Business is a medium of growth to any country. When business grows internationally country’s economy also grows.
International Business is a combination of two words :
INTERNATIONAL + BUSINESS = INTERNATIONAL BUSINESS
“International Business is doing business across national political boundaries”. The business transactions may be importing, exporting and in the form of goods in any areas of transactions like transfer of process knowledge, managerial inputs, capital investments and consultancy.
In other words – when business of a country that type of business is called international business. It is concerned with movement of goods and services, capital technology, row material, manpower, etc.
International business also includes :
- Cross border transaction in Intellectual property rights for e.g. patents, trademarks copyrighting.
- Investment in physical and financial assets in a foreign country.
- Contract manufacturing or assembly of goods.
- Buying and selling in foreign countries through imports and exports.
- Establishment of warehousing and distribution system.