International Business

International business also can be understand as the international trading .  There are some ways to conduct a business internationally .

Initially , outsourcing is a method to conduct businesses internationally . Outsourcing could be defined as that the practice of contracting out defined functions or activities to companies in other countries that can do work more cost-effectively . For example , Apple has outsourcing with Foxconn which is in Taiwan . Also , the accessories of iPhone is produced in many countries , such as Japan , China and Vietnam . The advantage of this way is that the cost of labour could decreased , because the wage of developing countries is lower than that of developed countries . Also , the work who is in the developing country do not have maximum working time . However , it also has some disadvantage. In my own opinion , the main negative effect is the cost of delivery.
The second way also is a common way that is exporting and importing . That is a type of dealing with overseas customers and suppliers is by transporting physical products ( raw materials or finish goods). Many international organization is developed by this way . For example , Starbucks has a lot of branch in the world . That is a way to make the business internationally . Further , that way also could built a good image of a business in the world through their product .

In addition , the third way is foreign direct investment . That mean's Investment from one country into another (normally by companies rather than governments) that involves establishing operations or acquiring tangible assets, including stakes in other businesses. The foreign direct investment has three types--horizontal , vertical and conglomerate .
-- Horizontal: where the company carries out the same activities abroad as at home (for example, Toyota assembling cars in both Japan and the UK).
--Vertical: when different stages of activities are added abroad. Forward vertical FDI is where the FDI takes the firm nearer to the market (for example, Toyota acquiring a car distributorship in America) and Backward Vertical FDI is where international integration moves back towards raw materials (for example, Toyota acquiring a tyre manufacturer or a rubber plantation). 
--Conglomerate: where an unrelated business is added abroad. This is the most unusual form of FDI as it involves attempting to overcome two barriers simultaneously - entering a foreign country and a new industry.  This leads to the analytical solution that internationalization and diversification are often alternative strategies, not complements.

There are other ways to conduct a business internationally , such as licensing , joint ventures , and wholly owned subsidiary .