International Business Issues and

Practice
Executive summary

The assessment of International Business Issues and Practice is report of an Organization.

The report is chosen “Cognizant” an organization. “The report is based” on “Corporate view
of the organization”, “Business overview of the organization”, and “the international
structure of the corporate”. report helps to evaluate the “strengths point of the organization”,
“the opportunities of this organization” and find the global challenges and risks when the
organization execute the plan. There are “external global challenging factors”, the
organization are affected by the factors. The factors are “Political”, “Economical”, “Social”,
“Environmental” etc. “The organization has implemented some unique strategies to reduce
the challenges” from this organization. The global challenges, the risk factors and the way the
organization recover all risks, all are described in this report.
Table of Contents

Executive summery...............................................................................................................................2

Introduction:..........................................................................................................................................4

Overview of the organization:...............................................................................................................6

Several types of Global challenges faced by “Cognizant”:....................................................................7

The result after implements the strategy-.............................................................................................12

“ Recommendation “.........................................................................................................................14

Conclusion:..........................................................................................................................................16

“References”........................................................................................................................................17
Introduction:

“Cognizant” is a multinational organization of “Information Technology”. The organization

mainly provides “customer support”. It is based on “Information System”. The organization
is upgraded the “Information System” as per their need, the “upgrading process” generally
gives “quality information” to the “Client” and it draw a “value- added” opportunity of this
organization. “In 21st century” the “modern technology” of “Information System” generally
makes a huge profit of the organization and it helps to create a “positive image” of the
organization. The “modern information” is an essential and very “useful tools” to develop
“the business” and make satisfaction of the clients. “Cognizant” adapts the “Advance
Information Systems” it helps to develop the “Quality of Product and Services” and reduce
the risk factors from the organization. If a client gets satisfy from the organization then the
“Expectations” are getting high gradually. The organization know how to deal with the client
and how to deal with the risk factors also. The organization regularly “upgrade” their
“Information Systems” yearly. This organization knows, that “Knowledge Management of
Information systems” helps to create “Valuable Integrated Systems” and develop their
business properly and reduce all the risk factors and its affects. [CITATION huC15 \l 1033 ].

At global stage, every organization use to face some challenges which can affects the
organization for a while. The challenges are- “Political risk”, “worldwide Environmental”,
“Economic”, “International company structure”, “Foreign law”, “international Accounting”,
“Currency rate”, “Communication and culture different”, “Supply chain complex”. The main
challenge is the difference between the nation policy and the international policy. According
to “European Union”, the members have the “Hallmark”. This “Hallmark” allows the
movement of all the labor, and due to this “Hallmarks” the labors get new jobs as soon as the
vacancies are come out. The “northern” and “southern” borders of US allow all the labor for
freely movements. Along with this the trade policy are different, if the supplier is from
Mexico then policies are different from other’s countries, because there are “Imposition of
significant” of “Tariffs as a barrier” in international trade due to “Backlash”. The social and
environment issues are another challenging factor from the organization at global stage.
Apart from that the local rules and regulations are also affected on “decision – making”
strategy, according to the local government the strategy is designed. For example,
“California” has specific law for labeling of chemical products in few states. There is
restriction in Europe due to the “Europe’s Registry of Hazardous Substances (RoHS).
[ CITATION Dav19 \l 1033 ]”
“Overview of the organization”:

“The organization” was established by “technology arm of Dum & Bradstreet Corporation”
in “the year of 1994” with “175 employees”. In the year of 1996 “the organization” added
“third-party clients”. “The organization” provides their “quality services” to all industries.
“This organization” had become the 1st “IT company” in India in the year 1998 and the
organization was listed in the “NASDAQ”. In the year of 2002, “the organization” had
become the “1st organization as” “the Assessed enterprise-wide” against “mature industry
process certifications”. “For an example”- “P- CMM level 5”. “The organization was well-
known” as the “leading IT services provider” by “the analyst industry in 2004”. “The
organization” was become the “fastest global IT services company”, the “run- rate was $ 1
billion in the year of 2006”. “The organization” achieved “The rank 230 out of 500 Fortune
Companies” in 2016. “The organization” had selected as a “Fortune’s Most Admired
Companies”. “The organization” took a place “in top 5 among the IT services”. After getting
the record “the revenue of the year 2015” was $ 12.42 billion. According to the report
“approximate 300,000 employees” are working in the organization.[ CITATION Man16 \l 1033 ].

“The organization has provided” the “services in various industries”. “The organization has
provided “dynamic and innovative services in flexible environment”. “The innovative
objectives” of “the organization” are- “true measurable business value by productively
bringing continuous improvements”, “cost savings”, “innovation” and “Best-in-Class”. “The
industries are” – “Information services”, “Manufacturing”, “Life science and Healthcare”,
“Technology”, “Energy & utilities”, “Transportation & logistics”, “Banking & financial
services”, “Insurance”, “Communications”, “Media & Entertainment”, “Travel & Hospital,
“Retail”, “Education”, Cognizant provides their best services and create the footprint in these
industries. [CITATION www203 \l 1033 ].

“There are several global challenges” in “the organization” such as “Political risk”,
“worldwide Environmental”, “Economic”. Other big challenges are- “International company
structure”, “Foreign law”, “international Accounting”, “Currency rate”, “Communication and
culture different”, “Supply chain complex”. These are the common risks which are faced by
every international company. Cognizant also faced the challenges when the organization
expand their business in global stage [ CITATION Kat17 \l 1033 ].
Several types of Global challenges faced by “Cognizant”:

The biggest global challenges and risks apart from “PESTEL” and “SWOT” model are-
“International company structure”, “Foreign law”, “international Accounting”, “Currency
rate”, “Communication and culture different”, “Supply chain complex”.

The organization use to take “many strategies to develop the productivity” and “services”.
“Sometimes, the strategies are not appropriate” and applicable for the global challenges. The
organization use to explore “the business in different nations”. The problems are arise for the
“diversification” due to different culture and communication. The economic risks are very
effective so, “the financial planning” needs to develop because the “assert ratio” and the
“liquid ratio” is not enough for “the business”. “The competitive level” are also very high and
demanding so, the organization need to analyse all the global risks and accept all the
challenges and reduce the risks factor.

 “International Company structure”- There are a proper “company structure” is

required for multinational companies. The aim of this structure is to reduce the
conflicts and each multinational company get equality. Like the departments, the
designation, the rules and regulation, these all should be equal for every multination
company. Here are 24 * 7 services available in all multination company. This is quite
challenging to maintain the timing and provide the services continuously. Under the
“International Company structure” only international holidays are considerable.
Sometimes as a local employee some rules and regulation are quite difficult to accept
and for the organiser some time it is challenging to implement.
 “Foreign Law”- When the company follow the “International company structure” to
compete other multinational organization in equal stage then to build the business
relation in global stage there are specific laws. The laws should be followed by those
organization who take the participation in global business and marketing. This is
another challenging issue to adapt the “Foreign trade”, “Employee law”, “investment
law”, every organization need efficient employees and well-training process to get the
updated information. “Cognizant” adapt all foreign law expand their business.
  “International Accounting”- Accounting is very crucial for multinational company.
The “tax system”, “rates”, “Compliance” these requirements can create the
“Accounting function” of multinational companies. The accounting strategy helps to
maximum revenue. “Cognizant” adapt the strategy for in a very short time the
organization earn maximum revenue.
 “Currency Rate”- “Currency rate” is very challenging issue because “Current rate”
use to fluctuated and due this the revenue and economic risks can increase or
decrease. “Cognizant” protect the organization’s economic condition from the
currency rate fluctuation. There are six factors which affect the “currency rate”. The
organization observe the six factor and then they invest in global market and gain
revenue.
 “Culture and Communication Difference”- “Culture and Communication Difference”
is most common challenging issue and risk factor to understand other’s point of view
and to establish own point of view. In every multinational company diversity is
shown. “Cognizant” is maintained the work culture properly so the challenging
factors does not make any difference.
 “Supply Chain Complexity”- Another challenge is managing “Suppliers and supply
chain”. Due to lack of management it can affect the workflow. So, every multinational
organization should understand the process because the risks factors can affect to the
workers and their workflow. “Cognizant” firstly faced this issue because “supply
chain” is not regularly essential then the organization follow the legal business
practices so, the organization manage the “supply chain process” in proper way.

There are several kinds of global challenges. “PESTEL” is very common challenges which is
faced by every organization. Here “Cognizant” also face “PESTEL” challenges in global
stage. The “PESTEL” analyzation is the “Acronym tool”, this is helped and used for
identification the “Macro factors”. “The factors” use to affective on the “organization’s
productivity directly and indirectly”. “The model has represented by its letters” of
“PESTEL”. The “P” represents “Political risks”, “E” represents “Economic”, “S” represents
“Social”, “T” represents “Technological”, “E” represents “Environment” and “L” represents
“Legal”.
  "Political risks”- “The political circumstances” are highly risk factors that affects the
organization’s productivity in different way. The opportunities of the organization are
affected due to political risk factors. The administrator needs to adapt all the “rule and
regulation” so, “the administrator” needs “the capacity” to reduce risk factors. In the
“multinational- organization” the “circumstances of government”, “the practice of the
community” the factors need to “clear and transparent”. When an organization
explore their business in global stage, “then organization” need to aware about “the
factor” “Political background and the political environment”. The “organization’s
administration” should analyse “the external factor”. There is a “format to analyse the
political factors”-

“The administrator” need to “maintain balance” the “healthy relationships” with

the “Political Party”, “which party rule recently in the states or the nations”.

The “high-level management system” is helped to” reduce all the risks factors”.

“The analysation” of “Political risks” help for identification the “demand of the
nation and able to satisfy the customers equally”.

“Cognizant” studied the “Political circumstance” in proper way and the

organization spread the “business and open many offices in various nation” [CITATION
www204 \l 1033 ].

 “Economic risks”- The essential factors in PESTEL is “Economic risks”. “Each and
every organization” has “financial department”, the department handle the economic
risks primarily. “Other hands if the organization” plan to explore the “business in
different nation”. The another “nation’s economy condition” is affected “the
organization’s finance”. The “internal economic factors” are handled by “the expert”,
that use to “design” the “budget plan” “for expanses in the organization”. This
“organization’s economic” has considered the “macro-economy”. “The economy risks
analysis” is essential for “the organization to build the business for a long time”. The
expert need to aware about the “economic circumstances” and need a “depth
knowledge” about the “disaster time and other risks situations”. “The economic
methods” divide for some issues for example- “Monopoly”, “Oligopoly”. The
percentages rate in “GDP” has “represented the growth”. “The economic risks
 management” use to “influence the organization for long time”. “Cognizant” use to
analyse the “Economic risks factor” in proper way. As the resultant organization
reach on the “top 500 Fortune companies” for many times. [CITATION PES20 \l 1033 ].

 “Social factors”- “The circumstances” of “Social factors” have “influenced the

organization’s workflow”. This “social circumstances” are “including the practice”,
“understanding”, “emotions”, “consequences”. The “social” has no relation in to “the
working features” but the “work culture”, “the lifestyle”, “the behaviours”,
“communication pattern” all of these has involving in “the social factors” which is
very challenging. The social factors are affected the “gender division” of
organization, “the safety of women”. “The diversity” is involved in “the social
factors”, and creates the “differ according” to “nation to nation”. Due to this, “the
organization” need to make the plan” for exploring “the business in international
platform” other hands “the organization” need “a good knowledge” on the social life.
It is “a challenging and risks factors” for the organization to develop the balance the
between “Social life and the organization”, “Cognizant” is maintained the balance
“very- well in the various nations”.

 “Technology”- “Nowadays development of technology” has an essential for

“business”. “if the technology” has not “upgraded” in proper way, “then it creates a
drawback” of the organization. If the technology is insufficient, then the organization
not able to satisfy their customer. This is very challenging factor to provide the
service and complete with other organizations. “Cognizant” is “an organization” of
“Information technology”. The organization “used to upgrade” the “technology” in
yearly. “Technology” developments are “reflected on the organization’s
performance”. It helps to create the growth of the organization.

 “Legal”- “Legal factors” is an important for “the Multi- National company”. “The
organization” need to knowledge about “legal framework” to explore “the business in
global stage”. “Cognizant” has the “legal structure” to maintain internal policy.

 “Worldwide Environment” – “Worldwide Environment” is an “Affective factors” and

challenging part which use to influence “the organization”. “The organization” need
 maintaining the “Internal environment” and “Outer environment”. “The internal
environment” should be “friendly environment” for “the employees” to reduce its
complex. “The organization” need the “ability to make balance between” the “Outer
environment” and the “Inner environment”. When “organization” expand the business
then the environment needs to adapt by the organization. [CITATION Cor201 \l 1033 ].

The result after implements the strategy-

The organization is faced many challenges and risks which affects the organizations. The
development is depended of proper strategy. It is essential for “decision making system”. “If
the system” of “decision making” are “in proper way” then “the challenges and the risks are
reduced gradually”. So,” the organization plan to focus on challenges and risks” and also
reduce the “risks and challenges by applying the strategies”.

 The strength point in “Cognizant” is “the strong community”. “The organization”

able to create a “cultural environment” between “the employees and the clients”. “The
employees” are “well-skilled” and “well-trained”. So, “the quality of work” creates a
“remarkable example”. Due to the skilled employee they able to “satisfy the
customers”. The “customers satisfaction” is very important strategy “the
organization” is taken this strategy. The “technology” is upgraded in every year this is
another strategy to hold the position in the market. The organization create “strong
brand portfolio” in “the international market after implement the strategies”. These
are the “affective strategic tools” which can help to “emerge the organization in
international market”.

 Due to this unique strategy of “Cognizant”, it creates the opportunities for the
organization. “New taxation policy” are “the unique opportunity” that can make
“significant impact of the business”. “The organization” use to “provide the quality
services”. Due to the strategy the organization can “complete with the competitor in
 advance level”. “The rate of interest is low” so, it creates an “opportunity for the
organization to explore the business in global stage”. There is another strategy the
organization taken, the organization invest on share market and increase the number
of customers. Due to the strategy the organization get the market range in “Asian
countries and Middle East Countries” largely. [CITATION www204 \l 1033 ].

 “Threats” are a “external strategic factors”. It “increasing raw material can pose
threats” to “the organization”. The “no regular supply of innovative products” helps to
“increase the productivity”. The economical factors of the nation also a “threat” for
“the organization”, so the organization analysis all the factors properly. [CITATION
Cog20 \l 1033 ].
 “ Recommendation “

 Recommended “Information Technology” for “Competitive Advantages” reduce the

global challenges-
“The organization require an appropriate” “Management Information System” to
increase the operation system. It purpose “to develop the” “Management Information
Systems” are creating “a proper relation with various people in various nations”.
“Collection of information”, “Upgraded the technology” to fulfil the requirements,
“Create a good relationship with the clients” all strategy should take in appropriate
way. “The appropriate” “Management Information Systems” have needed “to
motivate the workers”. The “Management Information Systems” are helped to
increase “the operation system efficiently” to do “the business”
 “Another recommendation for the organization” on “Decision making system”. “The
organization” require to plan “on the economic risks”, due to, it is very important for
“the organization”. “The organization” think about the “new product” and take the
decision. For a multi- national organization “multiple products” are required to
emerge the business largely. [CITATION Cog202 \l 1033 ].

 “Procedure of Information Systems to reduce the challenges”-

The “Information Systems” helps for “this organization” to reduce the challenges and
risks factors. The “management system” help create the balance between the
“relationship with the customers, and it help to emerge the knowledge” about the
“supply chain management”. “The organization” has “the ability to provide the
quality services in various industries” for example- “finance sector”, “automobile
sectors”, “manufacturing sectors”, “legal sectors”, “global risk sectors”, “insurance
sector”, “technology sector” and so on. The organization use to receive the feedback
from the clients. There are “many positive feedbacks form client side”. “These
strategy helps to improve the relationship with the clients”.

 The “Integration of Information systems” create “the modifications of the technology

according to the demand”. “The proper” “decision-making” process “create new and
innovative ideas and objectives”. “The organization” “need to focus” on the “decision
 making systems”. This strategy helps to gain the “highest revenue”, “profitability”,
and “give the customer satisfactions properly.” [CITATION CTS20 \l 1033 ].

 “Objectives of Business Performance”-

“Cognizant” is able to satisfy the customers and provide the quality services
as per the promised commitments. The strategy needs more strong commitments
which helps to create “the professional work culture, there are so many
recommendations” for “the organization which help this organization to reach the
goal”. “Apart from the business environment the organization” use to “follow the”
“ethical practices” to balance “the diversity”. Here in the organization has many
“innovative technologies” that helps this organization to reach the goal. “The
organization keep taking innovative strategies for the future to emerge the business”
[CITATION Cog201 \l 1033 ].

 “Cost factor”-
“The cost factor is very important” factors of “the organization”. The “cost
management” or “the plan of costing should be in proper way to run the business”.
“The strategy should be able to reach the break-even point”. “The organization” like
“Cognizant”, that has “a huge number of employees and a huge number of clients
they need to plan properly to reach in the stable conditions”. They need a strategy to
achieve the “revenue target”. The “cost of investment” and the “profit” need to be in
“the justification mode regularly” [CITATION Str20 \l 1033 ].

 “Quality and proper training”-

“The organization” require to provide quality and “proper training to all employees”.
The employee has the “basic knowledge” still the organization require to realise the
“objectives of the organization”. “A proper trained employee makes satisfy the
customers and maintain the customer range easily”. “A quality training helps to
maintain the retention percentage. This strategy can help to reduce challenges”
according to observation. [CITATION Tra20 \l 1033 ].

Conclusion:
 “The report” is containing on the “Global Challenges and risks” of “Cognizant”. The
challenges effects like the “PESTEL”, and others are described in the report. “The
recommended appropriate” for “Global challenges and risks” are written on this report. “The
positive points” and “the negative points” are discussed with “proper justification”. “There
are many challenges for the organization” to reduce those challenges the organization takes
many strategies and able to “reduce those challenges” all are covered in the report.
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