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International Business Political - Legal Cultural Economic Technological Environment of Inter-national Business
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[object Object],[object Object],A) Macro Risks Impact ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],i) Kidnappings, terrorist, Disrupted production, threats, etc. higher security costs, reduced productivity ii) Increased taxation Reduced after tax profits iii) Officials’ dishonesty Loss of business, increased operating costs
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[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],2006 2007 Hungary 78 77 S. Korea 76 75 Poland 74 72 Bulgaria 70 69 Mexico 67 67 China 66 61 Brazil 66 64 Turkey 65 64 Argentina 66 66 S. Africa 64 65 Russia 63 61 India 62 62 Thailand 61 60
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Direct Indirect Reactive Proactive Managing Risks ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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[object Object],Types Individuals Modes of Operand Effectiveness Owner- From Ratan Meet key policy Very high since Promoters Tata, to Mukesh makers personally, they bring a lot of Ambani, to N.R drum up popular personal cred- Naraynan Murthy, support via media ibility & the heft to Azim Prem Ji of their business to Sunil Mittal, empires to weigh everyone has on the issues they lobbied for, champion. variously, better policies in telecom, oil & gas, education retail. Consultants Typically, retired They work the ‘old High, since they bureaucrats boys’ network have know how the themselves better access than system works,
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Low 1 1 10 20 Low Moderate High Protective/ defensive techniques (11, 14) • Low or stable technology • Unified logistic (7, 10) labour transmission Advanced management (16, 6) skill • (14, 3) • Dynamic high technology Moderate 10 Integrative techniques High 20 Fig. Use of Integrative & Protective & Defensive Techniques by Firms in Select Industries
 

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International Business Environment Factors

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  • 2. International Business Political - Legal Cultural Economic Technological Environment of Inter-national Business
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  • 60. Low 1 1 10 20 Low Moderate High Protective/ defensive techniques (11, 14) • Low or stable technology • Unified logistic (7, 10) labour transmission Advanced management (16, 6) skill • (14, 3) • Dynamic high technology Moderate 10 Integrative techniques High 20 Fig. Use of Integrative & Protective & Defensive Techniques by Firms in Select Industries
  • 61.