How do international companies minimize the impact of risks during an international crisis? What strategies should they apply in this kind of situation?

Running Head: INTERNATIONAL BUSINESS                        1
INTERNATIONAL BUSINESS                                 2
INTERNATIONAL BUSINESS
Table of Contents
Prevention of International Business Risks    3
Strategies to be Applied    4
References    5
Prevention of International Business Risks
The impact of global economic crisis on international businesses leads to downfall many small and large businesses. As the international businesses completely dependent on the global trade to sustain themselves the shrinking of the global economy with exports falling and imports replaced by the domestic consumptions and this meant that the international businesses were left in the lurch. The risk factor, which usually the international businesses experienced are: cross-cultural risk, currency risk, commercial risk and the country risk.
Nevertheless, there is certain way out of it. The international companies in order to minimize the impact of risks during an international crisis should undergo to certain factors. Firstly, they should choose the right business partners in this regard. International expansions are easier with lesser risk when it involves the professionals who can understand the local as well as the cultural practices. Secondly, hiring experienced local...