Factors of the formation of international business in modern conditions

Abstract

Problem setting. The globalization of international business relations, as well as the integration and internationalization of international business structures, together with the need for continuous bilateral participation of business and the state in the formation of international economic relations, have given rise to new trends in the structural transformation of the world economy. In modern conditions, international business is one of the most important factors in the formation of GDP. It ensures the redistribution of resources between countries, promotes the growth of labor productivity, the competitiveness of enterprises, and also increases the welfare of the population. Analyses of recent researches and publications. Domestic science paid constant attention to the problems and determination of the role of international business in the modern international economy, its impact on the economic security of the state, starting from the moment Ukraine gained independence. Among the leading scientists who devoted their research to certain aspects of the mentioned problems, it is necessary to single out economists and lawyers, namely: E. M. Bilousov, N. M. Hrushchinska, I. Yu. Guzenko, M. V. Ivashchenko, Yu. M. Petrushenko, Yu. I. Pylypenko, E. V. Prushkivska, S. V. Tarasenko, K. O. Tretyakov, I. V. Yakoviuk and many others. The purpose of research is to clarify the significance of external and internal determinants of influence on the processes of formation and implementation of international business in a special period, as well as to substantiate the determination of priority directions of the economic, political, socio-cultural policy of the state to reduce the negative factors of influence on international business for the sake of post-war economic recovery. Article’s main body. The article reveals the defining aspects affecting the establishment and development of international commercial activity. The key factors shaping international business in the modern conditions of the formation of Industry 4.0, including globalization, economic, geopolitical, socio-cultural and technological aspects, have been determined. The research is conducted taking into account current trends in the global economy and the challenges faced by enterprises expanding their activities beyond their own national market. Conclusions and prospects for the development. In today’s world, international business is a complex and dynamic phenomenon, which is determined by the influence of various factors. The growth of global economic interdependence and the development of integration blocks create new opportunities and challenges for companies, prompting them to actively enter various markets. Changes in economic conditions, such as crises, geopolitical conflicts, currency fluctuations, changes in inflation rates, affect the profitability and strategies of international business. Companies must adapt to changes in the global economic environment. The instability of political conditions in different countries can affect the activities of international enterprises. Risks associated with political change require careful analysis and effective management. Adaptation of products and marketing strategies to local conditions becomes a key success factor. The rapid and constant development of technology affects innovation in international business. Companies that successfully implement technological innovations can have a competitive advantage. Effective logistics and supply chain management is becoming critical to ensure smooth execution of international operations. Improving these processes can lead to reduced costs and increased efficiency.