1.1 Analyse The Different Ways In Which Organisations Operate And Trade Overseas.

Organizations can engage in international trade and operations through three primary methods:

1. Direct Export: The organization directly sells its products or services to customers in another country.

2. Indirect Export: The organization sells its products or services to a customer in another country, who then reexports the goods to a third country.

3. Trading Company: The organization serves as an intermediary between two other entities, facilitating the export and import of goods and services on their behalf.

1.2 Explain The Different Ways In Which Organisations Expand Their Activities Internationally.

Organizations can expand their activities internationally through four main approaches:

1. Licensing: An organization grants another entity the rights to use its intellectual property, such as trademarks, patents, or designs.

2. Franchising: An organization allows another entity to use its business model and brand in exchange for a fee.

3. Joint Ventures: Two or more organizations partner to jointly develop and market a product or service.

4. Direct Investment: An organization establishes a subsidiary or acquires another company in a foreign country.

1.3 Review The Major Alternative International Organisational Forms And Their Consequences For The Management Of People.

The primary international organizational forms include:

 Functional Organizations

 Divisional Organizations

 Holding Companies

 Joint Ventures

Functional Organizations are the most common type of international structure. These organizations are typically organized by country, with each nation having its own functional departments (e.g., marketing, finance, HR). The main advantage of this structure is the standardization and centralization of functions, leading to potential cost savings. However, it can be inflexible and slow to adapt to changes in the external environment.

Divisional Organizations are structured by product or market, with each division responsible for its own profits and losses. This type of organization offers greater flexibility and responsiveness to market changes but may result in duplication of efforts and increased costs.

Holding Companies own other companies, often used to manage a group of businesses operating in different countries. The main advantage of this structure is centralized decisionmaking and economies of scale, but it may also lead to a lack of accountability and transparency.

Joint Ventures are businesses jointly owned by two or more companies, typically used to enter new markets or share risks. The advantage is the sharing of resources and expertise, but conflicts between owners can be a potential downside.