Select a company from Republic of Turkey that is involved in

Select a company from Republic of Turkey that is involved in importing and/or exporting, run a thorough research on the company’s business operation. Your goal is to understand how government involvement in international trade has helped or harmed the company’s business activities. Research the topic of government trade intervention in a business periodical. Please write 2 pages of a report on specific potential impacts of government intervention on the business. Please make sure you use references.

Solution

Answer:

International trade theories are simply different theories to explain international trade. Trade is the concept of exchanging goods and services between two people or entities. International trade is then the concept of this exchange between people or entities in two different countries.

People or entities trade because they believe that they benefit from the exchange. They may need or want the goods or services. While at the surface, this many sound very simple, there is a great deal of theory, policy, and business strategy that constitutes international trade.

There are two main categories of international investment:portfolio investment and foreign direct investment (FDI). Portfolio investment refers to the investment in a company’s stocks, bonds, or assets, but not for the purpose of controlling or directing the firm’s operations or management. FDI refers to an investment in or the acquisition of foreign assets with the intent to control and manage them.

Direct investment in a country occurs when a company chooses to set up facilities to produce or market its products or seeks to partner with, invest in, or purchase a local company for control and access to the local market, production, or resources. Many considerations can influence the company’s decisions, including cost, logistics, market, natural resources, know-how, customers and competitors, policy, ease of entry and exit, culture, impact on revenue and profitability, and expatriation of funds.