Laws and Regulations and Resulting Challenges for International Business and Management:
Several international bodies and organizations have formulated different regulations and laws in order to monitor and regulate the operations and activities of the international businesses and organizations. These laws and regulations are employed in order to protect the rights of the different entities and organizations. However, at the same time some of these laws and regulations pose serious threats and challenges for the management of the international businesses and organizations (Luthans and Doh, 2012).
It is highly important for the international organizations to carefully evaluate and understand different international rules and regulations in order to make sure that the international organizations are operating effectively and efficiently. For instance, the laws and regulations related to tariffs and trade quotas impose serious challenges and issues for the international businesses and organizations. These tariffs and trade quotas make it difficult for the international organizations to explore new markets and export goods and services to different international countries. The tariffs, trade quotas, and other trade restrictions directly influence the competition in the market and the market does not operate freely. Several local governments impose such regulations and laws in order to promote and encourage their local industries. On the other hand this directly influences the management of the operations and activities of the international businesses and organizations (Kostecki, 2012).
References
Kostecki, M. (2012). Export‐restraint Arrangements and Trade Liberalization. The World Economy, 10(4), 425-453.
Luthans, F., and Doh, J.P. (2012). International Management: Culture, Strategy, and Behavior (8th ed.). New York, NY: McGraw-Hill/Irwin.
