lec 1 Flashcards
1
Q
why would a firm participate in international business
A
for new opportunities
potential long term profitablility
2
Q
what are the four risks of IB (4 c’s)
A
cross cultural, country, commercial , currency
3
Q
how to counteract the risk of IB
A
make local partners, working with the local government and regulators
hire locally
engage with the local government
4
Q
what is country risks
A
unstable political systems
laws and tarrifs
corruption
5
Q
what are examples of commmercial risk
A
weak business partners
timing of entry
poor strategy
competitive industry
6
Q
what are examples of currency risk
A
forign taxation
currancy exposure
inflation and weak dollar value
7
Q
what are examples of cross cultural risks
A
cultural differences
ethical practices
language barrier
8
Q
A
