Business refers to the Organization or enterprising entity engaged in commercial, industrial or professional activities. Business activities have existed since ancient ages and over the period it has evolved according to the changes in its environment. Earlier it was limited to mere exchange of goods in return for other and then with the change in conditions it has reached to a stage where people could buy a good or avail a service from a seller who is miles apart even without face-to-face interface.
In the era of globalization, the scope of a business is very large. There are several examples of businesses growing into huge enterprises from a small virtual venture which even lacked a physical existence in its early stages. Similar to the steps of a ladder, there are several stages like local business, regional business, national business, international business and global business.
Local business is the first stage of a business enterprise and it exists in the limits of a locality. A local area comprises of surrounding neighborhoods, adjacent areas where native community lives. The local economy is the most primitive form of economy. It existed since ages. It focuses on a particular locality and acts according to the culture and traditions of the society. The customer base of a local business is very limited as its area of operation is only that locality.
Regional business concentrates on different regions of a nation. A region is a unit on earth’s surface that has unifying and defining characteristics. It focuses on a regional area and provides a variety of commodities. It is a business between different areas within a country. Credit sales play an important role in this business. It helps in developing better quality infrastructure and transportation facilities
National business is one that operates within the borders of a particular country. It has a business and customer base across a nation and understands the culture of the country. Since a national business has more locations than a local or regional business, it can be more competitive with its pricing. A nation is an organized political union of its member states.
International business is business among different nations. Nations satisfy each other’s needs by supplying their surpluses and in return brings home the scanty resources. International means It means interaction between two or more nations. It is used as an analog to the word foreign.
It is a business which operates worldwide. It is the pinnacle of any business enterprise. Global means means entire Earth and not just one or two nations. It is synonymous to universal and worldwide. It has a wider scope than international business.
The basic idea to be imbibed from this topic is that no business becomes huge overnight. Just like human beings, a business also takes time to grow. Not all local businesses emerge out as global giants. Only those firms which could identify the changes in the environment and could act accordingly would be able to reach its pinnacle.