Analyse how changes in the international economy are impacting on Irish business - Leaving Cert Business - Question C - 2006

Transnational corporations (TNCs) play a significant role in shaping the international economy. Irish businesses often collaborate with TNCs for technology transfer and resources. For example, companies like Google and Apple have heavily invested in Ireland, creating job opportunities and boosting the local economy.

The emergence of trading blocs, such as the EU, has influenced Irish businesses by promoting intra-regional trade. The EU's single market allows Irish firms to trade freely with EU countries without tariffs, enhancing their competitive edge and expanding market reach.

The rapid advancement of technology in the international economy has transformed how Irish businesses operate. E-commerce platforms allow Irish companies to reach global customers effectively. For example, many Irish SMEs leverage online marketplaces to sell their products internationally, increasing sales and brand visibility.

Emerging economies such as China and India represent significant markets for Irish exports. Changes in these economies, including increased consumer demand, impact Irish businesses by providing new opportunities for market expansion and diversification of products.

The expansion of the EU has opened new markets for Irish businesses, particularly in Eastern Europe. This enlargement has enabled Irish firms to establish operations or partnerships in these regions, benefiting from lower production costs and access to new customer bases.

Political changes in international relations can create both risks and opportunities for Irish businesses. For instance, Brexit has led to uncertainty regarding trade with the UK, pushing some Irish companies to seek new markets or strengthen their EU ties.

Deregulation in various sectors has allowed Irish businesses to operate more freely in international markets. This has led to increased competition and innovation within the Irish market, compelling local businesses to adapt and improve.

Eastern Europe presents considerable market opportunities for Irish businesses due to rising incomes and consumer spending. Companies are increasingly targeting these markets with tailored products, thus boosting their growth and profits.