bab 14

INTERNATIONAL BUSINESS
 International business is the business activities carried on between the State of the State to another.

    Ø NATURE OF INTERNATIONAL BUSINESS
As mentioned above that international business is a business activity conducted over the limit - the limit of a State. This is a business transaction such as international business transactions. The business transactions conducted by a State to another State which is often referred to as International Business (International Trade). On the other hand it's a business transaction conducted by a firm in the State sutu with other companies or individuals in other countries called the International Marketing or International Marketing. International marketing is usually defined as International Business, even though there are basically two senses. So we can distinguish the two International Business transactions are:

ü International Trade (International Trade)

            In terms of international trade transactions between countries is usually done in the traditional manner by way of exports and imports. Given the export and import transactions will give rise to "BALANCE OF TRADE BETWEEN THE STATE" or "BALANCE OF TRADE". A State may have a surplus balance of trade or balance of trade Devisit. The trade balance showed a surplus situation in which the country has a greater value of exports compared to imports from countries that carried out its trading partners. With that have a surplus balance of trade is the other state if the constant flow of cash coming into the country it will be bigger with the release of cash flow to the trading partner countries. The size of the cash flow in and out between the State is often referred to as "BALANCE OF PAYMENTS" or "BALANCE OF PAYMENTS". In this case the balance of payments experienced a surplus is often said that the country is experiencing ADDED THE FOREIGN EXCHANGE. Conversely if the country is experiencing trade balance devisit it means the value of imports exceeds the value of exports that can be done with the other State. Thus, the country will experience devisit balance of payments and will face REDUCTION OF THE FOREIGN EXCHANGE.

ü Marketing International (International Marketing)

            International marketing is often referred to as International Business (International Busines) is a condition in which a company can engage in a business transaction with another country, another company or the general public abroad. This international business transactions in general is an attempt to market their products abroad. In that case then the businessman will be free from trade barriers and tariffs as there is no import-export transactions. With the inclusion of direct and carry out production and marketing activities in a foreign country is not the case of import export activities. Marketed products that not only in goods but could also be a service. International business transactions of this kind can be reached by a variety of ways including:- Licencing- Franchising- Management Contracting- Marketing in Home Country by Host Country- Joint Venturing- Multinational Coporation (MNC)All forms of international transactions mentioned above will require the payment transaction is often referred to as the Fee. In the event that the State or the Home Country must pay while the sender or the Host Country will receive paymentthe fee.Understanding of international trade with international companies often confused or are considered to be the same, but as we see in the above description it is different. The main difference lies in their treatment where internasinol trade conducted by the State while the international marketing is an activity undertaken by the company. Besides, international marketing business activities to determine a more active and more progressive than in international trade.

     ØREASONS FOR IMPLEMENTING INTERNATIONAL BUSINESS
several reasons to carry out international business such as:A. Specialization among nations - nationsIn connection with the advantages or certain strengths and its weaknesses it is a State should determine the strategic choice to produce a strategic commodity that is:a. Utilize the maximum power that was really the most superior so as to produce a more efficient and least expensive among the other countries.b. Focuses on commodities that have the smallest weakness among other countriesc. Concentrating his attention to produce or possess a commodity that has a weakness for the country's highest

B. Excellence absolute (absolute advantage)A country may be said to have an absolute advantage if the country holds a monopoly in the production and trade of these products. This will be achieved if there is no other country that can produce these products so that the country is the only producing country that is generally caused due to its natural conditions, such as mining, farming, forestry, agriculture and so on. Besides natural conditions, an absolute advantage can also be obtained from a country that is able to produce a commodity is the cheapest among other countries. The advantages of this kind will usually not be able to last long because of advances in technology will quickly address the mode of production more efficient and cheaper costs.

C. comparative advantage (comparative advantage)The concept of comparative advantage is a more realistic concept and is widely available in international business. That is a situation where a country has a higher ability to offer these products compared to other countries. Higher ability in offering a product that can be embodied in various forms, namely:a. Cost or offer a lower price.b. Quality that is superior even more expensive.c. Continuity of supply (Supply) the better.d. Business relations and political stability is good.e. Availability of supporting facilities such as better training facilitiesand transportation.

A country in general will concentrate to produce and export commodities which he has the best comparative advantage and then import the commodity in which they have comparative advantages of the worst or greatest weakness. The concept will be able to see the obvious when we try to examine the balance of trade of our country (Indonesia) for example. Of the trade balance, we can see what our commodity exports are commodities which have a comparative advantage for Indonesia and we import our comparative advantage is the weakest.

D.  Potential international basiso The potential of international markets is generally much larger than the domestic market

    Ø STAGE STAGE IN ENTERING THE INTERNATIONAL BUSINESS

            Companies that entered the international business in general are involved or engaged in stages from the simplest steps that do not contain the risk to the most complex stage and contains a very high risk business. The stage is in chronological order are as follows:A. Export Incidental2. Export Active3. Sales License4. Franchising5. Overseas Marketing6. Production and Marketing in Foreign Countries
 EXPORT INCIDENTAL (Incident At EXPORT)In order to enter into the world of international business of a company generally starts from the earliest involvement that is incidental to the conduct of export. In this early stage generally occurs at the time of the arrival of foreigners in our country then he bought the goods and then we have to send it to a foreign country.

EXPORT ON (ACTIVE EXPORT)Early stage it can then grow steadily and then terjalinlah routine business relationships and transactions are continuous and even longer will be more active. Activity relationship of business transactions are characterized in general by the growing amount and types of international trade in these commodities. In this active phase of its own domestic companies began actively to implement the transaction management. Unlike the initial stage where the entrepreneur is only a passive act. Therefore, in this stage are often referred to as the stage of "active export", while the first phase was called the stage of purchase or "Purchasing".Sales of licenses (Licensing)The next stage is the stage Iisensi sales. In this stage the State entrants license or sell the brand of products to recipient countries. The stage is just a brand sold or licensed it, so the receiver can perform a fairly extensive management of the marketing or the production process including raw materials and equipment. For the purposes of such license the use of the company and the recipient must pay the license fee to the foreign company.Franchising
            The next stage is a more active stage companies in a country that is not only to sell or license its brand name alone but complete with all its attributes including the equipment, production processes, the recipes are a mixture of production processes, quality control, quality control of raw materials or goods becomes , as well as form the service. This method is often known as a form of "Franchising". In this case the form of franchise companies that received referred to as "Franchisee" while giving the company referred to as "Franchisor". This form is generally successful for certain types of businesses such as food, restaurant, supermarket, fitness center and so on.

    Ø ENTERING THE OBSTACLES IN INTERNATIONAL BUSINESS
· LIMITATION OF TRADE AND RATES OF IMPORT DUTYImplement an international business course will have many more obstacles than in the domestic market. Other countries will certainly have different interests that often inhibit terlaksannya kai international business transactions. Besides, customs or culture of other countries will of course be different from their own country. Therefore, there is some obstacle in international business, namely:A. Tariff trade barriers and import duties2. Differences in language, culture social / cultural3. Political and legal / regulatory4. Operational constraints

· DIFFERENT LANGUAGE, CULTURE AND SOCIAL / CULTURAL

            The difference in language is often an obstacle to the smooth international business, this is because language is a vital communication tool both spoken language and written language. Without good communication the business relationship can be difficult to place with Iancar. This language barrier at this point of diminishing returns thanks to the international language is the language of England. Despite this difference in language remains an obstacle to be aware and well-studied as an expression in a particular language can not be expressed simply (letterlijk) with the same word in another language. Even a trademark or product name can have other meanings and very negative for a particular country. For example, a Chevrolet plant that gives the name of a type of car under the name "Chevrolet's Nova", in the case in the Spanish word "No Va" means "can not run". Therefore it is very difficult to market the product in the Spanish state.Socio-cultural differences is a problem that must be observed also in doing international business. For example, the color of a product or the packaging should be careful because certain colors in a country has a specific meaning in other countries can be meaningful to the contrary. Cultural differences or customs are also noteworthy. For example, the Japanese have a habit not to go near her when bought at the supermarket, so this is a consequence that the goods in the form of male cosmetic tools should not be placed adjacent to the cosmetics woman, because buyers will not be approached by men.

· RESISTANCE POLITICS, LAW AND LEGISLATION

            Lack of good political relations between one country to another will also result in limited business relations of both countries.As an extreme example of the U.S. embargo against commoditytrade with Communist countries. Provisions of Law or Regulations applicable laws in a country sometimes also limit the duration of international business. For example, Arab countries banned items containing pork meat and oil. More and that the law in his own country was also able to restrict the course of international business, for example, Indonesia banned the export of raw or semi-finished leather, as well as raw and semi-finished rattan and so on.

· OPERATIONAL CONSTRAINTS

            Barriers to international trade or other business is the transportation of operational issues or transport of goods traded from one country to another country. Transportation is often difficult to do because between the two countries have not had the cruise line ships are regular. This will result in the cost of transport or ship expedition to the path would be very expensive. The high cost of transport was due to circumstances other than that the vessel carriers only serve one's country and are usually expensive, the return of the ship's destination country dati will be empty. Empty boat trip on the ocean will be veryendanger the safety of the ship itself.

    Ø MULTINATIONAL COMPANIES
Multinational companies is essentially a company which conducts internationally or in other words their operation in some countries. This kind of company is often called the Multinational Corporations are usually abbreviated as MNC. Era of globalization sweeping the world at this time where the condition is not a single country in the world which is free and unattainable by the influence of other countries. Any State at any time will always be affected by the actions of other countries. This can happen because at the moment we are in the communications age, so in a very fast and even at the same time we can find an event that happens in every country anywhere in the world.Of circumstances that it is as if there are no more boundaries between states with one state to another. Everyday life becomes more equal. With the trends at this point that the demand or needs of people in this world anywhere near the same thing. The need for consumer goods or for everyday life tend not to differ from country to country to country. The need for toilet soap, laundry soap, stationery, office equipment, apparel, home furnishings as well and so is not much difference between the people of Indonesia and the Philippines, Japan, Korea, Arab atupun in Europe and America.The tendency for a common reason that encourage international companies to operate in such a company would try to find a place the plant in order to produce these goods are the cheapest and then market it all over the world so it would be more economical and have a higher competitiveness. In addition the limits of export-import between countries encourage a company to produce just the stuff in their own country and then sell the country as well although the owners are from abroad. That way the problem of export-import restrictions no longer apply to him. Many examples of this multinational company for example: Coca Cola, Colgate, Johnson & Johnson, IBM, General Electric, Mitzubishi Electric, Toyota, Philips from the Netherlands, Nestle of Switzerland, Unilever of the Netherlands and Britain, Germany dati Bayer, BASF is also from Germany , Ciba of Switzerland and so on.

source :
http://setyafit.blogspot.com/2012/01/tugas-softskill-bab-14-bisnis.html