Advantages And Disadvantages Of The International Market

Globalization can be defined as ‘international integration’, which can be described as the process by which the people of the world are unified into a single society and functioning together. This process is a combination of economic, technological, and political forces (dictionary.com).

The phenomenon globalisation can be thought of as an integration of economies, industries, markets and cultures. Globalisation is the connectedness of our world. Advanced and modern communications have made it possible for national and regional economies to combine with one another and trade freely. Globalisation is particularly common amongst capital markets and commodity markets. This phenomenon can be known as a great deal of things as globalisation can be seen as more than just “a way of doing business” but can viewed as a process, a process that allows our world to communicate and trade products.

The world is expanding impacted by Multination Organization and worldwide brand. These days, the possibility that globalization produces victors and failures are broadly acknowledged. The champs and washouts from globalization can isolated into two general classes. One is creating nations and the other one is produced nations. In this exposition I will demonstrate there are huge a greater number of champs than washouts in globalization. The created nations or creating nations all are being profited by globalization.

　　Besides to gain more market share, when a firm want to expand their business, it is essential to know the importance of diversification. People know it is not a wise choice to put all of the funds in only one business. If the economy trend is decrease in one country, then they may have better performance in the other area. The firm who put them in more than one nation can make themselves easier to overcome the difficulty and increase their brand image as

Currently, it is difficult to have a solid position in markets as well as meet all demands of people in a detailed market. Thus, international markets may bring potential new chances such as developing products in new markets, expanding range of customers or rising awareness of foreigners about company. In particular, an good international strategy can bring a number of benefits to the company, Australis

In the modern world today, activities are becoming faster, closer, and easier than they had ever been. At the tip of your fingers, people are able to exchange information almost instantly. Not only is the rate of information becoming faster, but also the rate of exchange of goods, services, and money. So how once a separate world consisting of different nations with different cultures becoming hurled into one large body? This pulling together of the world is known by most as globalization. The term ‘globalization’ has long been a buzzword of the last two decades in all kinds of fields not only in economic. This is not only because people claimed that it symbolizes the evolution of the world societies, but also the conflict between the pro-globalists

International marketing is practiced in all major corporations, there are a large array of advantages companies can benefit from this and very little to lose. By marketing themselves globally, corporations essentially create multiple business opportunities for themselves worldwide when they recognise the opportunities and strive to inform or meet different consumer needs. Several corporations tend to internationalize when the domestic market is not generating lucrative profits for the corporation compared to the domestic market. For example, in 1994, Apple generated an additional amount of $80 million from the foreign market compared to the local market.

Multinational companies (MNC) is an international or transnational company headquartered in one country but branches in many developed and developing countries. Examples include General Motors, Coca-Cola, Firestone, Philips, Volkswagen, British Petroleum, Exxon, and ITT. A company will be based on the advantages of multinational companies to establish production and other activities in foreign locations. Companies globalize their activities both to supply the domestic market in their states, and to serve foreign markets directly. Keeping foreign activities within the corporate structure allows the companies to avoid the costs inherent by intermediaries, with a separate entity while utilizing the knowledge of their own

Lately, the international financial integration has increased. Over the years, the world economy has witnessed an increase in the number of individuals and businesses using international banking services. In today’s competitive global economy banks have the option to solely service their home market, to export services to foreign markets, or to establish a presence in that market. Essentially, banks have two options of expanding their operations in foreign markets. They can either service foreign clients through their domestic offices or they can establish a presence in the foreign markets. In general, the reasons for bank internationalization in

Customers reaction or attitudes towards purchasing Australian made products, to find out consumers preferences, needs and wants in targeted countries and current trend

Increase Sales: - if a business succeeds in the US, going international will likely improve the overall revenue. Approximately 96% of the world’s population lives outside of the United State and 90% of the world’s population do not speak English, that suggest that customer is global and if a business has to look beyond the end of the domestic market, you have real upside potentials

Our Shoes company vision is to work hard and expand our business to all over the world and our product should know as its quality.

When it comes to market share, most people are inclined to refer it to the proportion of the overall consumption market taken up by the company on the strength of its products and services. It is the truth that if a company has a larger share of the immediate market, it will be bound to possess more foothold in this market which will in turn results in more sales on the grounds that products of this kind can be observed by the consumers more frequently than those of the counterparts. This, however, may make it rather difficult to those smaller corporations to become competitive in comparison with the business in possession of a larger market share. In this way, concentric diversification serves as a useful method for the company to raise its own market share since it can gain more product presence in the even wider marketplace.

Although the concept of free trade and globalisation may subtly imply a polarity between the developed and developing worlds, it can be argued that, in order to function successfully, the pressure to create a competitive and comparative advantage hold all nations on a level-playing field. Sinclair Davidson (2015) cited David Ricardo (1821) in his argument that foreign trade is, indeed, beneficial to a country, for a number of reasons. By reducing the cost of commodities and raising living standards through the creation of jobs, international trade allows developing countries to create a competitive advantage.

(b) Assume that two countries are competitors in the international trade markets. The two governments are thinking about whether it is profitable to adopt a free trade policy or not. The entries in the table below are showing (in millions of pounds) the gains of each policy. Find the Nash equilibrium. Analyze how you conclude to your answer.