Question

There are numerous external events that might motivate a firm to “go international. Describe five events, or reasons.

Answer 1

Going global can provide new revenue streams, yield higher investment returns and ensure long-term success for a company. The Internet makes it even easier for businesses to reach out to the world. You have to support the extra workload when you grow your business internationally. Hiring people is the solution and we know our country's strength lies in its ability to create jobs that will help people live and prosper. Taking one move to enter a new overseas market that your competitor has not entered could outstrip the domestic-only rival with stronger success in the business.

With an ecommerce site, customers around the world can eventually find you, now that they have made it easy to do so. Moving into the markets creating a heavy concentration of inquiries on your website. You might not have expected that a particular geographic region would be a mature market, but the people there are telling you that it is. Then there is the fun aspect of taking on a global business. You will not only be connecting with people from all over the world, but you will also have an opportunity to meet them personally to build the relationship and company. Treat it like an exciting adventure to learn.

One of the most common reasons for entering international markets is to increase profit margins. Once approaches for growth are used up at national level, the next step is often to try international growth. Distributing your goods in other countries makes your consumer base even stronger. Revenue also increases and escalates as you deliver compelling solutions and create loyalty across international markets.

The desire to boost sales is closely linked to the goal of improving profit margins. Even if business operators are generally satisfied with level of revenue, international expansion may further improve overall sales. The quest for international expansion is often about having a place in the foreign markets. Being the first to come into a new market will bring significant benefits.