International Business: Motivations, Functions, and Challenges

This report explores the motivations behind the formation of World Trade Organisation, the key functions of International Business, and evaluates its suitability and challenges. It also illustrates how theory is applied in practice and discusses the effectiveness of International Business. The report provides insights into the role of International Business in promoting global trade and economic growth. It highlights the importance of fair trade policies, dispute resolution mechanisms, and the benefits of free trade. The challenges faced by the World Trade Organisation and the need for reforms are also discussed. Overall, the report provides a comprehensive understanding of International Business and its impact on the global economy.

International Business

Executive Summary
The following report that is based on international business which consists trade of goods
and service across through broader of global level territory. It is having situation in which
production and distribution of goods and services takes places cross country boundaries.
According to global international level of organisation which is associated within rules and
regulation between two nation. Along with this, there are various key function of world trade
organisation which facilitates the flexible through running of international business that
providers growth and success towards company.

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Literature Review:...........................................................................................................................1
1. Demonstrate an understanding of motivation behind the formation of world........................1
2. Demonstrate about understanding of key function of International Business .......................2
3. Evaluat the suitability of International Business and challenges...........................................3
4. Illustrate theory to practice in the assessment of International Business effectiveness using
relevant examples .......................................................................................................................4
Analysis and Discussion.............................................................................................................5
Recommendation........................................................................................................................7
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
International business is refers about dealing of product and services, technology, capital
or having approach across the other borderr. To conducts international theme business is to
approach higher competitive advantages as per global marketplace level (Akdeniz, Zhang and
Cavusgil., 2019). It determine about overall commercial activities that take place to promote for
transfer goods and services, resources, people, creativity or ideas that leads the business into
global level. It consists of transaction that are devised and carried forward to across national
border to satisfy about objective where individual, companies and organisation.
In this report, the organisation is selected World Trade Organisation, it is an
intergovernmental organisation that regulates and facilities international trade between nations.
It officially operates from 1 January 1995, pursuant to 1994. They mainly facilitates trade in
goods, services and intellectual property among participating countries through providing trade
agreements. The objective is to reduce eliminate tariffs, quotes and other restriction on basis of
these agreement to having representatives of member governments (Azar and Drogendijk.,
2019). As per the following report is concerned topics understanding of motivations behind
formation of World trade organisation along with their key functions. Challenges faces
organisation to accomplishing principle to encouraging trade between countries. Different
theories apply to practises in assessment of International Business and policies which having
impact organisation.
MAIN BODY
Literature Review:
It is refers about to survey conducts or narrative review of scholarly sources such as
books, journals, articles and theories. On the basis of scholarly paper it has represents on current
knowledge while including substantive findings on particular which provide develop insight.
This topic will enhance about knowledge and learning of an individual.
1. Demonstrate an understanding of motivation behind the formation of world.
As per view point of Reem Heakal , 2021, As per perspective of World trade
organisation which is defined as intergovernmental organisation that situated in Geneva,
Switzerland. The dealing of Negotiation between organisation that America leads to formal
development of International Business . It is a practise where the arrangement about agreement
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to promoting trade over telecommunication services between 69 countries (Rogmans and Abaza,
2019). As main driving which helps to facilitates through helps procedures of good and services
where global improved welfare. This is the only global organisation which has been deals
towards trading rules and regulation followed by companies while conducting operation in nation
others (Casson,., 2018). The organisation offers same rights small as well as large company
member trade and taxation. Thus, there is sort of disputes which commence to raises conflicts as
well as resolve while considering both countries. Motivation factor for International Business in
world perspective, the function are plays vital role through which decision making where
majority is based on conference holds meeting as last few days or years. Some of valuable
councils such as service, intellectual property rights council which all report added to enhance
work groups and committees. The issues arises for seeking rounds as response to having
consequences of establishing multilateral trading system. On country context, which is may have
to sacrifice own interest to avoid violating International Business agreement (Dang, Jasovska
and Rammal., 2020). Thus, country becomes limited for choices. As per unfavourable
government in favour of big business, therefore remain in power about the costs of representative
government. Bottom Line, it is factor which helps fosters investments within countries that helps
to boosts about economy and eventually standard of living about all countries involved. The flow
of investment helps to developed economically powerful countries who developing less
influence economics and better investor advantages. The regulation is having process which
helps to provides better investment procedure on having investor are concerned because these
regulation helps foreign investors because these regulation helps foreign investors maintain edge
within local competitions.
2. Demonstrate about understanding of key function of International Business .
According to the opinion of Kym Anderson, 2021. The world trade organisation is
generally provides common platform to negotiate which is trade agreement to allows among
between member of countries and better resolve to disputes or issues which is faces by
companies. World Trade Organisation helps to handle 60 global and about 300 regional trade
agreements are agreement of status on international law. The International Business comprise
with 164 member states also observer states that are signatories to the International Business
agreements to effective participate in free trade.. Furthermore, it is assists to developing
countries. Through which ensures the effective trade policies and solution for the trade issues
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through with organisation ensures effective trade policies and solution for the issue trade for
better operating function (Di Giovanni, Levchenko and Mejean., 2018). Some of importance
functions towards trade organisation in International Business are Trade Negotiation where
agreement as well as providing disputes resolution mechanism. It creates to effective ensures
international legal framework. This ensures about flexible way to inter change of products and
services within different countries. Implementation and monitoring, where the agreement that
negotiated where jobs to create impact of agreements on economics of world countries involved.
Disputes Settlement Body where there is trade for conflicts between its social unit states. The
member of International Business can file complaints against through other member states if
they commence to business as per abiding economic polices from work commitment in
developed countries (García-Lillo and et. al, 2019). Building trade capacity who support
developing countries through helping them build about capacity to participate trade with more
developing countries. As they official concession through under certain agreements towards low
department countries that enhance to provide other countries. Outreach, this is carries out
lobbying across where the world as part of having larger objectives to promote free trade. As the
World Trade Organisation is covers all commodity, services and intellectual property where has
been outline principles liberalisation and permitted expectation. They considered about
individual countries and commitment for low concern for low barriers and keep market open for
other organisation. It has been continue with negotiate in stipulated period of time so new
agreement by added to package (Iammarino., McCann and Ortega-Argilés, 2018). The World
Trade Process is for resolving trade conflicts under disputes that understand in order to enforcing
ensures about flow of effectiveness and smoothly. To implement agreement and commitment for
making longer period of time as it measure to increase trade opportunities and helps them to
develop strong capacity which will used handling disputes execute technical standard for better
outcomes.
3. Evaluat the suitability of International Business and challenges.
As per opinion of Kimberly Amadeo, 2020. The World Trade Organisation that has been
provided flow of smoothly with its trade agreements. The nation member of International
Business are aware about rules and regulation and having better understanding to penalties for
not abiding rules which has created safe trader arena for everyone. It facilitates fair method to its
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member for better resolving the disputes on which International Business offers different
alternatives for reduce overall uncertainty (Iazzolino and Hersi., 2019). This has been also
provides about fair method to its member resolving disputes where it helps to protect less
barriers within each other induces tariffs, import quotes and regulation where the leads to higher
sales job availability and faster growth of economy as International Business helps in expand
market in greater level (Rezaei and et. al., 2018). Under this there are only two or more
developing countries and member where they immediate provides market with having lower
conflicts and tariffs rates provide opportunity to grow mature industries. The challenges of
World Trade Organisation and global level trading system suffers from major barriers and
counter measures by some member, dead lock is important areas of negotiation and ongoing
process which is impasses for appoint member. These challenges have necessaries discussed
among on reform in International Business which is view to plug gaps procedure (Rialp and et.
al, 2019). World Trade Organisation is dependable upon developed and it is rich countries where
it increase the tariffs barriers such as anti dumping measures has been allowed against developed
countries. The World Trade Organisation is been proceed trade negotiation and many developing
countries. World Trade Organisation fails to reduce tariffs on agriculture as free trade towards
equally applicable every industry.
4. Illustrate theory to practice in the assessment of International Business effectiveness using
relevant examples
The International Business comprise body which is designed to enhance where free trade
by organising negotiation where for trade perspective acts an independent mediator for setting
distribute between nation members (Shams and et. al, 2020). The practise for International
Business is effective to organisation of member for individual country this has been work for
welfare for member. Free trade of encourage competitiveness within market places and provides
effective product and services which enhance living of standard (Kolk., Rivera-Santos and Rufín,
2018). The World Trade Organisation is effective and favourable solution towards prices for
consumer by reducing tariffs, companies are able to import cheaper with economical for people.
Further more, the effectiveness providers through larger economy scale in firm which can
specialise and produce more quantity that having important factor.
Function of World Trade Organisation which are trade negotiation along with
enforcement of negotiable multilateral trade rules for nation member in order to conducting
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smooth and free trade (Koveshnikov., Tienari and Piekkari., 2019). There are essentials policies
which provides support to these function:
 To guiding developing and transition economics to making more attention is paid towards
social needs and problems of developing and transition on economics basis. Through
proper assistance that provided to them where number of program has been organised in
international organisation.
 By specialise for enhance exporting in which it has been offers the important and
valuables information about effective exports markets and matchmaking techniques. It
provides effective assistance in training to personnel which is required in activities
promotion and marketing services (Lindner, Puck and Verbeke, 2020). Apart from this,
the centre has helps to least developed for countries helps developing beneficial and
important information about exports market such taxes rate, prices growth rate etc.
 There is one of important aspect of International Business is to corporate maintain
healthy relationship within having international monitory fund. The world bank and other
multinational institutes in order to accomplish better consistency in policy for global
economy. The corporation within inter national organisation has been developed for
monitory and financial matters. Through the helps of this organisation get access to the
fund that is necessary for international business. The trade without discrimination where
the countries that cannot normally discriminate between trading partner where Grant
someone for enhance special favour where lower customs duty rate for one their
International Business member.
 Free trade gradually through negotiation where lower trade barriers is one of correct form
of encouraging trade. As per time to other issues such as red tape and exchange policies
to be discussed (McWilliam and et. al., 2019). They mainly focused on lowering tariffs as
per result is negotiate through mid 1990s industrial countries.
Analysis and Discussion.
As per analysis where it has been evaluate the international business is having procedure
of establishing business across geographical limits of nation. World Trade organisation is
generally link with international government organisation which mainly managing multinational
trade developing global rules and regulation (Nielsen and Raswant., 2018). This has been
associated within 164 country member and provides them trade provides with trade facilities
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such as lower tariffs, financial resources, disputes settlements, negotiation agreements etc. The
main motivation behind formation of International Business is to provides the stability and
transparency towards manufactures of goods and service in behalf of promotes in international
level which increase global expenses to get increased. The small and large scale of organisation
is being able to provide within same rights terms of trade and taxation (Nielsen, Eden and
Verbeke., 2020). World trade Organisation is being provide with same right term which
administering about trade on the basis of agreements through which import and export practise of
good and services are concerned in effective manner. There are some facilities which provided
by International Business on free trade cheaper rates through prices to consumer as within
increase of free trade and low tariffs imports become cheaper prices to consumer (Teagarden,
Von Glinow and Mellahi, 2018). World trade organisation provides fair methods to member
where resolving the disputes where healthy relationship can maintain between countries (Nieri.
and Giuliani, 2018). In addition, as there are two and three developing countries in which they
facilitates in immediate developed market through low barriers through obtain growth success.
There are some various issues and challenges that are being suffers by organisation in
international level.
The involvement of government there are trade negotiation policy and there was various
developing countries that consists of ability to negotiate and this impact where international trade
for agriculture as this policy not equally applicable to all industries through get affected
restricted from rapid expansion of business (Peetermans and Lambrecht., 2019). World Trade
Organisation facilities free trade though which competition within current market place which
get raises which results in better product and services and contributes improvising the living
standard. The World Trade Organisation effectiveness has been facilitates there large economy
scale through which companies that specialise and produce more quantity that is essential factor
overall economy welfare.
Role of Management and Franchising in International Business.
The management and franchise is most essential for international business about to
commence with the people of carrying business activities to provide meaningful that support and
guidance towards new franchise for maintaining skills technique for optimum business deal. The
management role in international business is basically emphasis about commercial transaction
that involves more than country. Globalisation which has made towards its possible about
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business organisation and nation is having some important transication as it several important
role to earn about profit through minimise looses. The function of management regulates the
international business as per systematic order.
Franchising role in international business that is based on licensing where right of
duplicate on successful business format within foreign market. Some of franchise grants about to
having exclusive where distribution of power within its product and service that established are
equivalent for equipped furnished as well as intellectual property. The property such as
Trademark, Copyright and patent all are come under legal perspective and having some sort of
legal perspective laws and regulation.
Recommendation.
On the basis of above report, it has been measure that International Business is playing
important role to expand of international trade (Verbeke and Ciravegna., 2018). Apart with this,
it also provides various facilities to nation number of their welfare. But there is recommendation
for World Trade Organisation such as it is also make some sort of policies and agreements for
agriculture industries that more developing countries as member for helping them provide
facilities (Pudelko and Tenzer., 2019). The facilities which they can also increase the GDP or
economic for particular country situation. If the economic condition raises positive way of
outcomes in successfully manner to promote countries culture through which better
understanding and acceptance between countries which get increased to influence more trade.
CONCLUSION
It is inferred from above report to analyse that been concluded which international
business refers towards trade about goods and services that evaluated on international
boundaries. This is associated with the traniscation which carried across geographical limits in
order to satisfying need of individual and organisation. Therefore, world trade organisation is
governmental organisation has been formulated towards global rules for trade. There are various
reason behind formation of International Business and challenges which are faced between
countries. Furthermore, the effectiveness about practises of International Business and policies
have influences organisation and industries.
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REFERENCES
Books and Journals
Akdeniz, M.B., Zhang, C. and Cavusgil, S.T., 2019. Innovative pedagogical approaches in
teaching international business. Journal of Teaching in International Business. 30(2).
pp.96-101.
Azar, G. and Drogendijk, R., 2019. Ex-post performance implications of divergence of
managers’ perceptions of ‘distance’from ‘reality’in international business. Management
International Review. 59(1). pp.67-92.
Buckley, P. and Casson, M., 2019. Decision-making in international business. Journal of
International Business Studies. 50(8). pp.1424-1439.
Casson, M., 2018. The economic theory of the firm as a foundation for international business
theory. In The Multinational Enterprise. Edward Elgar Publishing.
Dang, Q.T., Jasovska, P. and Rammal, H.G., 2020. International business-government relations:
The risk management strategies of MNEs in emerging economies. Journal of World
Business. 55(1). p.101042.
Di Giovanni, J., Levchenko, A.A. and Mejean, I., 2018. The micro origins of international
business-cycle comovement. American Economic Review. 108(1). pp.82-108.
García-Lillo and et. al, 2019. Identifying the ‘knowledge base’or ‘intellectual structure’of
research on international business, 2000–2015: A citation/co-citation analysis of JIBS.
International Business Review. 28(4). pp.713-726.
Iammarino, S., McCann, P. and Ortega-Argilés, R., 2018. International business, cities and
competitiveness: recent trends and future challenges. Competitiveness Review: An
Interna
Iazzolino, G. and Hersi, M., 2019. Shelter from the storm: Somali migrant networks in Uganda
between international business and regional geopolitics. Journal of Eastern African
Studies. 13(3). pp.371-388.
Kolk, A., Rivera-Santos, M. and Rufín, C., 2018. Multinationals, international business, and
poverty: A cross-disciplinary research overview and conceptual framework. Journal of
International Business Policy. 1(1). pp.92-115.
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Koveshnikov, A., Tienari, J. and Piekkari, R., 2019. Gender in international business journals: A
review and conceptualization of MNCs as gendered social spaces. Journal of World
Business. 54(1). pp.37-53.
Lindner, T., Puck, J. and Verbeke, A., 2020. Misconceptions about multicollinearity in
international business research: Identification, consequences, and remedies.
McWilliam and et. al., 2019. Global value chain governance: Intersections with international
business. Journal of World Business, p.101067.
Nielsen, B.B. and Raswant, A., 2018. The selection, use, and reporting of control variables in
international business research: A review and recommendations. Journal of World
Business. 53(6). pp.958-968.
Nielsen, B.B., Eden, L. and Verbeke, A., 2020. Research methods in international business:
Challenges and advances. In Research methods in international business (pp. 3-41).
Palgrave Macmillan, Cham.
Nieri, F. and Giuliani, E., 2018. International business and corporate wrongdoing: A review and
research agenda. Contemporary Issues in International Business, pp.35-53.
Peetermans, E. and Lambrecht, P., 2019. The Brussels International Business Court: Initial
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Pudelko, M. and Tenzer, H., 2019. Boundaryless careers or career boundaries? The impact of
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Rezaei and et. al., 2018. Experienced international business traveller’s behaviour in Iran: A
partial least squares path modelling analysis. Tourism and Hospitality Research. 18(2).
pp.163-190.
Rialp and et. al, 2019. Twenty-five years (1992–2016) of the International Business Review: A
bibliometric overview. International Business Review. 28(6). p.101587.
Rogmans, T. and Abaza, W., 2019. The impact of international business strategy simulation
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Shams and et. al, 2020. Strategic agility in international business: A conceptual framework for
“agile” multinationals. Journal of International Management, p.100737.
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Teagarden, M.B., Von Glinow, M.A. and Mellahi, K., 2018. Contextualizing international
business research: Enhancing rigor and relevance. Journal of World Business. 53(3).
pp.303-306.
Verbeke, A. and Ciravegna, L., 2018. International entrepreneurship research versus
international business research: A false dichotomy?.
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of World Business. 54(1). pp.54-65.
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