International Business 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. It is extension of Domestic Business and Marketing Principles remain same.

Difference is customs, cultural factors Conduct and selling procedure changes Working environment and management practices change to suit local conditions.

Domestic Business

The Domestic Business Follow the marketing Principles No such difference. In a large countries languages likeIndia, we have many languages. Selling Procedures remain unaltered No such changes are necessary

Will have to face restrictions in trade practices, These have little or no impact on Domestic trade. licenses and government rules. Long Distances and hence more transaction time. Currency, interest rates, taxation, inflation and Currency, interest rates, taxation, inflation and economy economy have impact on trade. MNCs have perfected principles, procedures and practices at international level MNCs take advantage of location economies wherever cheaper resources available. curve High Volume cost advantage. Global Standardization Global business seeks to create new values and global brand image. Can Shift production bases to different countries whenever there are problems in taxes or markets No such advantage and get competition from some spurious or SSI Unit who get patronage of Government. Cost Advantage by automation, new methods etc. No such advantage No such advantage No such advantage once plant is built it cannot be easily shifted. have little or no impact on Domestic Trade. No such experience or exposure. Short Distances, quick business is possible.

Large companies enjoy benefits of experience It is possible to get this benefit through collaborators.