- 1. International BusinessPresented By: Uttam k Sarkar BBA LM
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2. Extending 6,437 kilometers, the Silk Road gets its name from
the lucrative Chinesesilktrade which was carried out along its
length. It started to operate at around 110BC, under the rule of
HanDynasty. Trade on the Silk Road was a significant factor in the
development of the civilizations of China, theIndian Sub-continent,
Persia,Europe andArabia.2 3. International Business and the Roman
Empire Pax Romana, or Roman Peace ensured that merchants were able
to travel safely and rapidly. Common coinage simplified business
transactions. Rome developed a systematic law, central market
locations, and an effective communication system; all of which
enabled international business to flourish in the Roman Empire. The
growth of the Roman Empire occurred mainly through the linkages of
business3 4. United States: A Global Leader The United States has
developed a world leadership position due to: its use of
market-based transactions in the Western world a broad flow of
ideas, goods, and services across national borders an encouragement
of international communication and transportation Pax Americana, an
American sponsored and enforced peace 4 5. Types of International
Business Export-import trade Foreign direct
investmentLicensingFranchising Management contracts 5 6. More and
more firms around the world are going global, including:
Manufacturing firms-Ex: Coca-cola Service companies i.e. (banks-Ex:
HSBC, insurance-Ex: MetLife, Aviva, consulting firms-Ex:
Accenture,IBM) Art, film, and music companies-Ex: Sony Music6 7.
Why companies engage inInternational business ?7 8. International
business: causes the flow of ideas, services, and capital across
the world permits the acquisition of a wider variety of inputs
Generates Economies of Scale Insulates seasonal domestic sales by
finding new foreign markets Reduces dependence on existing markets8
9. Tax advantages facilitates the mobility of labor, capital, and
technology provides challenging business opportunities reallocates
resources, makes preferential choices, and shifts activities to a
global level High sales-Global market Diversify sources of sales
& supplies Minimize competitive risk Led to Globalization9 10.
10 11. List of Indian Companies going Global, & Growing 1.
Indian car TATA INDICA is penetrating into European market, by
establishing strategic marketing arrangement with ROVER. 2. TATAs
have purchased the Korean company "Daewoo motors" and consolidating
its position in Korea and China.3. Tata Iron & Steel has become
5th largest steel company of the world by acquiring the European
major "Corus" for a premium prize.4. Lakshmi Mittal, world's fourth
richest person and NRI had acquired a11 12. Indian companies
..contd.. 5. Ranbaxy Labs, India's top pharmaceutical company,
earns 76% of its revenues from outside India. It is rated the ninth
biggest generic company of the world with manufacturing locations
situated across the globe. 7. Videocon, the TV manufacturing
company of India, had bought the world famous TV company Thompson
in the countries of China, Italy, Poland, Mexico etc. 10. ONGC
& IOC have purchased oil wells in the countries of Africa &
Dubai. 11. Asian Paints have manufacturing plants in 24 countries.
Asian Paints is considered as the leader in segment of selling
paints. 12 13. JAGUAR and LAND ROVER thrives under TATA.13 14.
Expansion of International Trade In the past 30 years, the volume
of international trade has expanded from $200 billion to over $7.5
trillion. The sales of foreign affiliates of multinational
corporations are now twice as high as global exports.14 15. Global
Links Today International business has created a network of global
links that bind countries, institutions, and individuals with
trade, financial markets, technology, and living standards. For
example, a reduction in coffee production in Brazil would affect
individuals and economies worldwide.15 16. Recent Changes in
International Business Total world trade declined dramatically
after 2000, but is again on the rise. The rate of globalization is
accelerating. Regionalization is taking place, resulting in trading
blocs. The participation of countries in world trade is shifting.
16 17. The Composition of Trade Between the 1960s and the 1990s the
importance of manufactured goods increased while the role of
primary commodities (i.e. rubber or mining) had decreased. More
recently, there has been a shift of manufacturing industries to
countries with emerging economies. There has been an increase in
the area of service trades in recent years.17 18. Conclusion With
only domestic resources being available , each country could
produce only limited no. of Products. Shortages would be prevalent
Global trades allows for enormous variety of resources-from Persian
Gulf oil, Brazilian Coffee to Asian Labours. Unemployment would
have been more common. 18 19. Sources:
WEBSITES:BOOKS:www.wikipedia.orgInternational Business, by
czinkota,Ronkeinen,Moffettwww.ibusinessarticles.blogspot.inGlobal
Business Today, by Charles W.L.
Hillwww.economictimes.indiatimes.com www.icmab.net
www.managementstudyguide.com19 20. Thank You20
