International trade requires macroeconomic stability in the host country. Ideally, the economy of the host country should embark upon a sustainable growth path to foster foreign investment and international trade opportunities, while supported by a strong banking system. However, there are several business risks that a firm launching onto a foreign country should assess. The first risk assessment should be associated to the bargaining power of the firm expanding to a foreign market. Factors such as product/ service uniqueness, technological advancement, the firm's size and operational growth facilitate the effective management of distribution channels, while maintaining product or service quality.
Political corruption is not something new. Over the last years, the abuse of public office for private gain has gained extraordinary popularity mostly due to corruption scandals that have tumbled governments in major industrial countries, but also in developing countries. In the latter, the shift from centrally-planned economies to free market economies has created massive opportunities for excessive profit by highly appointed officials. After the end of the Cold War, an emphasis is being given by industrial countries on the allocation of resources among developing countries, particularly where restrictions imposed by government intervention have led to excessive profit.
Today, business world is becoming increasingly smaller and globalization brings people closer. Yet, cultural diversity is more present than ever. A firm engaging into international trade should be mostly concerned with making the best impression on clients at the host country. To achieve this, it has to realize that each culture favors its own values in business relationships and therefore it is absolutely essential to appreciate different business etiquette around the globe to conduct business effectively.
Green retailing is an increasingly popular term. More and more retailers around the globe are launching a number of environmentally friendly initiatives to preserve resources and eliminate waste in an effort to contribute as much as possible to the protection of the environment. At the same time, consumers are increasingly focusing on eco-friendly shopping and a greener lifestyle, reflecting new trends in healthy eating and recycling.
Even in a weak economy, there are franchising opportunities with great potential to produce high profit margins without fail. These are usually business ideas with low operating costs, low competition and high barriers to entry. Typically, good franchise ideas can turn into profitable ventures because they are businesses that already operate successfully for years in diverse market conditions. Besides, in most of the cases, hands-on training is provided to ensure a thriving performance.