International Business and Globalisation

INTERNATIONAL BUSINESS
AND GLOBALISATION

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................1
LO 1.................................................................................................................................................1
Importance and impact of global trade and globalization............................................................1
LO 4.................................................................................................................................................3
Awareness of contrasting international markets in context of the international business
decision making...........................................................................................................................3
LO 5.................................................................................................................................................5
Critical evaluation of the pattern of internationalisation ............................................................5
LO 6.................................................................................................................................................7
Determining the key findings, strategies, practical issues and solutions. ...................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
International business is referred to as the trade of specific goods, services, capital,
technology and knowledge across the various national and international borders. Globalization is
referred to as the political program which tends to involve the cross border transaction (Karlsson,
Cornett and Wallin, 2018). It is useful in the elimination of the problems linked with the
international business. This study will analyse the impact and importance of globalization and
global trade. Furthermore, this report also compare and contrast the international markets in
context of the international business decision- making. This report also critically evaluate the
pattern of internationalisation which has been carried by international businesses. Lastly, this
study apply critical set of theories which is useful in formulating range of appropriate solutions
related with the problem. Sykes Holiday Cottages is one of the leading independent holiday
cottage rental agency in the UK with over 25 years of experience. They tend to offer 16000
holiday homes across Ireland and UK.
LO 1
Importance and impact of global trade and globalization.
International trade is considered to be useful in reducing the real wages and is one of the
key relevant factor to raise the living standards. It is useful in rise in the employment levels and
enable consumers to attain greater variety of goods. This is relevant in signifiant degree of
import and exports of the goods and services. This eventually leads to higher market share, sales
and profitability. International business and globalization results in cross border transaction
between 2 countries and more. International trade is considered to be useful in making abundant
use of the raw material and attain higher competitive advantage (The importance of international
trade, 2019). It is relevant in attaining the market share and eventually leads to the attainment of
the economies of scale. This also leads to global growth and development of the economies.
High degree of goods are made available for the purpose of consumption. It provides consumers
with the wide array of choices and helps in economic growth of the company. International trade
results in the reduction in the trade fluctuations. The impact of the international trade is
considered to be phenomenal. It is relevant in stimulating the economic growth. It is also
significant in increasing the efficiency and improving the technological progress. International
trade is considered to be highly beneficial for the consumers to have better access to the specific
goods and services (Karlsson, Cornett and Wallin, 2018). Trade of the goods and services
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internationally results in lowering the cost and is significant in the higher attainment of the goals
and objectives. It is significant in the better utilization of the resources and helps in increasing
the reputation and goodwill. International trade across varied set of countries helps the company
in reducing trade fluctuations. It also leads to greater employment opportunities and also leads to
high economies of growth (Iwu, Bayari and Jaiyeola, 2019). Free trade of business which leads
to high degree of demand and supply of the goods and services eventually leads to greater
operational performance and efficiency. Presence of effective government policies is also one of
the key prominent reason which improves the business relevance. Efficient promotion and higher
consumption of the goods eventually leads to better set of operational performance and improved
productivity.
Globalization is referred to as the growing degree of interdependence of the economies,
culture, and population. It leads to speedily movement and exchange of the goods and services. It
is considered as political program which involves the cross border transaction. It is useful in the
elimination of the problems linked with the international business. Globalization is linked with
the interconnectedness of the business and people across the globe. It eventually leads to the
cultural, global, economic and political integration (Verbeke, Coeurderoy and Matt, 2018). It
tends to have significant capability to communicate and move easily across various national and
international borders. Globalization is considered to be very useful in spreading of technology
and innovation. It has better access to the foreign culture and is useful in increasing
globalization. It is useful in maintaining high degree of standards and gaining access to the new
market. It is also highly significant in getting access to the new market and talent. It is useful in
finding specialized talent in order to perform desired set of task and attain greater set of
efficiency and productivity. The impact of globalization is considered to be phenomenal. It is
significant in creating greater set of opportunities for the firms in order to effectively tap into
newer set of markets across the globe. The business which in turn has access to the capital,
technology, resources, knowledge, etc. is useful in improving the results and attain greater set of
outcomes. One of the key significant impact associated with the globalization is useful in
increasing and also promoting interactions across the globe. Globalization is considered to
beautiful in the creation of greater set of opportunities and improve their international network
and relations to carry out trade. Moreover, internation al trade helps the business to produce
goods at much cheaper price.
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