INTERNATIONAL BUSINESS
AND TRADE
1st Sem July – November 2023
What is international business and trade?
International business refers to the trade of goods,
services, technology, capital and/or knowledge
across national borders and at a global or
transnational scale.
It involves cross-border transactions of goods and
services between two or more countries.
What is the importance of international
business and trade?
International trade is important
because countries rely on other countries for
the import of goods that can't be readily found
domestically.
If a country specialises in the exports of goods,
it may have more supply of certain raw
materials than there is demand in its own
What is the relationship between international
business and international trade?
While international trade deals with the export and
import of goods/services only, International Business
comprises a broad range of foreign transactions
such as the trade of goods and services across
nations, foreign investments, and overseas
production of goods & services.
What are examples of international trade business?
Almost every kind of product can be found in the
international market, for example:
food, clothes, spare parts, oil, jewellery, wine, stocks,
currencies, and water.
Services are also traded, such as in tourism, banking,
consulting, and transportation.
How does international business & trade affect the
economy?
Countries that are open to international trade tend
to grow faster, innovate, improve productivity and
provide higher income and more opportunities to their
people.
Open trade also benefits lower-income households by
offering consumers more affordable goods and services.
Emergence of Globalization
Globalization is a term used to describe how trade and technology have
made the world into a more connected and interdependent place.
Summary.
The last few decades have seen globalization evolve as a result of growth
in commercial and financial networks that cross national borders, making
businesses and workers from different economies increasingly
interdependent.
What are the three main elements of globalization?
Academic literature commonly divides
globalization into three major areas:
economic globalization,
cultural globalization, and
political globalization.
What are the four 4 drivers of
globalization?
The four main areas of drivers for
globalisation are
-market,
-government;
-cost and
-competition
Evidence suggests that globalisation has a positive
effect on the country's economic growth and
employment.
In particular, trade openness and foreign portfolio
flows have contributed to higher per capita GDP
growth in the Philippines, following the
implementation of FX liberalisation reforms
assignment
How did globalization influence
the Philippines ?
assignment
How did globalization influence the Philippines?
Globalization has affected the Philippine
economy in many ways. It opened the market to
foreign trade and increased both capital flows
and financial integration. It promoted greater
labor mobility (labor migration) and lessen the
impact of inflation. As with the economy,
globalization also affected politic
REWARDS OF GOING INTO BUSINESS
1.Having unlimited opportunity to make money
2.Being your own boss
3.Tapping your creativity
4.Overcoming challenges and finding fulfillment
5.Helping others
6.Building en entrepreneurial legacy
RISKS OF GOINF INTO BUSINESS
1.Possibility of failure
2.Unpredictable business climate
3.Long hours of work
4.Unwarranted or unexpected responsibilities
WHAT IS BUSINESS?
BUSINESS – is any lawful organizations that seek profit by
providing needed goods and services
According to well-known professors William Pride,
Robert Hughes, and Jack Kapoor, business is 'the
organized effort of individuals to produce and sell, for a
profit, the goods and services that satisfy society's
needs.
BUSINESS.GOV.PH
The Philippine Business Hub (PBH) offers a single site for all
the business-related information, which aims to promote
effective service delivery and transparency in the
government. It seeks to streamline the registration of
business, renewal of permits and other activities through
online transactions.
Under Republic Act 11032, or the Ease of Doing Business
and Efficient Delivery of Government Services Act,
provides the creation of a single portal to make business
transactions easier and faster.
TYPES OF BUSINESS
1. TRADE
2. INDUSTRY
3. SERVICE
TRADE OR COMMERCE – engaged in buying and selling of goods (
trading, buy and sell, merchandising, marketing
INDUSTRY – Those which are mainly concerned with production. Goods
produced which are intended for consumption are called CONSUMER’S
GOODS, and those which are intended for use of business and industry
are called PRODUCER’S GOODs.
Classification of Industry are extractive, manufacturing, construction,
Classification of Industry are :
1. GENETIC Industries – involved in agriculture, forestry and fishing’
2. Extractive industries – involved in extraction of goods from natural
resources like ining, lumbering, hunting and fishing (endangered
shells)
3. Manufacturing industries – those which convert raw materials into
finished products (food, liquor, plastic, cars, office supplies,
appliances, etc.
4. Construction industries – consist of firms engaged in building, infra
(airports, seaports, roads, bridges, dams, houses , buildings etc)
SERVICES – those which sells service to buyers (intangible things)
Finance, recreation and personal (teaching, tutoring, doctor’s ,
dentist, etc.
Classification:
1. Recreation – movie houses, TV and radio stations, theaters
2. Personal – restaurants, barber shops, parlors, spa, transpo, hotels,
tailoring shops
3. Finance – banks, insurance companies, Investment houses, etc
PURPOSE OF GOING INTO BUSINESS