u3 influencing factors of success Flashcards
economic factors
major exports/imports such as natural resources, raw materials, manufactured goods, agricultural products
major industries, inflation rate, unemployment rate –> all contribute to economic output of individuals which contributes to economy’s success
top 3 trading partners
typically china, us, canada
cultural factors
researching and understanding a foreign country’s culture to
- dress appropriately
- business customs/etiquette, for example; hierarchy vs collaboration
- be respectful
–> improve relationships
political factors
- government structure
- gov can manipulate trade through policies/regulations/incentives
- trade agreements such as NAFTA/USMCA
- companies can navigate political risks by lobbying
geographic factors
researching a foreign country’s climate and geographic features (eg. mountains, deserts, bodies of water), to understand how your business can be successful there
- understand what natural resources there are
- countries with access to waterways are typically more successful because of convenient transportation
