What Is International Business? How Companies Succeed Across Borders

International business, the exchange of goods and services across international boundaries,¹ has a significant and growing impact on our lives. In a global economy, an understanding of international business is essential. For companies, working across multiple countries is a source of growth. It’s also a way to offset risk and access resources that may be limited in one country but abundant in another.²

Read on to discover more about the complexities of international business, and see how a postgraduate qualification in international business law can propel you to a successful career in this fast-moving global economy.

The Scope of International Business

International business encompasses any transaction that crosses an international border, so the scope is immense. There are four basic categories of international business activity:³

• Import/Export: Buying and selling goods and services across international borders
• Licensing and Franchising: Granting a company in one country permission to use the intellectual property or systems of a company in another country
• Foreign Direct Investment: Buying or investing in an enterprise operating in a foreign country
• Strategic Alliances: Formal partnerships between companies operating in different countries from each other

International Business Examples

Standout international businesses are global behemoths with names familiar to us all, such as Apple, Amazon, and Coca-Cola. A company like Apple, which sells a particular range of products around the world, operates quite differently from a company like Amazon, which is effectively a global marketplace with a variety of subsidiary ventures. What these massive operations have in common is that they successfully manage very complex businesses that span multiple countries.

Apple sources components from more than 40 countries around the world, getting glass from Germany and processors from South Korea to be (mostly) assembled in China.⁴ Amazon runs a fleet of businesses, ranging from consumer electronics to book publishing, film and TV streaming services to a supermarket chain.⁵ Just keeping its online retail business operating requires a network of more than 175 warehouses spread across three continents.⁴

Legal Principles Behind Global Trade and Expansion

Studying international business law requires an understanding of the rules and regulations of domestic trade and global trade. These can range from multi-lateral treaties, such as the United States-Mexico-Canada Agreement,⁶ to the activities of intergovernmental organizations like the World Trade Organization⁷ and the United Nations, to the policies of a single government regarding tariffs or border controls.

What Are the Challenges Faced in International Business?

Operating internationally comes with numerous challenges that are constantly changing. Here are just three examples of issues that can confront a company working across international borders:

Navigating International Laws

A primary concern of any business is staying on the right side of the various laws and regulations of all the countries in which it operates. This is the basis of the corporate compliance field. The scale and complexity of international business can easily result in serious oversights when compliance processes fall short.

For example, in 2024, the South Korean car company Hyundai was sued by the U.S. Department of Labor for violating child labor laws. A 13-year-old was found working on an assembly line at a parts manufacturer in Alabama. Hyundai was the majority owner of the parent company of the parts manufacturer, so Hyundai was sued, despite having no direct involvement in the matter.⁸

Adapting to Cultural Differences

Understanding and accommodating cultural differences is a key part of successfully conducting business across international borders. McDonald’s in India is a famous example. The world’s most famous burger joint doesn’t serve any beef in India, out of respect for the dietary and religious preferences of the majority of the population there.⁹

Managing Economic Instability

International businesses are constantly adjusting to economic shifts around the world. When you’re operating globally, new U.S. tariffs, a recession in Greece or a currency crisis in Argentina are not just news stories; they are potential market-changing events for your company.

Why Is International Business Law a Good Career?

A graduate certificate in international business law can lead to a wide variety of fulfilling careers. An in-depth understanding of international commercial legal concepts equips you to work in positions like legal support and advisory roles, or in corporate compliance, helping corporations navigate the regulations that govern their business. The business world needs professionals who are qualified to provide advice and counsel to corporations working in increasingly complex cross-border environments. Global regulatory compliance alone is a massive and growing field.¹⁰

Complex, in-demand jobs also tend to be well compensated. According to the U.S. Bureau of Labor Statistics, the median annual wage for compliance officers in May 2024 was $78,420.¹¹ Human Resources managers, another field that attracts candidates with qualifications in international business law, received a median annual wage of $140,030 in 2024.¹²

Any business that operates internationally needs the support of employees who understand cross-border commercial legal principles and regulations. A post-graduate qualification in international business law is a step toward a wide selection of challenging and rewarding careers.

Equip Yourself for Global Success With Pitt Law

The University of Pittsburgh School of Law’s Online Master of Studies in Law (MSL) in International Business Law and the Online International Certificate in Business Law are qualifications designed to help students advance or begin careers in international commercial law and law-adjacent roles.

For professionals seeking to gain knowledge and experience in international business transactions and managing cross-border disputes, these programs are an opportunity to develop expertise within a specialized and rapidly-evolving field. Explore our course curricula online, or contact us for more information about graduate school options at Pitt Law.

When you’re ready to take that next step in your career, schedule an appointment with one of our admissions outreach advisors or check out our online graduate application portal.