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Gaurav Seth 7 years, 1 month ago
Following are the main reasons behind international business.
1. Unequal distribution of natural resources and differences in the productivity levels of the countries make them incapable of producing every good of their requirement.
2. Labour productivity and production costs differ among nations due to socioeconomic, geographical and political reasons.
3. The availability of different factors of production such as labour, capital and raw materials differ among nations.
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Yogita Ingle 7 years, 1 month ago
- Restriction on dividend payment imposed on the powers of the borrowing company by the financial institutions.
- As these institutions come under government criteria, they follow rigid rules for granting loans. Too many formalities make the procedure time-consuming
- Financial institutions may have their nominees on the Board of Directors of the borrowing company thereby restricting the powers of the company.
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Yogita Ingle 7 years, 1 month ago
In Entrepot trade, import of goods is made before the export of goods.
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Sakshi Sharma ??️??️??️ 7 years, 1 month ago
Yogita Ingle 7 years, 1 month ago
Chain stores are multiple retail shops which operate under one brand name and have the common ownership. Basically, they are all outlets or branches of the same brand/store. These types of retail stores actually originated in America but are now seen worldwide. One common example would be Croma or DMart.
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Gaurav Seth 7 years, 1 month ago
The social objectives of a business may be summarised as follows :
- Production of quality goods : The objective of business is not only to provide goods to the society but also to provide goods and services of high quality. The business should also try to improve the quality of goods and services continuously. A businessman may earn good profit by selling adulterated goods. But he cannot carry on his business for a long time like this.
- To charge fair prices : The social objective of business is not only to provide quality goods to the society but also at reasonable prices. Undue profits earned by increasing the prices of the goods may not last long.
- To provide employment : The social objective of business is also to provide employment to the society. With the development of business, the need for employees arises. Thus, the business needs the services of good employees. So, the business provides employment to the society.
- To provide regular and fair returns to investors : It is also a social objective of business to provide regular and fair returns to investors. Investors invest money and bear risk. So, the investors must be suitably rewarded.
- To promote the progress of the society : Business is a part of the society. The society provides regular market for goods and services of the business apart from factors of production. The progress of the business is linked with the progress of the society.
So, to promote the progress of the society has also become the objective of the business.
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Yaser Siddiquee 7 years, 1 month ago
1Thank You