International Business Political Economy

Question: Discuss about the International Businessfor Political Economy. Answer: Introduction Political Economy of International Trade: Australia has been transformed into a different political economy. Complex and identified ways in which the work relations are organized and how the corporate entities are integrated as a system of corporate regulations are specified by regimes of political economy. Political economy asserts the economic process that do not take place in isolation from political processes. It depicts the implications for national economic policy, concentration of wealth, economic activities and opportunity. Political economy of Australia also comprise of free market arguments, education, health, development and decline of regional economy and environmental sustainability (Wild et al., 2014). However, this area attracts significant research from various sources. Economic and Political Reasons Employing Barriers to Trade: Government of Australia has several policies seeking to develop and assist Australian business engaged in international trade. Regulations exists for consumers protection, domestic industries and environment from importing goods from overseas that are injurious. Barrier to trade is the restrictions imposed by government on flow of goods and services. Some of the barriers to Australian export of goods remain crucial are in the areas of agricultural products and processed product. There has been a sudden change in the use of specific rates and mixed tariffs that increases the cost of importing goods in some of the regional markets. These tariffs sometimes negatively influence the competitiveness of low cost and efficient producers. Policy concerning restrictions on trade lays greater emphasis on aid as a catalyst for economic growth that can be sustained. Aid for trade investment help in achieving other development activities and this include health, disability, empowerment of women and financial inclusion. Some of the trade remedies are triggered in response to different circumstances as it may cause material injury to domestic industry. Barriers strategy such as subsidies agreement regulates the action that the countries has taken for counte ring the effects of subsidies. Goods imported in Australia requires classification and the process of declaring imports is based upon self-assessment by importers. Australian customs require declarations for enforcing restrictions on import. As a part of activities, businesses in Australia are able to import goods from overseas. They need to be aware of permits, taxes, duties, and treatment applying to imported goods. Australian department of Border protection and immigration should seize imports not meeting the above-mentioned requirement (Cavusgil et al., 2014). This is done to avoid any political conflict among the businesses. Surge of imports might cause serious material injury to domestic injury and the government takes safeguard action in this regard. Reference: Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., Rose, E. L. (2014).International business. Pearson Australia. Wild, J., Wild, K. L., Han, J. C. (2014).International business. Pearson Education Limited.