CHAPTER 11
GLOBAL BUSINESS
CHAPTER OVERVIEW
The importance of global to small business is emphasized in this chapter.
International trade represents exciting opportunities for many entrepreneurs in many lines
of business. Even modest attempts at exploiting overseas markets require careful analysis
and planning. This chapter explores the risks and rewards of international trade and
describes various sources of assistance available to the entrepreneur who chooses to
engage in it.
LEARNING OBJECTIVES
Small firms should consider exporting and importing.
A range of approaches may be used to enter foreign markets.
There are widely accepted procedures for reducing the risk of doing business with
an individual or firm in another country.
A wide range of government programs to assist entrepreneurs in exporting is
available.
CHAPTER OUTLINE
I. Exporting
A. The Current Situation
1. Commerce of the world is changing rapidly and in ways that often
affect domestic business profoundly.
2. The United States has not pursued development of export markets
as aggressively as many other countries; our nation’s balance of
trade has been negative since the 1970s.
3. Although the U.S. economy is the largest in the world, much of the
economic growth of the next century will occur in developing
nations.
4. Many entrepreneurs do not even consider opportunities in
