Development of international business in terms of globalization
The emergence of the global economy as a result of the evolution of internationalization, transformation of productive forces, changes in the international business environment, ties. Conditions and methods for the formation of global business parameters.
| Рубрика | Международные отношения и мировая экономика |
| Вид | статья |
| Язык | английский |
| Дата добавления | 30.07.2017 |
| Размер файла | 6,0 K |
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Development of international business in terms of globalization
The development of international business in the context of globalization and the formation of a global economy is the result of the evolution of internationalization, the transformation of productive forces, the impact of changes in the international business environment, and deepening of interrelations between national economies at the level of production, exchange, consumption and distribution of factors and production results. In general, trends in the changing environment of functioning of international business at different levels and stages of internationalization are the cause of the emergence or transformation of forms of international entrepreneurship. At the modern global level of internationalization, the development of forms of international business as a set of business operations carried out by companies is conditioned by the desire to strengthen the integration of national economies into the global production process. Integration of economic agents goes beyond international trade and international investment as forms of international economic relations in the context of globalization [2].
By creating conditions for transnational companies, international business is simultaneously experiencing the impact of changes in the external (global) environment. The processes of globalization and the formation of new, global, economic links in economic systems at the meso, macro and micro levels, within which the international business functions, affect the level of development of all spheres and components of the external environment. Strengthening global transformations in the technological and innovative spheres of international business have become objective prerequisites for the transformation of forms of international business. Globalization and internationalization have conditioned the integration of the subjects of international economy at all its levels and forms, defined capital, information and technologies as factors of strengthening such integration for the production of a global product on the global market [1].
International business in the broadest sense of this category can be defined as entrepreneurship, carried out within the framework of the world economy. The specific essence of this concept is regarded as any operation that is conducted by counterparties of two or more countries. At the same time, as we are talking about economic operations which are based on new organizational technologies, they have a flexible nature in the process of operational management, taking into account the impact of the requirements of the world market and the optimal satisfaction of interests and needs of partners. International business is based on the possibility of obtaining advantages (economic or technological) from the advantages of interstate (intercountry) business operations, that is, the sale of this product in another country, or the establishment of one country's production in another country, or the joint provision of services by firms of the two, three or more countries. It has to be ensured that the parties involved have more advantages than they would have if they carried out similar activities as subjects of only national economies [2].
Global business parameters are formed in a hypercompetitive environment, where the information resource becomes a key factor for achieving efficiency and long-term competitiveness in the world commodity and financial markets. Formation of the international business environment occurs on the basis of intensive investment and innovation processes, where the motives of all the subjects of the world economy are common. The distribution and redistribution of added value becomes relevant as a result of changes in the technological component of the reproductive process within large corporations or countries. Nowadays, the influence of the technological environment on functioning of international business is immense. The motive of international business is no longer profit, but the creation and implementation of commercial innovation [1]. The current level of development of international economy in the context of globalization is characterized as a system of scientific, technological and branch functional relations. The creation of new elements of productive forces in the form of information and communication technologies led to the emergence of new forms and methods of international business or their modification. This conclusion is a fundamental provision of the interaction of the level of productive forces with the nature of production relations. The new elements of the productive forces in the form of information and communication technologies affect economic relations, resulting in more modern, in terms of technology, forms of international business, new products, new relationships of the seller with the buyer, new competitive and business strategies.
economy business international
The list of references
1. Aaker David A. Strategic market management / A. Aaker David. - USA : John Wiley & Sons, Inc., 1995. - 379 p.
2. Michael J. Stahl, David N. Grigsby Strategic Management for Decision Making / J. Michael Stahl, N. David Grigsby. - Boston : PWS-Kent Publishing Company, 1992. - 999 р.
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