International Business Essay Example | Topics and Well Written Essays - 500 words - 21

International Business - Essay Example Australia has certainly performed quite remarkably from Asia’s rise. The recent decades have witnessed a dramatic economic progress. According to Meredith and Dyster (1999, 319), the economic growth rates of Australia have surpassed the economic performance of almost all highly industrialized countries and it has prevented three financial slumps that have seriously impacted Japan, Europe, and the United States. Australia is currently placing major emphasis on Asia. It has the benefits of highly literate citizens, advanced infrastructure, and growing Asian immigration that carries with it Asian ties. Furthermore, Australia is a destination for a large number of wealthy Asians who are looking for quality education. In addition, Australia is striving to maintain its position as a location for the regional headquarters of multinational companies (MNCs). Also, Australia is a strategic site for value added operations (e.g. services, distribution, marketing), but certainly not for manufacturing (Meredith & Dyster 1999, 319). In the meantime, the costs of its labor are at present competitive with Asia’s advanced economies, making it more and more appealing for non-manual or professional operations demanding well-educated executive, administrative and employee skills. Moreover, Australia provides accessibility and strength to newly developed and technologically sophisticated goods. On the contrary, the attention of Australian firms is drawn to Asia by geographic proximity, the continuously advancing economies, and the massive population. A number of Australian firms have encountered problems due to their inability to understand the diverse cultures and practices of conducting business in Asia (Czinkota, Ronkainen, & Moffett 2008, 114). Thus, more Australian firms are currently building joint enterprises as a favorable entry approach toward Asia. In addition, numerous of Australia’s major firms, like Lend Lease and Brambles, have adopted