International-Business-Dr-R-Chandran-E-book

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196 International Business- Dr. R. Chandran imports to some extent and prevent free imports of commodities that are not necessary. 4. Preferential treatment through trading blocs: Some countries form regional groups and offer special concessions and preference to member countries. As a result trade is developed among the member countries and allows advantages to all member countries. On the other hand, it can cause a considerable loss to non member countries, as a trading bloc acts as a trade barrier. Even trade agreements and joint commissions are used as trade barriers as they restrict free movement of goods at the international level. 5. Customs regulations: Customs regulations and administrative regulations are very complicated in many countries. There are a number of ‘Commodities Act,’ pertaining to the movement of drugs, medicines, minerals, bullion etc. Restrictions under such acts are useful to curtail imports. Tax administration also acts as barrier to free marketing amongst countries. 6. State trading: State trading refers to import-export activities conducted by the government or a government agency. Stat trading is useful to restrict imports, as the final decision is taken by the government. Such state trading acts as a barrier, restricting the freedom of private parties. 7. Foreign exchange regulations: Countries impose various restrictions on the use f the foreign exchange earned through exports. Such restrictions have the following objectives. a) To restrict the demand for foreign exchange and to use the foreign exchange reserves in the best possible manner. b) To check the flow of capital. c) To maintain the value of exchange rates. Under such regulations the foreign exchange earned should be surrendered to the government. The government provides foreign exchange to the businessmen as per priorities that are fixed periodically. 8. Health and safety measures: Many countries have specific rules regarding health and safety regulations, which are mainly applicable to raw materials and food items. Imports are not allowed if the regulations are not followed properly. 9. Miscellaneous non-tariff barriers: Such barriers include prior import duties such as deposits, embargoes and import restrictions due to environmental regulations, provision of subsidies to domestic industry, canalization of imports of some commodities and technical and administrative regulations. All such measures act as non-tariff barriers as they restrict the free flow of goods and services between countries. Only for Private Circulation
197 International Business- Dr. R. Chandran 12. INTERNATIONAL INSTITUTIONS AND ROLE IN INTERNATIONAL BUSINESS Learning Value: 1. World bank 2. IDA & IFC 3. IMF 4. ADB 5. IMO 6. ILO An international organisation must be established by a treaty (constituent instrument) providing it with legal recognition. International organizations so established are subjects of international law, capable of entering into agreements among themselves or with states. Purpose of International organizations International Organizations exist to increase international relations, promote education, health care, economic development, environmental protection, human rights, and conflict resolution throughout a region. GLOBAL ORGANISATIONS 1. United Nations 2. World Trade Organization 3. International Hydrographic Organization 4. International Seabed Authority 5. Organisation for the Prohibition of Chemical Weapons REGIONAL ORGANISATIONS 1. European Union 2. Asia Co-operation Dialogue 3. Common wealth of Independent States 4. African Union 5. APEC 6. Organization of American States Only for Private Circulation
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COMPANY COUNTRY OF ORIGIN REFORM PR
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4. Diplomatic relations 9 Internati
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10. Legal aspects 11. Investment an
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LICENSOR LICENSEE PROVIDE THE RIGHT
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Supply International Business- Dr.
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10. MERGERS AND ACQISITIONS 25 Inte
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12. TURNKEY PROJECTS 27 Internation
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13. COUNTER TRADE 29 International
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a) Home country Economy 35 Internat
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SOCIAL ENVIRONMENT 39 International
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1. POLITICAL RISKS 2. ECONOMIC RISK
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FDI Policy Initiatives 61 Internati
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Bahrain international Business Cent
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(ACUs). These are operational units
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6. Essentials of Trade Finance 81 I
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RATES TT Selling Rate Exchange Marg
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) Constant motivation of subsidiari
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2. Organizations with an Internatio
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3.3 Organization according to Geogr
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Joint Venture with an Indian Partne
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Page 151 and 152: Stage:6 “Global mindset, customer
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Page 161 and 162: AGREEMENTS OBJECTIVE OF AGREEMENT b
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Page 191 and 192: Tariff Barriers 191 International B
Page 193 and 194: D) On the basis of trade relations
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Page 199 and 200: World Bank 199 International Busine
Page 201 and 202: • Macroeconomic & Economic Growth
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Page 205 and 206: INTERNATIONAL MONETARY FUND 205 Int
Page 207 and 208: ASIAN DEVELOPMENT BANK 207 Internat
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Page 243 and 244: R= 44 ×100 = Rs. 40 110 243 Intern
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3. Freedom loving and self-reliant.
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Japan 257 International Business- D
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Three sources of employees for inte
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Strategy of the organization Need f
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