Topic
Expansion of Firms Beyond Borders
Instructions
What are some of the obvious and subtle reasons that firms expand over borders?
What are some of the challenges that come with that expansion?
Answer preview
Firms expand beyond borders for different reasons. Before making decisions to cross borders, it is helpful for firms to understand the different entry strategies, including, franchising, licensing, FDI alliances and exporting (Dool, 2017). First, these modes of entry seek to leverage opportunities presented by new markets across borders. For example, a country can generate products that are needed in another country, and vice versa. Discovering such opportunities means that firms create strong partnership with other companies to tap into the widened markets (Welingkar Hybrid Management Programs, 2017).
Word count: 373