Answer the following questions in one paragraph (about 50 words)
each:
1.) What additional risks and rewards exist only in comparison of
international business relative to a purely domestic
business?
2.) What facet of international business (such as legal,
accounting, cultural, or economic) exists only because the business
is international instead of purely domestic?
3.) How can a core competency and comparative advantage benefit
you?
4.) Do you receive the best value in the domestic market in
acquiring the product or service you provide, or should you look at
an international supply chain?
5.) Is your best market the domestic market, or are there better
opportunities elsewhere?
Please include at least one external source to support your answers.
1. There are foreign exchange risks, Other countries central banks policies changes risks. Since there are high risks , there are higher probability of rewards as higher returns and foreign exchange favourable movements.
2. Global and foreign exchange factes which could be said to economic facets which makes it completely international.
3. Core competencies are the uniqueness of a business that helps it to get a competitive advantage over other players in the market .It helps in maintaining a larger market share .
4. You should always look for international exposure as it provides with many alternatives and there are probability that you'll get better value for your business
5. My best market is indian markets as it is highly under penetrated in terms of development and it is an emerging market so possibility of growth is very high.
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