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Explain some of the forces leading companies to pursue international operations

Business Dec 24, 2020

Explain some of the forces leading companies to pursue international operations.

Expert Solution

Companies have some forces that lead them to pursue international operations. First, when there is too much competition in domestic markets; thus, they seek to expand to international markets. Secondly, low production costs or labor costs in international operations might force companies to pursue global operations. Thirdly, companies might want to serve their primary customers better, which might be more possible if they pursue international markets. Additionally, they might want to expand the markets to increase sales or the customer base.

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