International Business

In today’s Interdependent global economy, the world in which we live is conducted by the rules and principles of the international business and trade that were changing historically from year to year. Suppose there are two countries, each with an own raw material that it can procuce efficiently and then these two countries would trade and specialize each other country’s need, as a result both countries gain beneficially (Jack,2012). From the ancient time to nowadays, people developed the evolution process of Theories of international trade since they has known trade is a positive sum game. Many trade theories have been developed by the economists and reseachers, among them this essay will discuss and emphasis on the New Trade Theory and Porter’s Diamond: National Competitive Advantage relating with the Australian government ,Australian businesses and multinational corporations. However two articles have been chosen for better understanding of ever changing environment of the international business and implications of the trade globally.

The first article involves the difficult shift of the economy due to the election campaign that effects many economic factors for instance, the spending amount of investment for the mining industry seems to have decreased about 3 per cent in the quarter but one the other hand, increased mineral exports do most to account for the 1.3 per cent growth in the volume of exports in the quarter. The article also describes that non-mining investment sectors seem to consider as no growth during the quarter.(Gittins, Sep 2013). The second article illustrates the uncertainty of the political situation in Australia and its impact on the variety of corporations and businesses in terms of economic factors. The article also includes various voices of many economic leaders and researchers that reflect the current situation of the Australia economy both directly and indirectly. For example, the chief executive of the Chinese state-owned miner...