A Brief Note On International Business And The...

STUDENT ID: S00801773 International Business the Multinational Enterprise INB 430 Movement of Daimler AG in India Word Count: 1460 Contents Introduction 3 Barriers in Globalization 3 Movement to foreign market 5 Global Strategic Partnership 6 Conclusion 7 References 8 Introduction Moving to new country is never easy for any organization and lot of brainstorming and research needs to be done before offering the product in completely new arena. A fundamental shift has been occurring in the world economy. There has been a move away from a world in which national economies were relatively isolated from each other by barriers to†¦show more content†¦Every country has its own set of rules and regulations for doing business and with industry like Automobile there is more need of stringent set of rules. (Giddens, 2002)Government sets different set of regulations to stop foreign players to enter into the market. Few of them are higher tariffs which is basically imposing higher taxes on the companies or on the imported products which restricts trade and makes the imported goods more costly for customers. Moreover such tariffs pave way for domestic companies to grow themselves so as to compete with global players. (Bansal, 2001) Few other controls are †¢ Import Controls - Generally the foreign players come up with a very low priced products which can affect the sale of domestic players, and hence to protect them, the Government comes up with certain controls that does not allows the players in the market to price the ticket below a certain level. (Amin, 1995) †¢ Nontariff barriers –There are various kinds of other barriers as well which is not related to taxes, but are posed to restrict foreign players. Few of them are †¢ Quotas – Quota help the industry to establish domestic players and impose quota system whereby certain percentage of the sales or maybe certain segments within the country is only accessible to domestic players, and hence foreign players cannot