MB0053 –International Business Management

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DRIVE

WINTER 2017

PROGRAM

Master of Business Administration- MBA

SEMESTER

Semester 4

SUBJECT CODE & NAME

MB0053 –International Business Management

Q.1 Define international Business? What are the various factors affecting international Business?

Definition international Business

Answer-Various factors affecting international Business

International business can be defined as any business that crosses the national borders of a country. It includes importing and exporting; international movement of goods, services, employees, technology, licensing, and franchising of intellectual property (trademarks, patents, copyright and so on

Q.2 Explain detail structure of WTO with diagram?

Structure of WTO with Diagram.

Answer-

WTO

WTO was established on 1st January 1995. In April 1994, the Final Act was signed at a meeting in Marrakesh, Morocco. The Marrakesh Declaration of 15th April 1994 was formed to strengthen the world economy that would lead to better investment, trade, income growth and employment throughout

Q.3 Write a short note on international regulatory bodies.

European Union

United nations

OECD

IASC

IFA

Answer- European Union

European Union is pro-active in the harmonisation process. European Commission sets directives, which are orders to the member countries, to bring their laws inline with EU needs, within some transition

Q.4 What are the four methods of payment for the international Transactions?

Payment Methods

Since international trade deals with exchange of goods, there are various ways in which the payment terms (finance) will be handled. Bothe seller and trader should be careful about the method of payment as they are at different locations and transactions happen without face-to-

Q.5 Explain in detail about short term credit and long term credit.

Short term credit

long term credit

Answer-

Short term credit

The short term credit is provided in the form of pre-shipment and postshipmentfinance. This can be provided by the commercial banks that are authorised dealers in the foreign exchange. Short term credits are covered by RBI and provide credits at lower rate of interest. In relation to this type of credit, there are two

Q.6 What are the various advantages of global sourcing?

Advantages of Global sourcing

Answer-

Advantages of Global Sourcing

As business operations diversified in the global production chain due to globalization, companies have to evaluate their choices, decisions and strategy for outsourcing different components at a cost effective level from all around the world. Outsourcing offers several advantages as different countries are endowed with different natural, physical and demographic resources. Multinationals spread their production to low cost, developing countries. Business operations are

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