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What is International Business?:

2 What is International Business? International business consists of transactions that are devised and carried out across national borders to satisfy the objectives of individuals, companies, and organizations.

Reasons for International Business:

3 Reasons for International Business More and more firms around the world are going global, including: Manufacturing firms Service companies (i.e. banks, insurance, consulting firms) Art, film, and music companies


4 Reasons…… International business: causes the flow of ideas, services, and capital across the world offers consumers new choices permits the acquisition of a wider variety of products facilitates the mobility of labor, capital, and technology provides challenging employment opportunities reallocates resources, makes preferential choices, and shifts activities to a global level

Types of International Business:

5 Types of International Business Export-import trade Foreign direct investment Licensing Franchising Management contracts

Recent Changes in International Business:

6 Recent Changes in International Business Total world trade declined dramatically after 2000, but is again on the rise. The rate of globalization is accelerating. Regionalization is taking place, resulting in trading blocs. The participation of countries in world trade is shifting.


7 Globalization Because of globalization , for the first time in history, the availability of international products and services can be accessed by individuals in many countries, from diverse economic backgrounds.

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