Abstract
In international business various factors are there which influence the success of any multinational enterprise. The international business environment consists of internal and external factors affecting the business at a given point of time, the cultural factors of the external environment are one of the factors affecting the performance of any international enterprise in case of cross border investment is concerned. This study focuses on as to how the cultural environment affects the vitality of the business unit. This study covers and analysis the degree of the impact which the cultural issues can have when doing the environmental scanning and forming business decisions.