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International Entrepreneurship - Essay Example

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This assay discusses challenges barriers that the international entrepreneurs face and how they can be conducted to increase globalization of business. The essay has also the international business plan for a travel agency whose location is in Los Angeles…
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International Entrepreneurship
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"International Entrepreneurship"

Download file to see previous pages Behavioral pattern of the suppliers and the clients and concentration in the supply makes entrepreneurs more competitive in the global market. In the market where the customers are diverse, a different approach to the market may be of great benefit to entrepreneur in a new market (Keillor 2011). The trends of innovating products and services in a particular environment have been used by multinational companies in their new products. Taking for instance the travel business in the United States, the business involves serving both the natives and the international visitors.
Globalization and liberalization of economies have allowed companies to invent new ideas suitable for the developing markets. Globalization has pressurized companies to continue innovating new ideas of conducting businesses. Though much innovation has been witnessed in the global market, entrepreneurs have found it harder to penetrate the market to ever changing business environment and competition (Griffin 2005). There is more opportunity for growth due to innovation and completion in the global market. Entrepreneurs in the global markets seem to prefer working centrally and doing business from a central position. However Companies benefit international market therefore centralization of business no longer applies in the global markets (Keillor 2011).
The trend of business innovation is moving towards decentralization of markets. Entrepreneurs are considering a more involving business venture where the customers, suppliers and other stakeholders are closely involved in the product and services development. Such approach proves more beneficial in the globalised market just like the trend in expansion of markets. The global market has been a major target for entrepreneurs however more innovation is required to maintain the local market. The idea used in the global market is also applicable in the local market (Keillor 2011). Though the product innovation is crucial in entrepreneurship, the process innovation plays a central role. It is important in adapting to various business environments such as fixing of costs. Process innovation can be used by the businesses which are planning to have decentralized management. Basically each market will be managed according to the requirements and the policies guarding the market. 2. International Trade Barriers Doing business in the international market faces challenges such as quotas, tariffs and non tariffs. Non traffic barriers are usually imposed by governments basically to restrict the quality imports. Such barriers restrict availability of products thus complicating the prices in the market. The result is high prices. A traffic barrier such as taxes, custom duties decreases the volumes of imports thus increasing the prices of products, thus the local market is favored. ...Download file to see next pagesRead More
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