There is increasing connectivity and interdependence among the world markets and businesses since the world economics is now characterized by globalization. Multinational corporations and foreign competitions have come to stay in every economy. Domestic companies and agents of production have to be more and more efficient so that they may not be wiped off completely due to this changing scenario. India too is not untouched by this. Our extensive export promotion strategies and policies and various incentives to promote foreign trade show our steps towards globalizing the Indian economy.
Almost every industry needs people with a thorough and in-depth knowledge of the principles of international business. So managers too need to be well trained in the area of international business concepts.
International business comprises all commercial transactions (private and governmental, sales, investments, logistics, and transportation) that take place between two or more regions, countries and nations beyond their political boundaries. Usually, private companies undertake transactions for profit; governments undertake them for profit and for political reasons. The term “international business” refers to all those business activities which involve cross-border transactions of goods, services, and resources between two or more nations. Transactions of economic resources include capital, skills, people etc. for the purpose of the international production of physical goods and services such as finance, banking, insurance, construction etc.