Carrying An Activity Is Related To Money

Discuss About The Carrying An Activity Is Related To Money? Business stands for carrying an activity that is related to money. It is operated in every part of the globe and as the business grows, it looks for more opportunities across the border. International business is the term that is used for the operation and objective of a nation that have some interest in other countries. International business includes all the commercial transactions whether it is private or governmental, sales, investments, transportation that takes place between two or more religions, ethics, culture or nation. Many companies such as Tesco, Disney, and Ford are having its business operations in other countries to earn profit and to grow its business. With more opportunities, the international business is also very complex. And for solving these complications, organisations appoints international managers. They are the ones who ease the company’s operations in other countries. An international manager is a wide-ranging title for an executive who handles the c orporation’s global processes. Large companies recruit numerous departmental international managers such as managers who are in charge of worldwide sales, social marketing or foreign business. This study will elaborate the challenges and possible opportunities for the managers that are operating in a global environment. It will outline a brief description of international environment and the challenges that managers face while operating in a global business environment. In addition to this, the essay will also demonstrate some practical examples for an Australian organisation which is facing challenges in the international competition and expansion. At last, the study will outline the personal views of the researcher. International business is the term that is used for the operation and objective of a nation that have some interest in other countries. International business includes all the commercial transactions whether it is private or governmental, sales, investments, transportation that takes place between two or more religions, ethics, culture or nation. It comprises any type of trade operations that overlaps national boundaries. In the terms of definition scale, international business is demarcated as companies that purchases or sell goods or facilities across two or more nationwide borders, even the administration of the company is situated in a single nation (Teagarden, 2017). Starting a commercial operation in a foreign land is a thrilling prospect, but the management of the company must be equipped for the range of encounters that come with functioning in a massively dissimilar situation. It is important for the managers of these organisations to reflect the economic, political and soci al climate of the region in which the company is going to function. Having a rigorous research about the republic in which the company is going to operate will enable the managers to face the difficulties or challenges associated while operating overseas. While the global business context faces environmental issues, a small portion of international manager environmental substructure shows a crucial character for the business. Foreign rivalry impact local competitiveness and its safety is the primary reason that tests every manager ("Managing Human Resources in an International Business", 2017). In order to maintain their visibility in the international marketplace, they must deliberate the encounters and how they discourse them. Here are the main challenges faced by international managers: Communication is the key attribute of every prosperous industry, so international manager has to acquire some level of confidence in the local language and that must be their first importance before interacting with any native client. Not having rudimentary knowledge of local language will create problem for the managers regarding not being able to directly coming to the point. Culture is another problem for managers (Mackenzie, 2010). Not having knowledge about local way of gesture sometimes makes clients unhappy. If the sales are increasing overseas, international managers have to find the means to steer language barricades that may increase towards customer service centre of the organisation.  Ã‚   According to Klebber Terra, the director of operations at the Samarco mine in the south-eastern state of Minas Gerais, stated that BHP Billiton is facing problem while operating in Brazil. The CEO of BHP Billiton, Andrew Mackenzie stated that the company is very sympathetic and distraught on the operation problem faced by the community. Dealing the business operations in different countries with different cultures, background and language, always creates issues for the service department of an organisation. In these situations, it is important for the international manager of BHP Billiton to have native call centres for the customers which can handle the issues. An organisation business operation could falter quickly if international manager of the company are unaware of the commercial legitimacies and guidelines of the nation in which the business is functioning. Governmental controls, tax rules and health and safety principles vary from site to site and country to country ("International Culture", 2017). It is important for the international managers to study the laws that disturb the corporation’s processes. It is important for them to direct all the necessary investigation and connect the findings and prospects all over the business. It is important for them to understand the several rules and guidelines that manage the company merchandises and services. International managers must conform to the tax laws of the dissimilar countries along with constitutional export conventions. The management of BHP Billiton preserves ethical dealings with the administrations and their assistances, officials and staffs. The company’s aptitude to bear business is unswervingly influenced by foreign government decision making and it is significant for the firm international manager to have exposed and productive dealings with the government. In the Samarco disaster, the town of Bento Rodrigues was completely destroyed. It is evident that the Samarco mine is jointly owned by mining giants Vale of Brazil and BHP Billiton of Australia. With the disaster, and with the country’s laws and regulations, BHP Billiton and its ventured company had to sign a deal with the state and federal public prosecutors to pay US$262 million in damages. It is important for the executive of BHP Billiton to keep more concern about the environmental issues of a foreign state so that it could prevent penalty from the foreign government.     Ã‚   An organisation is likely to deal with foreign currency while operating overseas. In order to complete the transactions successfully, international managers must study the conversation rate to keep up with the up-to-date exchange rates ("International Business- An Overview", 2017). Having mistaken in bookkeeping due to inappropriate calculations could generate a false reportage and legal difficulties, which can reduce the solidity of company’s foot line. International managers for preventing incorrect calculations and other matters must progress a clear company-wide strategy to initiate the workers on accounting performs including the foreign exchange.    Another issue in currency is its ups and downs. For BHP Billiton, the fall in the Chinese market is a very big concern. It is important to state here that China represents the 61% of the global seaborne iron ore demand. For BHP Billiton, sales in China generated $21.6 billion during 2012. But a lower economic growth in China market resulted in the lower prices and demands of the company’s products and also negatively impacted in company’s international market result. The revision of International business prominence on the specific difficulties and chances that appear as an establishment is functioning in more than one nation. In real terms, worldwide business includes the most generalised study for the business field that is modified towards an equitably unique across the boundary situation (Guedes & Faria, 2011). Directing worldwide business is like operating a new field where worldwide managers have to absorb the influences that are essential for operating in that field. Managers who are shrewd in recognizing new conducts of doing trade that please the altering primacies of foreign administrations have a clear and chief modest benefit over their participants who cannot or will not familiarize to these altering primacies. It is evident that BHP Billiton is in the commodities business and this is the thing that most of the foreign investors recognise. As the organisation operation is based on the prices it obtain for their oil, gas, minerals in the world markets, which have been subjected to substantial volatility. It is important for the firm betrothed in worldwide business doings to include a global viewpoint. An establishment supervisory principles can be demarcated on the basis of three board categories namely, services or products to the market assisted, abilities and consequences. But, these viewpoint of global business in significant to recognise and appreciate the complete meaning of international trade (Future international manager, 2014). An establishment international manager must openly define the company’s guiding values in terms of international mandate instead of allowing company’s guiding principles on the terms of international adjust to its national happenings. Having a global outlook on the firm’s basic declaration of purpose will assist in focus of the executives on the opportunities outside the domestic market.   Ã‚  Ã‚   For international managers, it is important to formulate and implement a set of commercial plans for defining the company’s guiding philosophies in the marketplace of a foreign land (Dlabay & Scott, 2011). These guiding principles relative to all the other things should deliver a long-term view of what the establishment is trying to become and achieve and should provide way to the central and subsidiary directors operations with the internationalisation of its markets. Every strategy of international manager comprises a number of secondary approach options. The decision procedure that usually develops in the marketing approach area is an operational one (Dlabay & Scott, 2011). As the international managers develop around a decision circle, previously particular strategies need to be modified. The shares of BHP Billiton got tumbled after the announcement of the company about writing down its multi-billion dollar US assets with its news on the Samarco mine, Brazil. The amount of issues a firm faces is increased while it starts operating in an international market. In international market, decision making process of the managers becomes more complicated. It is evident as one is dealing with multiple currency, legal marketing, and political, economic and cultural schemes (Czinkota, Ronkainen & Moffett, 2011). Geographic and demographic factors are the other things that differ widely. In the international context, it is crucial that the strategic level of the international level must be according to the operating country due to the rigidness of the international environment. A company can change in its implementation while operating nationally in a few months, but if a country is operating globally, contract, custom and law may interfere to make the changes more difficult and could take several years to get settled.; It is evident that starting a business is tough and when an individual is looking for international expansion, it is even tougher. But there are many benefits in expensing the business on a foreign land. There are many advantages such as tax incentives, international partnerships, faster growth and streamlining efficiencies. As per the international situation of BHP Billiton, I learned that the main problem is on the momentum of crafting solutions to the international problems. From my point of view, it is important for the international managers to consider the economic, political and social climate of the region in which the business is going to function. Having a more deep study about the Brazil town situation would have given opportunity to the company to prevent the mine accident. Having a concentrated research about the republic in which the company is going to operate will enable the managers to face the difficulties or challenges associated while operating overseas. Another t hing I think is important is the visibility of the international marketplace. In order to maintain the visibility in the international marketplace, international manager of BHP Billiton must deliberate the encounters and how they address them. If the sales are increasing overseas, international managers have to find the ways to steer language barriers that may increase towards customer service centre of the organisation. With the decrease in The Chinese market, the executives of BHP Billiton could also look on other developing economic countries such as India. An establishment international manager of the stated firm must explicitly define the company’s guiding principles in terms of global mandate instead of allowing company’s guiding principles on the terms of international adjust to its domestic activities. Another thing that international managers must consider is the agenda for international business of the countries. It is important to look out for the countries that have strong programs in place to help foreign investors and could help in making the process as smooth as possible. Czinkota, M., Ronkainen, I., & Moffett, M. (2011).  International business. Hoboken (N.J.): Wiley. Dlabay, L., & Scott, J. (2011).  International business. Mason, OH: South-Western Cengage Learning. Future international manager. (2014). [Place of publication not identified]. Guedes, A., & Faria, A. (2011). Globalization and International Management: In Search of an Interdisciplinary Approach.  Brazilian Administrative Review. Retrieved from https://www.scielo.br/pdf/bar/v4n2/v4n2a03.pdf International Business- An Overview. (2017). Retrieved from https://www.pondiuni.edu.in/storage/dde/downloads/ibiii_ibe.pdf International Culture. (2017).  THE ENVIRONMENT OF INTERNATIONAL BUSINESS. Retrieved from https://www.unice.fr/crookall-cours/iup_cult/_docs/_RUGM_Chapter-05.pdf Mackenzie, M. (2010). Manager communication and workplace trust: Understanding manager and employee perceptions in the e-world.  International Journal Of Information Management,  30(6), 529-541. https://dx.doi.org/10.1016/j.ijinfomgt.2010.04.001 Managing Human Resources in an International Business. (2017). The Internationalization Of Business. Retrieved from https://wps.prenhall.com/wps/media/objects/728/745520/chapter13.pdf Teagarden, M. (2017). International Business in a Wobbly World.  Thunderbird International Business Review,  59(5), 565-566. https://dx.doi.org/10.1002/tie.21914