International Legal and Ethical Issues

Addressing International Legal and Ethical Issues

Elizabeth R. Henderson

LAW 421

29 July 2013

Kathryn Harris

Abstract

Addressing International Legal and Ethical Issues

1. What are the issues involved in resolving legal disputes in international transactions?

With the technological advances these days entering the international business market is easily done with simple transactions of processing an international order on the internet. Other companies must take a more complicated approach and must establish themselves by building and infrastructure in the market they are trying to enter. Whichever approach is taken there are areas that must be considered: proximity challenges, infrastructural shortage, language barriers and currency fluctuation.

If there is an emergency distance will play a major factor. If senior management is in the US and the situation is in Europe the relationship may be weakened if things are trying to be handled from the US. Telephone, email and video-conferencing can help, but it is difficult to build a strong relationship in such an impersonal manner.

The global fast food giant McDonald’s is an example of a company faced with infrastructural issues in its international transactions. It has 600 stores in China but only 50 in India because of the shortage of highways that link to smaller towns. In some cases, a company might need to install its own electricity generators, water filtration units, communication facilities, access to roads and utilities ("What Are Some Issues That Arise In International Business Transactions?", 2013).

Knowing the language and culture will prove to be a huge benefit when doing business internationally. Not just learning the spoken language, but also the unspoken language will help in avoiding many issues. Hand gestures, the way you shake hands (if you should shake hands), the way you sit, eat, etc. will play a role when dealing with people in other countries.

The fluctuation of...