Kosovare Mustafa Sadiku


With the rapid development of technology, different businesses, in addition to operating in their country of origin, now have much easier to establish this activity in different countries. Certainly, there are many external and internal factors that affect the performance of businesses and we, in this paper are focused on socio-cultural factors that affect the performance of the international business in terms of literature review. From the review of various literatures, we have come to the conclusion that the key factors that affect the performance of an international business are: 1) Culture; 2) Language; 3) Level of education, 4) Customer preferences. Socio-cultural aspects are one of the most important environmental factors that have a considerable impact on international business economic activity and performance. Furthermore, managers of foreign subsidiaries have no control over socio-cultural issues. The goal of this research is to explain how certain socio-cultural aspects influence the performance of overseas subsidiaries. The contribution of the article is shown in the determination of essential socio-cultural characteristics that international business considers in order to evaluate the actual performance of foreign subsidiaries and their management, based on the acquired results.

JEL: L20; L23




international business (IB), culture, language, level of education, customer preference

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