International business development trends. Problems of international business development and ways to solve them

MB- this is economical. activities of an international company based on the advantages of the international division of labor and the processes of internationalization of production and capital in order to maximize profits. MB includes any business transactions that are carried out between two or more countries, that is, it appears as a diverse field of activity, covering almost all main forms of foreign economic relations.

The IB is becoming increasingly international in nature, due to the presence of a number of trends characterizing the development of the world community:

Changing the influence of time and space factors. High tempo technical progress in the field of communications and transport, they save time and money spent on transmitting information, transporting goods and moving people.

Development of institutional mechanisms. Favorable opportunities for MBs are created thanks to the evolution of public institutions and the improvement of business infrastructure. This concerns, in particular, the removal of trade barriers, the signing of multilateral agreements, the creation of trade unions;

Accessibility and universality. Although the MB is regulated by the relevant laws of countries, it gives almost any company the opportunity to enter a foreign market;

Changing competition on a global scale, forcing companies to adapt to new conditions. Consumers can personally order the production of a fairly wide variety of goods, ranging from mobile phones and computers to cars and kitchen equipment.

Development of new technologies.

2.1 Resellers- individuals, firms and organizations independent from producers and consumers that promote the exchange of goods. More than half of international trade exchanges are carried out through resellers. Involving intermediaries increases efficiency externally trading operations, accelerates capital turnover. Intermediaries who carry out pre-sale finalization of goods increase the competitiveness of exported products. The direct function of trade intermediaries is to connect sellers and buyers, linking supply and demand.

- dealers - these are intermediaries engaged in trade transactions on their own behalf and at their own expense;

- distributors - these are wholesale intermediaries;

- commission agents - intermediaries who enter into contracts on their own behalf, but at the expense of suppliers;

- consignors - intermediaries who enter into contracts for the sale of goods from a warehouse. Contracts are concluded on one’s own behalf, but at the expense of the manufacturer;

- trading houses is a diversified foreign trade company that carries out, on its own behalf and at its own expense, export-import operations across a wide range of product nomenclature. The trading house is engaged not only in direct intermediary activities. - government agencies - can act as main intermediaries.

- Exchange - this is what it is organizational form trade in which large masses of homogeneous, single goods are promoted to the market. Exchanges are commercial intermediaries. For example, about 20% of trade transactions with raw materials are carried out there. - auctions - real single goods are sold at auctions. In this way, they essentially differ from modern exchanges and represent trading, specializing in the sale of goods with strictly individual properties. In two main forms: 1) open form(usually organized joint stock company monopolizing trade in a certain type of product and dictating purchase prices for it); 2) closed form (organized by special brokerage firms).

- Int. bargaining is an organizational system. promoting mainly new product forms to the market. In this sense, bidding is, first of all, a method of concluding purchase and sale or contract agreements, in which the buyer announces a competition for sellers for a product-object and, after comparing the proposals received, signs a contract with the seller who offered the product-object at the most favorable price. buyer's conditions.

Leading international business has significant differences compared to doing business within the country. Great importance for successful activities

firms are acquiring things that national companies don't even have to think about. In this regard, it becomes obvious that it is necessary to carefully study the features of conducting and managing international business, which is exactly what international management does.

"International Business" - is a business activity involving the use of capital in various forms and the benefits of increased business activity; carried out for the purpose of making a profit and extends to the international economic sphere.

International business includes any business transactions carried out by two or more countries. In the case of private companies participating in international business, business transactions are usually carried out with the aim of making a profit. The activities of state-owned firms are not always profit-oriented.

The main reasons for doing international business:

1) access to new sources of minerals and raw materials;

2) access to new labor markets;

3) desire for new markets.

Characteristics of international business:

1. Profit is made by taking advantage of the benefits of going beyond national markets.

2. Enterprises receive additional economic opportunities arising from: resource features of international markets; capacity of foreign markets; legal features of foreign countries; specifics of interstate political and economic relationships.

3. Due to the internationalization of each business, a global business service becomes maximally accessible, independent of nationality, focused only on economic efficiency.

4. The outstanding role of the cultural factor in the activities of international companies.

5. International business is a system of constantly updated and complexly interacting professional knowledge of a fundamentally higher level than that available in any national business.

6. International business absorbs the best national examples, all the best in world practice.

7. The fundamental difference between international business is the reverse assessment of the internal state situation: negative trends in the economy can open additional features for the development of international companies.

8. Unlike national competition, international business can feel the support of its state in the fight against competitors in many forms.

9. Information is the main strategic resource of international business, adaptation is its main strategic weapon.

Introduction……………………………………………………………...………..3

1.1. History of the development of international business…………...………4
1.2. The essence of international business………………………...….8
1.3. Main features of international business……….………..…..9
2. Modern tendencies international business development
2.1. Directions for international business development…………….122.2. Trends in modern international business on
example of Russia……………………………………………………….14
Conclusion……………………………………………………..……….18
References…………………………………………………………….………….19

Introduction
The relevance of studying international business lies in the fact that economics in modern world ceases to be a matter of one state. Globalization and the emergence of transnational corporations lead to the internationalization of the economy. The movement towards economic openness is associated with the emergence of many complex problems, one of which is the problem economic security, i.e. definition optimal conditions interaction with the world economy. For industrialized countries, especially those without their own reserves of energy and raw materials, the openness of the economy is a significant factor influencing their further development. All other countries also participate in the international division of labor, and, consequently, in the establishment and development of commercial relations with each other, which leads to increased interconnections and interdependence of the subjects of the international division of labor and the need to combine the benefits of specialization and cooperation with protection from negative external influences. The result is a risk of instability national economy, which is due to the fact that the trade (commercial) relations into which countries enter as they “open up” cannot be absolutely safe.
In the modern world, there are more than 30 international integration groups that differ significantly in the level of development of integration and the consequences of its impact on the state of the national economy and the level of business development of the participating countries.
Direct participants in international business are business structures of various profiles (for example, banks, industrial companies, trading firms, intermediary organizations, etc.). They can be national business structures, mixed business structures and international business structures (including multinational corporations, MK) of various forms. Each of them reflects differences in the method of formation, status, mechanism of creation, registration, functions, results and consequences of activities, etc. Their participation in various types international business is as unique as these forms themselves differ.
The study of international business problems, equal participation of countries in various forms of international business is relevant scientific task, the solution of which is of great national economic importance, that is, it is distinguished by its fundamental novelty and high practical significance.

1. The essence of international business and its characteristics
1.1. History of international business development

An interesting structure for studying the development of international business was proposed by the American researcher R. Robinson, who divided historical development international business in five last centuries for four eras. Let us give their brief characteristics.
1 Commercial era (1500-1850) - begins with the times of the great geographical discoveries and ends in the mid-19th century. The search for enormous personal benefits associated with the trade of colonial goods in Europe was a powerful driving force that determined the development basic form international trade The risks of this business were also very large (associated with long sea voyages), but the very possibility of making a profit, far exceeding the costs, made more and more new generations involved in this very first international business...

Financial University under the Government of the Russian Federation

Silantieva Elena Aleksandrovna, candidate economic sciences, Associate Professor, Department of World Economy and International Relations, Financial University under the Government Russian Federation, Moscow city

Annotation:

The development of international business is one of the main issues facing the world community at the moment. The article discusses actual problems obstacles to the dynamic development of business around the world and ways to solve them.

International business development is one of the burning questions posed in front of the world community at the moment. In the article actual problems that hinder dynamic development of business throughout the world and their solutions.

Keywords:

the problem of international business development; risks of international business; ways to solve problems of international business development.

the problem of the development of international business; risks of international business; the solutions to the problems of international business development.

UDC 339.9

With the globalization of the world economy, there is a simultaneous increase in the number of companies that enter the world market. The international business concept has been known since the time of the East India Company. Over time, international business began to develop throughout the world. Thanks to it, information and capital are exchanged, innovations and technologies are introduced into the world, goods and services become available to everyone (for example, Ford, Toyota, Honda, McDonald, KFC, Burger King), an atmosphere of friendship is established between countries, and production is globalized ( for example, Dell computer parts are manufactured in different countries, assembling parts and selling it to others).

Relevance The research is that international business plays an important role in the development of the modern world economy, but it faces problems that hinder its development.

Purpose work is to identify the main problems of business development around the world. In accordance with the goal, the following are formulated tasks:

Analyze the dynamics of international business forms;

Identify problems in the development of international business;

Suggest ways to solve them;

Draw conclusions based on the analysis.

There are two forms of international business - export-import and foreign investment. Export-import transactions include trade in goods (raw materials, clothing, etc.) and trade in services (financial, transport).

After analyzing the dynamics of the development of international trade and foreign investment, the following conclusions can be drawn. The bulk of international trade is trade in goods, with services making up a much smaller share. World trade in goods has increased sharply over last decades. World economic crisis affected both global trade and foreign investment, with a decline observed in 2009. There is also a deterioration in indicators in 2014, which is associated with a decrease in prices for oil and raw materials.

International business is experiencing certain difficulties. Let's look at some of them. Firstly, transactions are carried out in foreign currency. Therefore, the exchange rate may vary. Culture and social aspect other countries must be taken into account, for this it is necessary to know foreign languages, as well as obtain information about foreign countries. The big obstacles are political, commercial and financial factors. It is also difficult to satisfy the demands of the international market; for this, most of the time has to be spent on research and surveys of the local market. Business development and its prosperity depend on national conditions.

Business is hampered by the unstable situation in a particular country. This includes political, economic, and financial instability. As for political stability in the country, international business is attracted to investments in such a country. Political instability is a big risk for international business. There are generally three risks associated with it.

The risk associated with owning property. In some cases, ownership is transferred by one country to another without any further compensation through confiscation or expropriation.

The risk of business functioning due to changes in laws and authorities, terrorism, civil wars, tax regulation and so on.

Political fluctuations have a bad impact on international business. In this state, international business, before joining the new political conditions, needs to obtain information through analysis that will answer the questions of what form of government, protectionism or free trade in the country, whether the government encourages international companies that are going to invest in the local market, what clients and competitors in this market.

Political stability affects business. To make decisions about future investments in foreign countries, information about the political state of the country is collected from the following sources: personal visit to the country to obtain information from local businesses, bank, stock market, country embassy, ​​International Chamber of Commerce, which is one of the best sources information.

Countries are considered economically stable if they have high national income, price stability, high productivity in the production of goods and services, and high employment rates in technological innovation and investment. Also, a high indicator of economic growth of GDP characterizes high level life, well-being and investment. These factors are very important for international business to invest in such a country. International business first analyzes the economic situation before investing in a country.

Cultural customs - religion, ethics and behavior vary from country to country. They have a direct impact on lifestyle, education, economy, political structure, law. For example, a country with an extremist culture is considered unstable. And most of the investor shows a lack of confidence in investing in such countries.

In some countries the law has become a barrier to foreign investment. Reasons include high tax rates on foreign investment, limited export and import.

Every country wants to export surplus natural resources, agricultural products and industrial goods, but to import goods and products that are not produced domestically. There are regulatory measures like tariff barriers (customs duties), non-tariff barriers, quantitative restrictions, foreign exchange restrictions, technological and administrative rules, trade agreements, etc. All these stand in the way of free trade and the free flow of foreign business.

Another problem for business is economic unions. There is a growing trend among nations to form small groups economic unions, who agree with each other on more privileged terms for business.

In order for business to develop smoothly around the world, it is necessary to improve the international legal framework in the field of international business. For more dynamic business development, a World Committee for International Business Development should be created, which would analyze Current state business and took measures that would positively influence the improvement foreign trade relations between countries. International companies should conduct training to improve the skills of their personnel, which would help them more clearly navigate the international economic space. Countries must build their public policy, focusing on creating stable international business connections.

Thus, from all of the above, we can conclude that international business is one of the key aspects of the development of the state. International business has positive consequences (for example, the creation more jobs, international business has high profitability for both the state and organizations). Firms that seek to invest in a foreign country must analyze the development of capital, economic and political culture and the legal stability of the state. To conduct export-import transactions, you need to thoroughly study the local market, local culture, and analyze the economic and political situation in the country. State support for international business is also important. If countries join forces, then soon it will be possible to observe stable business relations between states.

Bibliography:

1. Key statistics and trends in international trade 2016 [Electronic resource]. Access mode: http://unctad.org/en/PublicationsLibrary/ditctab2016d3_en.pdf .(access date: 05/03/2017)
2. Foreign direct investment [Electronic resource]. Access mode: http://data.worldbank.org/indicator/BX.KLT.DINV.WD.GD.ZS? (access date: 05/03/2017)
3. International economic relations. International business [Electronic resource]. Access mode: http://elibrary.ru/item.asp?id=19890184.(access date: 05/03/2017)

Reviews:

05/07/2017, 16:25 Borovsky Vladimir Naumovich
Review: The article is relevant, but where is the analysis itself?

05/10/2017 13:13 Response to the author’s review Tatyana Anatolyevna Kovalchuk:
Dear Vladimir Naumovich, the analysis characterizes detailed study, consideration of any fact, phenomenon, event. In my work, I identified problems and indicated exactly how they affect the development of international business, and also suggested ways to solve them. Sincerely, Kovalchuk Tatyana