KAZI RUMANA AKTHER

Barriers to International Business

MBA PROGRAMME IN XXX

2023
CONTENTS

1.INTRODUCTION.....................................................................................................3
2.BARRIERS TO INTERNATIONAL BUSINESS....................................................3
3.CULTURAL AND LANGUAGE DIFFERENCEOTHER SETTINGS..................3
4.LEAGAL AND REGULATORY CHALLENGES..................................................4
5.CONCLUSION……………………………………………………………………..4
6.REFFERENCES……………………………………………………………………5
1.INTRODUCTION

Expanding a business globally offers numerous opportunities for growth and

profit. However, it also presents various challenges and barriers that must be
navigated successfully. This report explores the key barriers to doing business
globally, focusing on cultural and language differences, as well as legal and
regulatory challenges.

2.BARRIERS TO INTERNATIONAL BUSINESS

Entering international markets involves complexities that can be significant

barriers for businesses. These barriers can be broadly categorized into cultural,
legal, and economic factors (Hill, 2021).

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3.CULTURAL AND LANGUAGE DIFFERENCES

Cultural differences are among the most significant barriers to global business
success. Every culture has its own set of norms, values, and communication
styles. Misunderstandings can easily arise when business interactions occur
across cultures. For instance, Hofstede's cultural dimensions theory highlights
differences in power distance, individualism, masculinity, uncertainty
avoidance, and long-term orientation, all of which can affect business
relationships (Hofstede, 1980).

Language barriers compound cultural differences. Effective communication is

essential for successful international business negotiations and collaborations. A
failure to bridge language gaps can lead to misunderstandings, disputes, and lost
opportunities (Kim et al., 2018).The order in the body of the text can vary.
Discuss your solution with your supervisor.

4.LEGAL AND REGULATORY CHALLENGES

Legal and regulatory challenges vary from one country to another and can pose
significant hurdles for global businesses. Differences in labor laws, tax
regulations, intellectual property protection, and trade policies can affect a
company's ability to operate successfully in foreign markets.

Furthermore, navigating these challenges often requires extensive legal

expertise and resources. Small and medium-sized enterprises (SMEs) are

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particularly vulnerable to these barriers, as they may lack the financial resources
and legal support that larger corporations can afford (Morrison, 2017).

5.CONCLUSION

Expanding a business globally presents numerous opportunities, but it also

comes with significant barriers, including cultural and language differences and
legal and regulatory challenges. Successful international business operations
require a deep understanding of these barriers and effective strategies for
overcoming them.

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REFERENCES

Hill, C. W. L. (2021). International Business: Competing in the Global

Marketplace (13th ed.). McGraw-Hill Education.

Hofstede, G. (1980). Culture's Consequences: International Differences in

Work-Related Values. Sage Publications.

Kim, Y. Y., Ok, C. M., & Petty, R. D. (2018). Overcoming Language and
Cultural Barriers in Business: A Contemporary Perspective. International
Journal of Business Communication, 55(1), 67-83.

Morrison, T. (2017). SMEs and International Business: Overcoming Barriers to

Internationalization. Journal of Small Business Strategy, 27(1), 41-54.