Mamchenko Î. V., Rieznik M. A.
DEVELOPMENT OF INTERNATIONAL BUSINESS
The development of international business
in the context of globalization and the formation of a global economy is the
result of the evolution of internationalization, the transformation of
productive forces, the impact of changes in the international business
environment, and deepening of interrelations between national economies at the
level of production, exchange, consumption and distribution of factors and production
results. In general, trends in the changing environment of functioning of
international business at different levels and stages of internationalization
are the cause of the emergence or transformation of forms of international
entrepreneurship. At the modern global level of internationalization, the
development of forms of international business as a set of business operations
carried out by companies is conditioned by the desire to strengthen the integration
of national economies into the global production process. Integration of
economic agents goes beyond international trade and international investment as
forms of international economic relations in the context of globalization [2].
By creating conditions for transnational
companies, international business is simultaneously experiencing the impact of
changes in the external (global) environment. The processes of globalization
and the formation of new, global, economic links in economic systems at the
meso, macro and micro levels, within which the international business
functions, affect the level of development of all spheres and components of the
external environment. Strengthening global transformations in the technological
and innovative spheres of international business have become objective
prerequisites for the transformation of forms of international business.
Globalization and internationalization have conditioned the integration of the
subjects of international economy at all its levels and forms, defined capital,
information and technologies as factors of strengthening such integration for
the production of a global product on the global market [1].
International business in the broadest
sense of this category can be defined as entrepreneurship, carried out within
the framework of the world economy. The specific essence of this concept is
regarded as any operation that is conducted by counterparties of two or more
countries. At the same time, as we are talking about economic operations which
are based on new organizational technologies, they have a flexible nature in
the process of operational management, taking into account the impact of the
requirements of the world market and the optimal satisfaction of interests and
needs of partners. International business is based on the possibility of
obtaining advantages (economic or technological) from the advantages of
interstate (intercountry) business operations, that is, the sale of this
product in another country, or the establishment of one country's production in
another country, or the joint provision of services by firms of the two, three
or more countries. It has to be ensured that the parties involved have more
advantages than they would have if they carried out similar activities as subjects
of only national economies [2].
Global business parameters are formed in a
hypercompetitive environment, where the information resource becomes a key
factor for achieving efficiency and long-term competitiveness in the world
commodity and financial markets. Formation of the international business
environment occurs on the basis of intensive investment and innovation
processes, where the motives of all the subjects of the world economy are
common. The distribution and redistribution of added value becomes relevant as
a result of changes in the technological component of the reproductive process
within large corporations or countries. Nowadays, the influence of the technological
environment on functioning of international business is immense. The motive of
international business is no longer profit, but the creation and implementation
of commercial innovation [1]. The current level of development of international
economy in the context of globalization is characterized as a system of
scientific, technological and branch functional relations. The creation of new
elements of productive forces in the form of information and communication
technologies led to the emergence of new forms and methods of international
business or their modification. This conclusion is a fundamental provision of
the interaction of the level of productive forces with the nature of production
relations. The new elements of the productive forces in the form of information
and communication technologies affect economic relations, resulting in more
modern, in terms of technology, forms of international business, new products, new relationships of the seller with the buyer, new
competitive and business strategies.
The list of
references:
1.
Aaker David A. Strategic market management / A. Aaker David. –
2. Michael J. Stahl, David N. Grigsby
Strategic Management for Decision Making / J. Michael Stahl, N. David Grigsby. –