International Business and Multinational Enterprise Comparison

This report provides a comprehensive comparison between international businesses and multinational enterprises, highlighting their key differences. It explores the operations of both types of business structures, using Apple Inc. as a case study. The report delves into the legal factors such as trade regulations and business laws, and political factors like assessment and economic policies, and political stability. It also examines the impact of cultural factors, including language, social norms, and religious beliefs, on international business operations. Furthermore, the report addresses ethical considerations, such as outsourcing, working conditions, and human rights. The report concludes by identifying the most important factors for consumer goods businesses, such as tax and economic policies, political stability, and trade regulations, and explains why these factors are critical for success in the international market.

Running head: INTERNATIONAL BUSINESS 1
International Business
Student’s Name
Institution Affiliation
Date

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The Differences between an International Business and a Multinational Enterprise
One of the biggest and well know international business enterprises is Apple Inc, which
mostly lies based on their international business transaction the following is the deference
between International and a Multinational Business. According to Kolk, (2016), international
companies have no foreign direct investments as well as make their administrations which in turn
operates only in their original country.as a result the business end up being, exporters, and
shippers. They have no staff, stockrooms, or arrangements work environments in the
international countries. The best instances of all-inclusive associations, in the strict sense, are
charming retail shops that offer imported things, or minimal close-by creators that admission to
neighboring countries. Then again, for multinational associations cross as far as possible. They
place directly in outside assets, paying little mind to whether it is a lease contract on an
attempting to house profit undertakings, a plant on remote soil, or an outside promoting exertion.
All things considered, notwithstanding. Multinational associations, nevertheless, have FDI just in
a set number of countries, and they do not try to homogenize their thing offering all through the
countries they work in they focus more on being responsive to neighborhood pitches than an
overall association would.
Legal, political, cultural and ethical factors affecting international business
Legal factors
Trade Regulations:

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Based on apple Inc. transaction, every business has a need to develop business errand to
various countries. In any case, political establishment of a country can affect the need for a
business to expand its errands. Evaluation systems that are uncommonly controlled by the
organization can affect a particular business to develop exercises in different regions, however;
other cost methodologies can hinder the procedure for the expansion for a couple of ventures.
Government exercises, which have been planned to help neighborhood associations, may conflict
with worldwide associations when the request is of their power in a remote area. For example i
America apple claimed to be taxed more than other players in the same technology industry in
2011 as explained by Kennedy, Welch, & Monshipouri, (2017).
Business Laws:
According to the Apple inc labor policies, employment laws are made to secure the
benefits of laborers and consolidate each piece of director/delegate relationship. Business law is
an edge that is to a great degree mind-boggling and incorporates a couple of ensnarement’s.
Exactly when associations' are in contact with the latest changes in this law, they can make sense
of how to take their business the right path regardless, the people who neglect to comprehend the
circumstance ought to be completely organized the expensive results it will deliver. In current
associations, delegates are just around 98% of the association for the accomplishments or
shortage in that office and any movements inside work law will, clearly, incredibly influence the
business exercises
Political factors
They are government controls that affect business errand emphatically and
antagonistically. Boss must keep a 10,000 foot see over political parts. These components may

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be available and moving toward order, political security and changes, the privilege to talk
unreservedly, affirmation and isolation laws are factors impacting business undertaking and
activities (Boddewyn, 2015)
Assessment and monetary arrangements: Increasing or proclaiming rate of obligations is
a nice instance of a political portion. Government controls may raise the appraisal rate for a
couple of associations and can cut down the same for others on account of specific reasons. This
decision will clearly influence associations. This is the reason keeping up a strategy which can
oversee such conditions is fundamental.
Political security: Cotterrell, (2017), explains that lack of political robustness inside a
country can basically influence the undertakings of a business. This can especially be substantial
for associations that are chipping away at the overall scale. For instance, an unpleasant takeover
can expect control over an organization. At last, such a situation will provoke pillaging, fits of
commotion and general issue inside the locale. Such conditions can irritate business undertakings
and activities which can significantly influence its primary concern.
Cultural factors
This is one of the most crucial factors of Apple Inc., this is because of the diver’s cultures
that the company interacts as well as deals with, for example chia is one of the company’s
biggest sale ad manufacturing branches, and as a result the company must fit in with the
countries culture in order to achieve maximum growth. This is because cultural issues can
likewise represent the deciding moment an organization conducting business internationally.
Each culture and nation has its own history, conventions, traditions and code of ethics. Social
blocks fuse dialect, which consistently suggests an association must rely upon translators while

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tending to business contacts and customers. The sexual overview can be an issue in countries
where women don't have an indistinct ideal from men. Religious events and other social events
can confine trade at particular conditions. Going about according to good and social
characteristics is crucial for a multinational association to win clients' assistance and business
and to achieve a high ground in a particular market (Weiss, 2014). For example Methods of
correspondence change among social orders. Some underline prompt and fundamental
procedures for correspondence; others depend strongly on the indirect and complex
methodologies (Cavusgil, et al. 2014).
Negotiation
Specialists in various nations handle arrangements in an unexpected way. CEOs and
administrators of international organizations should adjust to how arrangements are handled in
various nations. Because of social contrasts and identity in many nations, business people appear
to approach the way toward making an arrangement with the mentality that the two gatherings
can win, or one side can win while alternate loses. While entering an arrangement session, it is
vital that international agents know the transaction disposition of the other party.
Religion
Religious convictions in various nations fluctuate. Organizations should know the
religious convictions of various nations where they work and regard them completely. Religion
influences the demeanor or estimations of clients on the items or administrations that are offered
by international organizations.
Etiquette

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How individuals the big time decorum in various nations fluctuate. In a few nations,
business experts shake hands as a method for demonstrating business decorum (Weiss, 2014).
There are nations where culture requires representatives to bow, embrace or even kiss on the
cheek. This influences international organizations since global business experts should know
how to indicate regard for different gatherings. Monitoring the way of life's decorum of the other
party empowers universal business experts to abstain from committing errors since a few people
can be outraged by even little motions.
Ethical factors
Apparently, the most extensively saw great issues taking all things together
comprehensive business solidify outsourcing, working measures, and conditions, working
condition masterminded arrangement and indistinguishable opportunity, youth work, trust and
uprightness, supervisory oversight, human rights, religion, the political field, nature,
compensation and also debasement. Affiliations exchanging exhaustively are relied on to
completely fit in with government and state security controls, typical laws, cash related and fiscal
determining statutes and social value laws.
The most important factors for consumer goods businesses to get right and why?
Tax and economic policies
The financing of assessment diminishments through and through impacts its impact on
whole deal improvement. Tax reductions financed by speedy cuts in pointless government
spending could raise yield, yet tax cuts financed by diminishments in government wander could
diminish yield. Baylis, Smith, and Owens, (2017), argues that, if they are not financed by

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spending cuts, assess diminishments will provoke an extension in government getting, which in
this way, will diminish whole deal improvement. The recorded verification and multiplication
examinations prescribe that tax reductions that are financed by the commitment for a widened
time span will have an insignificant constructive outcome on whole deal improvement and could
diminish advancement
Political strength
According to Wild, Wild, and Han, (2014), the lack of political stability in a country
impacts business errands, particularly for the affiliations or international organizations. For
example, a convincing takeover could expel an association. This could incite group, plundering
and general issue in nature (Armstrong, Kotler, Harker, & Brennan, 2015). The political
circumstance of a nation impacts its cash related setting. The fiscal condition impacts the
business execution.
Trade Regulations
According to Sorokin, (2017), the regulations provide local organizations more
prominent commitment in passing on for remote markets. After some time, affiliations get a high
ground in general exchange. Exchange, in addition, makes affiliations more effective. Research
demonstrates that exporters are more beneficial than affiliations that thought on a private
exchange. Imports enable outside rivalry to reduce costs for buyers. It moreover gives customers
a wider assortment of stock and ventures as explained by Trevino, and Nelson, (2016).

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Reference
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Cotterrell, R. (2017). Law, culture, and society: Legal ideas in the mirror of social theory.
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