International Development

Feel free to 'Contact BMM' to discuss how we could help you with your International Development.

In the meantime here are some things about International Development that you might find useful:

International business is a term used to collectively describe all commercial transactions whether private and governmental, sales, investments, logistics,and or transportation that take place between two or more nations. Usually, private companies undertake such transactions for profit; governments undertake them for profit and for political reasons.

A multinational enterprise is a company that has a worldwide approach to markets and production or one with operations in more than a country. A multinational enterprise is often called multinational corporation. Well known international companies include fast food companies such as McDonald's, vehicle manufacturers such as BMW and Toyota, consumer electronics companies like Sony, and energy companies such as Shell and BP. Most of the largest corporations operate in multiple national markets.

Areas of consideration when operating internationally include the legal systems, political systems, economic policy, language, accounting standards, labor standards, living standards, environmental standards, local culture, corporate culture, foreign exchange, tariffs, import and export regulations, trade agreements, climate, education and many more topics. Each of these factors requires significant changes in how individual business units operate from one country to the next.

The conduct of international operations depends on companies' objectives and the means with which they carry them out. The operations affect and are affected by the physical and societal factors and the competitive environment.

Main objectives for growing internationally are: sales expansion, resource acquisition, risk minimization

Modes: importing and exporting, tourism and transportation, licensing and franchising, turnkey operations, management contracts, direct investment and portfolio investments.

Functions: marketing, global manufacturing and chain supply management, accounting, finance, human resources

Overlaying alternatives: choice of countries, organisation and control mechanisms

Physical and societal factors: Political policies and legal practices, Cultural factors, Economic forces, Geographical influences,

Competitive factors: Major advantage in price, marketing, innovation, or other factors. Number and comparative capabilities of competitors Competitive differences by country

There has been growth in globalisation in recent decades due to the following eight factors:

Technology is expanding, especially in transportation and communications.
Governments are removing international business restrictions.
Institutions provide services to ease the conduct of international business.
Consumers know about want foreign goods and services.
Competition has become more global.
Political relationships have improved among some major economic powers.
Countries cooperate more on transnational issues.
Cross-national cooperation and agreements.

Studying international business is important because:

Most companies are either international or compete with international companies.
Modes of operation may differ from those used domestically.
The best way of conducting business may differ by country.
An understanding helps you make better career decisions.
An understanding helps you decide what governmental policies to support.
Managers in international business must understand social science disciplines and how they affect all functional business fields.

Six critical factors one cosnultant highlighted when going international:

1. Take advantage of trade agreements: think outside the border
2. Protect your brand at all costs
3. Maintain high ethical standards
4. Stay secure in an insecure world
5. Expect the unexpected
6. All global business is personal