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History of International Business starte with the evolution of Human Civilization. The integration and Growth of economies and Societies was the main reason for the first phase of International Business and Globalization.

History / Evolution of International Business/ Internationalization

19th Century: Broader concept of the integration of economies and societies

1870: Began first phase of Globalization

1913: GDP 22.1

After 1913: Increased Trade Barriers to Protect Domestic Production

1919: World War I:

End of first phase of Globalization, Industrial revolution in UK, Germany and the USA

Sharp increase in the trade with import and export by colonial empires

1930’s: Declined Trade Ratio, GDP 9.1

After 1930’s: World Nations felt the need for International Co-operation in global trade and balance of payments affairs

Establishment of IMF and IBRD (World Bank)

IMF: International Monetary Fund

IBRD: International Bank for Reconstruction and Development

1947: 23 countries conducted negotiations in order to prevent the protectionist policies and to revive the economies from recession aiming at establishment of World Trade organization

1947: Establishment of GATT (General Agreement on Trade and Tariffs)

1980s: efforts to convert GATT into WTO

1995: GATT was replaced by WTO (World Trade Organization) on Jan 1, 1995

Trade Liberalization

1990 – 2000: The Term IB (International Business) has emerged from the term International Marketing.

There are two Phases of the evolution of the term International Business

1.International Trade to International Marketing

2.International Marketing to International Business

After 1990: Rapid Internationalization ad globalization

Today: Interpreting the PESTIN factors of International Trade environment more clearly.

Reference Books

International Business – Text and cases, 2nd revised and enlarged Edition, P. Subba Rao, Himalaya Publishing House

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