Author
Dr. Vibha Mathur
Ms. Priyanka Marwah
About the Book
The growth of International Business plays a prominent role in the economic development of a country; in other words, International Business and economic development of a country are inter-related. It is a universally known fact that in the last few decades, there has been a spurt in the international business on account of various factors, such as a desire to earn sales revenue, to reduce cost by acquiring inputs at least cost and minimizing business and financial risk through geographical diversification.
Apart from the reasons mentioned above, liberalization of trade and investment world over, emergence of WTO as a replacement of GATT, rapid advancement of technology and cut-throat competition among MNCs have been strong factors influencing the growth in international business. In fact, globalization has been possible due to the declining trade barriers throughout the world. Removal/reduction in the trade barriers has led to an increase in trade, which is important for economic development of countries.
This book is an attempt to discuss important concepts and aspects of international business in a simple language. To make it more interesting and understandable, case-studies and suitable examples have been included at appropriate places. Apart from containing all the important issues related to International Business, a special feature of the book is in terms of inclusion of separate chapters detailing the historical background leading to the formation of EU with a focus on the birth of euro and trade related Conflicts and Disputes and the need to resolve them.
International business environment and its various forms have been discussed at length. Also, the book contains separate chapters on Economic environment, The cross border cultural environment and Political and Legal environment to allow students to understand the various forms of business environments clearly.
Unit III has been updated as per the new syllabus and covers the various aspects of International financial environment. The evolution of the international financial system, the role and importance of the foreign exchange market, its important players and instruments along the detailed discussion on ways to manage foreign exchange risks and exposures have been discussed in a very simple language to clarify various terms clearly. FDI, its different types and flows have also been discussed at length.
Unit IV also has been updated with new chapters. Chapter 16 discusses the various factors affecting the exchange rate like inflation, interest rates and government controls. A separate chapter has been included that explains the various economic exchange rate theories that holds true in practice in the present scenario
WE, sincerely, hope that teachers and students find this book useful. However, suggestions are welcome to help us improve it in future.
