International Businesses- Let’s start with the notion of international business first. The concept is, that international business is a business whose commercial activities cross national borders, and can be carried out by two or more countries with the aim of meeting the needs of an organization or individual.
International business is not a new thing in Indonesia. The spread of religion in Indonesia is also one of the impacts of international trade.
This archipelago initially adhered to animistic beliefs, namely, believing in the existence of spirits, such as ancestral spirits. Gradually this belief changed as international trade took place.
Types of International Business
There are 4 types of international business that are general use, such as:
Foreign trade is an international business activity that uses by most countries. This type of international businesses activity tends to be similar to import-export activities. In import-export activities, goods objects that use are visible physical goods (goods that are physically visible) and commodities.
Trade in services is an international business activity whose object is also tangible goods. These objects such as insurance, hotels, banking, consultants, transportation travel agencies and many other examples.
Portfolio Investment is an international business activity in the form of financial investments make in other countries. Generally, investors will provide it in the form of capital or debt. To know more about accessories and jewelry you can visit this site karendiamonddesigns
Direct Investment is an international business activity that distinguishes it from the supervisory stage of a project between the company and the investor. Generally, the stages of supervision can vary, ranging from the level of partial supervision to full supervision.
Companies that are already running international businesses tend to be better able to survive in difficult conditions because their funding capital does not only come from local but also comes from abroad by implementing direct or portfolio investment.
So that the business can continue to run and there is a chance to recover soon. Companies that are not able to compete in the global market but perform well will have the potential to be acquired by international companies that are dynamic and can keep up with changing conditions.