International management is a critical area for any serious student of management because of globalization , the worldwide phenomenon whereby the countries of the world are becoming more interconnected and where trade… Globalization is being facilitated by several key factors, and companies that want to succeed in this environment must understand the key factors that are making the business world more globally connected

The first critical factor is the lowering of trade barriers through trade agreements , government policies through which countries agree to eliminate cross-border barriers to trade and to promote global integration. To understand the importance of trade agreements, it is necessary to note that countries have long used tariffs to protect local industries and companies.

Globalization — Worldwide phenomenon whereby the countries of the world are becoming more interconnected and where trade barriers are disappearing. Tariffs — Extra charges that are added to the price of international products in the form of additional taxes or higher prices as a way to give domestic companies a price advantage while…. Trade agreements — Popular policy instruments that countries agree on to eliminate cross-border barriers to trade and to promote global integration. first critical factor — the lowering of trade barriers through trade agreements , government policies through which countries agree to eliminate cross-border barriers to trade and to promote glo.

Be able to describe the lowering of trade barriers and its impact on international business; describe Hofstede’s approach to defining national culture; describe power distance and its implications for managers in cultural contexts.