Assessment 2_ Country Analysis

GLOBAL BUSINESS ISSUES
Executive Summary
In this paper, we will address two global business issues regarding one country and analyse them according to the research trends. It will provide us some knowledge on the several issues and the ways, in which the country strategizes to combat them to create a sustainable business. The analysis will help us to evaluate the different aspects of the global business in a selected country. The country, which I selected, is India, where rising industrialisation is addressed in the recent times. India dominates in manufacturing the goods and exporting them to the other countries making international business. The main concern is about the trade protectionism and the environmental sustainability, which gets affected by the global business of India.
Table of Contents
Executive Summary    2
Introduction    4
Trade Protectionism    4
Environmental Sustainability    5
Analysis    6
Conclusion    8
Reflection    8
References    10
Introduction
The global business of a country deals with the financial growth of the country through its GDP. India makes an excellent consumer market having a great population of healthy middle-class people who runs on the huge manufacturing of goods. The sales of goods and services between countries are termed as the international trade or the global business, which adds to the economic development of the country.
In this context, we will analyse the issues that arises in the global business trends in India and what are the ways to deal with them. The operation of the business organisations in the country through several theories and techniques will be provided to bring out the exact root cause of the issue and the ways to combat them. The significance of the analysis will be covered to increase the knowledge on the ground of literature searches and their review.
I am obliged to get the scope of analysing such issues regarding my area of curriculum as it will further help me in reflecting on the situation and explore my knowledge on acting accordingly to combat them in the business world. The mercantilism theory of trade is applied to analyse the trade protectionism of India, which reduces the trade co-operation within countries for protecting the strength and power of the economy. Relevant concepts are addressed further in addressing the issues.
Trade Protectionism
India faces the issue of trade protectionism in global business trends, which does not allow the country to keep the required profit through the export business. It is known that due to the COVID pandemic era, India has increased its import tariffs of raw materials and goods (The Economic Times Rise, 2022). The 1% reduction in the tariff rates reduces the growth of the export by 1.1%.
The protectionism is maintained through the policies and its enforcement in the budget renewal, which allows a chance to provide protection to the economy of the country. The time span between the 2011-19 and 2010-2020 are taken, as India did not hold a big share in the business. Later the export business was spread globally in the area of textile, clothing, raw materials and agricultural food production being unaware about the exact way to deal with the policies (Carnegie India, 2017).
The dilemma according to the trade protection are based on several grounds such as the tariffs maintained and the newly introduced budget by the Prime minister Narendra Modi in 2018 (CATO Institute, 2018). The trend shows a threat towards the profit regarding the economic income of the country. This trend is regarded as to provide more job opportunities and protection of domestic industries. The import duties are increased by the government in July 2018, for the textile industries, stated as the brazenly protectionist measure, which protects the domestic industries among the international industrial sectors.
India being a developing country requires protecting its traditional industries before doing business with the international stakeholders. Hence, protectionist policies are introduced along with the budget to maintain a balance between the global trade and domestic business. The protectionism policies in India show a low productive rate in the global business, which is vicious for the economic growth of the country (Carnegie India, 2017).
The signature step of Prime Minister Narendra Modi in India’s economic policy has been a consistent rise in trade protectionism. Over the past decade, the simple average of the tariffs rose by 25%, from 8.9% in 2010-11 and to 11.1% in 2020-21. The India’s tariff lines exceeded the 15% mark rose from 11.9% to a 25.4% over the same time. The trade barriers are rising as an outcome of reluctance in the Prime Minister is joining with new trade agreements.
Environmental Sustainability
The recent trends, which are seen regarding the maintenance of environmental sustainability through trade, include several measures towards producing a clean and green environment. The promises are made to reduce methane emissions, reduce deforestation and transfer towards green technology by 2030 (UN Environment Protection, 2022). All these plans are attractive to set the trends but following them creates a major issue in the developing country such as India. Here, the loss of biodiversity is a huge problem, which has led towards the temperature rise...