 2 Political & economic environment

  This is a preview. There are 18 more flashcards available for chapter 2
  Show more cards here

• What is a trade policy?

  The sum of all the measures a government can take to control foreign trade.

• By what is the trade policy of EU-members primarily determined?

  The Common Trade Policy of the European Union