Assessing Intertnationalisation

What are the advantages of accessing international markets for businesses?

Access to a larger market of customers, increased sales revenue, and profit while reducing risk if home market demand declines.

How does exporting help businesses?

Allows a business to access international markets by selling products abroad.

What is licensing in the context of internationalisation?

The process of providing overseas businesses with a license to sell and produce a company's products.

What is the purpose of alliances in international business?

Helps businesses access international markets by partnering to share risks.

What is direct investment in internationalisation?

Involves investing in facilities abroad, such as production centers, to access international markets.

What factors determine the attractiveness of an international market?

The market size and growth rate, political stability and culture, and level of local competition.

What is off-shoring?

The practice of moving part of a business's production process to an overseas manufacturer.

What are the advantages of re-shoring?

Re-shoring can increase quality due to closer monitoring of production processes.

What defines a multinational organisation?

A business with production facilities in more than one country.

How do cultural differences affect the management of international businesses?

Influences management as businesses must navigate various customs and practices in different countries.

What is the impact of legal differences on international business management?

Affect management as businesses must comply with the laws and regulations of each country they operate in.

How do markets and customer demands influence international business management?

They require businesses to adapt products and services to meet diverse consumer preferences and demands in different markets.