International Business Transactions cross international boundaries

Categories of organisation Categorisation by size Based on Revenues – Wal-Mart - $219.8 billion (2002) Based on Market Value – General Electric - $286.1 billion (2003) Based on profits – Citigroup - $15.3 billion (2003) Based on employees – Wal-Mart – 1.24 million people Based on foreign assets

Definitions of size Department of Trade and Industry – employees European Commission – turnover, balance sheet, employees Companies Act – turnover, balance sheet, employees – different limits Exercise 1 How should companies be defined by size, discuss

Categorising by sector The primary sector – extractive firms The secondary sector – producing and manufacturing firms The tertiary sector – service firms Exercise 2 Give 5 examples of firms for each sector

Categorising by type The Public Sector – Public Corporations, Government Departments, Local Authorities The Private Sector – Mutuals, PLCs, Sole traders and partnerships Voluntary Sector – charities, associations, clubs Exercise 3 In groups give possible examples of objectives or motives for each of the above

Examples of large UK based multinationals BP HSBC Holdings Vodafone Proctor & Gamble Lloyds