Introduction to

international business
EDWARD TAMAYO
Videos Propuestos
https://www.youtube.com/watch?v=lMdhfBQUhtI
https://www.youtube.com/watch?v=xUYNB4a8d2U
https://www.youtube.com/watch?v=0iIh5YYDR2o
Introduction
Nature and scope of international business
Importance
Problems
History if IB
Entry Strategies
International organizations
International business
All commercial transactions that take place between two or more countries
Transaction carried out across natioal borders to satisfy the objectives of individuals and
organization
1, Private & Goverment
2, Sales
3, Investments
4, Logistics
5, Transportation
History
1, In ancient times there was commerce among conries
2, Nothing compared after second world war
3, Trading increases according to the spread of technology (Logistics, transportation)
4, New networks, and the world wide web
5, Nowadays: Telecommuting Jobs and the spread of apps
IB Scope
International Business is different from management…
1, International Marketing
2, International environment
3, Crosscultural facts
4, Negtiation strategies
5, Political issues
6, Legal policies
7, International Finance
8, Global HR
Globalization
It is a phenomenom, not a model
Implies the opening of local and nationalistic perspectives to a broader Outlook of an
interconnected and interdependent Word.
Transfer of capital, godos and services.
Is globalization just a trend?
Liberalism vs neoliberalism
Globalization needs liberalism but some of the problems that global economy brought makes
necesary to take control over most of commerce and trade situations.
Liberalism: Absolute freedom
◦ Adam Smith – People should look after their needs and wants, that is the way society grows, by the
search of their own Benefit

Neoliberalims: Private Property and freedom, but state should take control using: 1, Taxes, 2,
monetary politics, 3, deregulation terms, 4, privatization
Globalization: Negative effects
Increasing economic gap:

20% of the most wealthy The total income of the 358 world
people get 150 times more multimillionare is equivalent to the 2,300
incomes than the 20% of the million of people in the world. 45% of
poorest. total world population.
In 1991 85% of global
population gets 15% of
global incomes. Today the
quantity of people is
increasing.
Fuente: Zygmunt Bauman «Globalización consecuencias humanas», Ülrich Beck «¿Qué es la
globalización?»
 Globalization: Negative effects
In the 90’s tax revenues has decreased to 18,6% and the volumen of taxes to some of the most
importante developed economies decreases to their half.
◦ Most of the most importante multinationals, just as Siemens or BMW, they no longer pay
taxes in their home countries.
 Globalization: Negative effects
Irresponsable consumism increases

Oportunities for poor people decreases: Wealthy people globalizes while por people localie.