1. International business
International business or international trade is similar business concept. It is basically dealt with different kind of investment across the world. In other way it is called cross border business. Different organisations arrange, source, produce or assemble products in international standard. In order to satisfy customers need across the world international business take a great part. Through international trade a business company can create good relationship with foreign companies or overseas customers. Government organisations, private companies, individual firms are the main dealers of international trade. They exchange different services, skills, machineries, resources, products and employment. The concept of international trade is not very old. For this business people can get the access to know the different products and services of various countries or different cultural backgrounds (Cavusgil, Knight and Riesenberger ,2008 p.40).
1.A Difference between international business and domestic business
There are vast difference between international business and domestic business. Domestic business is quite uncomplicated rather than international trade. Because international trade deals across the world, the boundary is bigger than domestic trade. In terms of international business, different countries have different currencies, political thoughts, different rules and regulations, different social and cultural backgrounds (startupbizhub,2011).
As an example the economic background of India and Japan. The currency is different and exchange rate is also different. . Saudi Arabia is a Muslim dominated country. Rules and regulations of Japan are different than Saudi Arabia. In terms of culture different country have different culture such as; culture of China is not similar with Indian or Canadian culture. These are the various risks in international business which organisations dealt with in terms of spreading business across the...