1 What implications do differences in political economic and

1. What implications do differences in political, economic, and legal systems have for managers in an international business?

2. In general, what types of political, economic, and legal systems are most supportive of international business activity?

Solution

1. What implications do differences in political, economic, and legal systems have for managers in an international business?

Answer :

In International businesses Political , Economic , Legal systems are playing a prominent role .When a specific company is investing in a country they check all these condition.

Political : When doing business at international level , political system of the respective nations helps a lot.Some times because of the power authority & on the interest of political party side they taken the decision in their favor.That may be affect to business scenario.So its organizations responsibility to make careful observations about political system.

Economic : Inflation rates , monetary policies , fiscal policies , taxation etc these are the factors which are associated with economic condition.So company needs to study all these points at international level.Country to country these things may change .These all aspects plays very important role in companies cost structure.

Legal :

Legal system of the nations is playing a vital role in organizations performance .How governments helps t organizations , Rules & Regulations , Labors Laws , Safety system , any kind of support form the government etc all these parts are coming under legal system.

2. In general, what types of political, economic, and legal systems are most supportive of international business activity?

Answer :

Types Of Political system most supportive of international business activity :

Types Of Economic system most supportive of international business activity :

Types Of Legal system most supportive of international business activity :