International business: General concepts

Watch the video and then summarise what you have learned.

Globalisation is the expanse of local economies and businesses into a broader international marketplace. Even small businesses have gotten active in the global environment as the internet and mobile technology have enabled communication across continents and countries.

Globalisation has become important for a number of reasons, including the overall need for businesses to compete. Number one– the internet. The internet revolutionised the business arena because it created a whole new virtual marketplace that expands beyond physical and geographical boundaries. Companies in foreign countries can now compete for customers in the United States by leveraging their own country’s resources, lower costs of labour, and affordable distribution processes.