International Business: Evaluating Practices and Market Selection

International business

Executive summary
The study is based on the international business where the firms are engaged in the economic
activities of the international or broad. The trade policies are determined and evaluated. The
trading is the integral part of the globalization which leads to increase in the economies of scale
and growth share. In the study it has been done on the company of McKinsey and company and
international consulting firm where the discussion is done on the international practices having
an impact with the macro environment. The key elements of the global environment having an
impact on the business who wants to trade globally. With this not only the company also
determines the mode of entry in the international market and adopts the strategies to mitigate the
risk. Before doing a business internationally it is very essential to evaluate and select the
appropriate market.

Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
Main body...................................................................................................................................................4
LO1- Evaluating international business practices with the PESTEL analysis..........................................4
LO2- Key elements of the international environment..............................................................................6
LO3-Patterns of international trade and investment.................................................................................7
LO4- Demonstrating Market selection techniques...................................................................................8
LO5- Methods of international market entry and development...............................................................9
LO6- Methods of risk minimization available to international companies..............................................9
LO7- Appropriate concepts and theoretical frameworks to the workplace experience..........................10
Conclusion.................................................................................................................................................11
References.................................................................................................................................................13

Introduction
International business is a sub- field of economics which determine the international trade
patterns, implications and origins. It evaluates the effect of trade policies. The business activities
are done across the national borders involving the purchase and sale of goods, commodities and
service outside the national borders is known as international business (Aagaard and et.al.,
2019). The mode of trading can be privately or state owned organization. In the international
business the organization explores the opportunities for the expansion of the business activities
in the market related to manufacturing, mining, banking and more. With the help of world trade
organization the nations are connecting to each other by administration and build the business
relationship across the world. In the study discussed topics are based on the PESTEL analysis of
international organization, key elements with the pattern of international trade, market entry,
selection techniques and various theories.
The chosen organization is McKinsey & company an American worldwide management
consulting firm established in 1926. It was founded by the professor James O. McKinsey of
Chicago University which provided the advice on strategic management to corporations and
governments.
Main body
LO1- Evaluating international business practices with the PESTEL analysis
It refers to a component of strategic planning used for external analysis in macro
environmental forces of political, economic, social, technological, environmental, and legal used
for environment scanning. The analysis is done on the McKinsey & Company.
 Political factor- The factor has the influence on the organization of the long-term
sustainability and profitability. The factors which affected the McKinsey & Company were
the decision of the judiciary as they are independent. There is a necessary of strengthen
democratic institutions as to give bloom to McKinsey in open having transparent and stable
political environment so that level of corruption can be reduce. Under the norms of world