Shelby Farris
1-2 Business Environments & Benefits of Expansion
INT-220 Global Dimensions in Business
Southern New Hampshire University
For domestic business owners considering global expansion –Read this first! In this
article, I will be defining the characteristics of both domestic and international business
environments, and the key differences between them, as well as some example organizations. I
will also be going over some of the benefits of global expansion and the role of ethics in your
business decisions when considering expanding into the global market.
According to Global Business Management v.1 by Sanjyot Dunung, “an international
business relates to any business situation where the production or distribution of goods or
services crosses country borders.” And “Globalization [is]the shift toward a more
interdependent and integrated global economy [and] creates greater opportunities for
international business.” Domestic business on the other hand is a company that operates within
the same country as its seller and buyer. There are many advantages of both domestic and
international businesses, but the goal of many domestic businesses are to expand into global
markets.
A great example of an international business is one that Sanjyot Dunung used in his book
Global Business Management, volume 1.0, and one that is very familiar to everyone, Google.
Google has more than 70 offices in 50 countries. Some of the countries that Google operates in
are; the United States, Brazil, Canada, Germany, Spain, Italy, and many more. So, Google is a
great example of an international business due to it crossing many borders. Unfortunately for
Google, they were heavily scrutinized and dealt with a lot of pressure from its users all over the
globe when it decided to open an office in China. China heavily censors the material that its
citizens can view on the web, so Google was in for some serious backlash when they started
Google.cn. Initially, they agreed on the ban of certain sites and articles being available to the
Chinese public, until there was a cyberattack that made Google question China. After this
cyberattack, Google lifted the ban, and eventually, Google was on the list of banned sites in
China as well.
An example of a domestic business would be a local mom-and-pop store in your
very own neighborhood or perhaps a local diner. However, this doesn’t mean that the business
can only have one location, on the contrary- many domestic businesses are franchises that you
can find all over the country, but they do not cross international borders. Some business
owners feel that the advantages of staying domestic outweigh the advantages of globalization.
Like the different taxes that one would have to pay for doing business in other countries or the
transportation costs, they must pay to import goods from other countries.
1-2 Business Environments & Benefits of Expansion
INT-220 Global Dimensions in Business
Southern New Hampshire University
For domestic business owners considering global expansion –Read this first! In this
article, I will be defining the characteristics of both domestic and international business
environments, and the key differences between them, as well as some example organizations. I
will also be going over some of the benefits of global expansion and the role of ethics in your
business decisions when considering expanding into the global market.
According to Global Business Management v.1 by Sanjyot Dunung, “an international
business relates to any business situation where the production or distribution of goods or
services crosses country borders.” And “Globalization [is]the shift toward a more
interdependent and integrated global economy [and] creates greater opportunities for
international business.” Domestic business on the other hand is a company that operates within
the same country as its seller and buyer. There are many advantages of both domestic and
international businesses, but the goal of many domestic businesses are to expand into global
markets.
A great example of an international business is one that Sanjyot Dunung used in his book
Global Business Management, volume 1.0, and one that is very familiar to everyone, Google.
Google has more than 70 offices in 50 countries. Some of the countries that Google operates in
are; the United States, Brazil, Canada, Germany, Spain, Italy, and many more. So, Google is a
great example of an international business due to it crossing many borders. Unfortunately for
Google, they were heavily scrutinized and dealt with a lot of pressure from its users all over the
globe when it decided to open an office in China. China heavily censors the material that its
citizens can view on the web, so Google was in for some serious backlash when they started
Google.cn. Initially, they agreed on the ban of certain sites and articles being available to the
Chinese public, until there was a cyberattack that made Google question China. After this
cyberattack, Google lifted the ban, and eventually, Google was on the list of banned sites in
China as well.
An example of a domestic business would be a local mom-and-pop store in your
very own neighborhood or perhaps a local diner. However, this doesn’t mean that the business
can only have one location, on the contrary- many domestic businesses are franchises that you
can find all over the country, but they do not cross international borders. Some business
owners feel that the advantages of staying domestic outweigh the advantages of globalization.
Like the different taxes that one would have to pay for doing business in other countries or the
transportation costs, they must pay to import goods from other countries.