Description

SESSION MARCH 2024
PROGRAM MBA
SEMESTER SEM IV
COURSE CODE & NAME DMBA402 INTERNATIONAL BUSINESS
MANAGEMENT
CREDITS 4

Assignment Set – 1st

Questions
1. Explain the importance of International Business. Explain the challenges faced while
doing international business.
Ans: International business involves several benefits due to which companies expand into the
foreign markets.
Some of the advantages are as follows:
• Low production Costs – Companies normally identify nations that have abundant cheaper
resources in terms of labor, material, logistics and technology to lower their cost of
production and make profits at a larger scale.
For example, countries like China, Philippines, and Mexico offer such low-cost production
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2. Write short note on following:
1. Impact of Demographic Environment on IB
Ans:Impact of Demographic Environment on International Business
The demographic environment, which encompasses the characteristics of a population such
as age, gender, income, education, and cultural background, plays a significant role in
shaping international business (IB). Understanding and adapting to demographic trends and
shifts can greatly influence business strategies, operations, and market opportunities.
Here are key ways in which the demographic environment impacts international
business:
Market Demand and Consumer Preferences
3. Write notes on the following:
1. Negative impact of Globalization
Ans:While globalization has brought numerous benefits such as increased trade, economic
growth, and cultural exchange, it also has some negative consequences.
Here are several key negative impacts of globalization:
Income Inequality: Globalization has exacerbated income inequality both within and
between countries. While some segments of the population benefit from increased trade and
investment, others, particularly low-skilled workers, may face job displacement and
downward pressure on wages due to outsourcing and offshoring of jobs to countries with
Assignment Set – 2nd
Questions
4. What is International Financial Management? Explain the types International
Accounting Standards.
Ans:The term International:-
Financial Management refers to managing financial resources in an international business
environment, in a manner in which the organization maximizes returns and profits. This is
achieved through accounting, managing fixed assets, and identifying income and expenses.
Financial management involves recording and maintenance of all monetary transactions in a
standard manner in order to show the financial position and performance of the organization.
Financial Management can be categorized into domestic and international financial
5. Explain FDI? Elaborate the advantages and disadvantages of FDI.
Ans:FDI creates an inflow of foreign currency and financial investment into a country. This
is an integral part of the national financial accounts as it influences the exchange rate and
foreign exchange reserves.
In simple terms, foreign direct investment or FDI means an investment made by foreign
investors into the host country. Investment can be made in infrastructure, real estate,
industries, businesses, sectors, and financial institutions of the host country. For instance,
6. Write notes on the following:
Recruitment of Expatriates
Ans:Recruitment of expatriates refers to the process of hiring employees who are not
native to the country where they will be working. This is common in multinational companies
that require skilled labor and management expertise in their overseas operations. The process
of recruiting expatriates involves several steps and considerations to ensure the selection of
suitable candidates and their successful integration into the host country’s environment.
Here is an in-depth look at the recruitment of expatriates:
Steps in the Recruitment of Expatriates Identifying Needs and Objectives:
Define the Role: Clearly outline the job description, required skills, and objectives for the