Question

1. Discuss the rise of international business and describe the major world marketplaces and trade agreements and alliances.

2. Explain how differences in import-export balances, exchange rates, and foreign competition determine the ways in which countries and businesses respond to the international environment.

3. What are the key barriers to international trade?

Answer 1

1. International business has booned in past 50 years with globalization and transnational strategies. Some of best Multilateral and Plurilateral deals include NAFTA, TPP, ASEAN, BRICS. Major markets for dealing are Switzerland, China, India, Us, Russia, Brazil, Mexico, Canada, UK . The rise of FDI and FII and large scale cinsumer preference for foreign products has drastically increased free trade agreements and international business strategy .
2. Difference in export imports or trade deficit is often reacted with VEr and Tarriff and sanctions. Differences in exchange rate drives exports and imports depending upon appreciation and depreciation of currency. Foreign competition is generally reacted by increased taxation and innovation by domestic firms and through routes like Joint Venture or Merger Acquisition.
3. Key barriers to trade include:

• Export and import licenses
• Tarriffs
• Countervailing Duties and Anti dumping duties
• VER
• Local content requirements
• Subsidies
• Currency devaluation
• Import quotas
• ​​​​​​​Embargo