Business in Other Countries Essay

1526 Words Feb 12th, 2016 7 Pages
Global vs. International Business We are trying to expand our bicycle business to three new countries. Right now we are domestic in the United States, but we hope that will change in the vast future. We are first faced with the question of whether we are global or international. Obviously the goal for the bicycle company is to be global since we would expand our company in having a physical site overseas. In order to have a physical presence in other countries we may have to buy out a local, favored brand name. So we have to keep that in mind for the future of our business.
Base of the Pyramid In order to sell a more expensive product, such as a bicycle, we need to make sure we aren't selling to a civilization that's on the base of
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For instance, there could be political risk in a country like Japan because it is brand nationalistic.
Legal Systems According to The World Factbook (2015), Japan is under civil law with Japanese traditions, Costa Rica is civil law based on Spanish civil code, and Pakistan is common law with Islamic influence. This is important to identify due to the fact that if we do business in these countries we will have to abide by their rules and law systems.
Economic Systems Japan lands in more of a free market range with the unordinary government guidelines. Costa Rica is a mixed economic system that includes a little bit of free market policies as well as command policies. Lastly, Pakistan has mixed economy as well. When selling in other countries it is important to know the type of economic system you are dealing with. Most countries have mixed economies but with different levels of command in them. It would be easier to sell in Japan where more of a free market exists because that type of economy welcomes new comers. In a mixed economy with more command control then it may be harder to enter the market depending on the economic well being of a nation.
Religion
Japan’s religion is a mixture of Buddhism and Shintoism, neither aspect of their religion play a big role when doing business (Victor). Costa Rica is predominately Catholic, thus it will not affect business drastically. Pakistan on the other hand is over ninety percent Muslim, and for

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