How the government influences the work of the businesses?

Asked on 06.12.2018 in All Questions.
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(Top Tutor) Studyfaq Tutor
Governments are one of the main reasons a business may decide to locate in one country rather than another. Where all the rest of the factors outlined are more concentrated on specific areas within a country, the government can have a great effect on the country itself in which they decide to situate. There are many protectionist policies by local governments in place to help protect trade and exports/imports in their country. These include tariffs (taxes on imports), quotas (numerical limits on imports), subsidies (money given by the government to businesses to expand when it is in their interest to do so) and red tape (a specific set of requirements that need to be...
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