Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

The main reasons why companies decide to internationalize their activities - Essay Example

Comments (0) Cite this document
The presence of emerging competition in many different markets and industries is one rationale for why companies seek internationalization strategies. The writer of this essay analyzes the main reasons why companies decide to internationalize their activities…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER92.6% of users find it useful
The main reasons why companies decide to internationalize their activities
Read TextPreview

Extract of sample "The main reasons why companies decide to internationalize their activities"

Download file to see previous pages Porter (2011) identifies how paramount the risks are as they are associated with new entrants in a market when entry cost barriers are reduced or even when technological advancements make it easy for new entrants to replicate competitive products and infuse new competitive forces in the market. Growth in the competition after a business’ products are in the maturity stage along the product lifecycle and when markets are becoming saturated with emerging competition, it is no longer sustainable to maintain the presence in the domestic country. Instead of attempting to diversify the business’ product portfolio, which is not always achievable using existing resources and existing knowledge, firms will seek new foreign markets as an opportunity to build revenues and remove competitive risks. In this capacity, they can maintain the same operational costs associated with product manufacture and create a new demand with foreign consumers as a means of sustaining its profit margin. Furthermore, sourcing and manufacturing are now becoming a more globalised function as industry-wide benchmarks and standards are being established (Cavusgil, Yeniyurt and Townsend 2004). This means that supply chain networks are becoming more homogenous on a global basis which makes it easier for competition in a certain industry to gain the same type of procurement advantages related to cost and distribution. As emerging markets establish the distribution networks and tangible infrastructures necessary to reach foreign markets, competitors are able to benchmark supply strategies and erode any competitive advantages once achieved by another competitor. Further, the ability of competition to achieve replicable value-added activities in procurement drives another competitor to seek new opportunities to regain competitive advantages. Internationalisation, as it is related to procurement strategies, provides new opportunities to innovate new product development. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“The main reasons why companies decide to internationalize their Essay”, n.d.)
The main reasons why companies decide to internationalize their Essay. Retrieved from
(The Main Reasons Why Companies Decide to Internationalize Their Essay)
The Main Reasons Why Companies Decide to Internationalize Their Essay.
“The Main Reasons Why Companies Decide to Internationalize Their Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF The main reasons why companies decide to internationalize their activities

Main Reasons why Humans Remain Earthbound

...Section/# A Discussion and Review of Some of the main Reasons why Humans Remain Earthbound Introduction: Since thedawn of time, mankind has looked to the heavens and imagined the ultimate question of whether or not we are alone. This preliminary question of astronomy has predate the very first telescope, the basic understanding of how planets revolve around the sun, and/or the fact that the celestial bodies are themselves not a representation of a pantheon of Gods. As such, as science has grown and developed throughout the years, one of the primal questions that have been born from this original question of the solitary nature of life within the universe is a better understanding and...
7 Pages(1750 words)Essay

Main Reasons of Market-Garden Operation Failure

...OPERATION MARKET-GARDEN INTRODUCTION The Allies wanted to end the war in Europe as quickly as possible. In the fall of 1944, General Eisenhower decided to back Field Marshall Montgomery’s plan to breach the Rhine and defeat Germany by Christmas 1944. This plan, Operation Market-Garden, was very risky and very bold, traits that Field Marshall Montgomery was not known for. Giving into pressure from London and Washington D.C., Eisenhower decided to approve Montgomery’s plan versus pursuing the “broad-front” approach he preferred (Creveld 1982, 54; Harcelode, 2000, 68). In the end, Operation Market- Garden failed for a number of reasons including logistical problems, failed Allied...
20 Pages(5000 words)Essay

(you decide)

...organization and it main aim is ensuring that there is total abolishment of racism in the society and instead people to embrace unity and togetherness with mutual respect existing among individuals and the society. The organizations service to the society has its basis on education. First, the society is educated on racism and it effects, then a process to counter the effects of racism is established, to help individuals change from their past behaviors’ and are empowered to interrupt the Racism attitudes and the cycles. Children all over Huston and throughout the nation get counseling from the effects of bullying. All this arises from negligence, ignorance and misunderstanding. The workshop is pushed at helping people...
2 Pages(500 words)Essay

You Decide

...Recommendation on Inflation and Unemployment Recession is a domino effect problem, meaning that it always leads to other troubles in the economy. After an analysis of the case and the recommendations made by the panel of experts, the following instructions were made in order to help to reduce the unemployment and inflation rates. Lee’s recommendation on reducing government spending and increasing taxes is a valid recommendation, since it will help in reducing the budget deficit being faced. Fiscal policy is focused on influencing the aggregate demand side in an economy; therefore, the government should focus on reducing spending and in turn increase the taxation rate (Epstein, 2007). This will help to ease the inflationary... on Inflation...
1 Pages(250 words)Assignment

You Decide

...Online Branding Proposal for Premier Portraits The Target for the new branding message The firm has various groups of people as potential audiences for their branding messages. For this premium service the company is targeting the high end professionals and corporate executives who are willing to purchase these portraits at a premium price as opposed to the normal pricing. This group of people has been arrived at because of the kind of service being launched. These people are the only ones who are in a position to afford the service. In selecting a target audience it is important that such a decision is made considering the kind of service and the likely market segment putting in mind their preferences and buying behavior...
2 Pages(500 words)Coursework

You decide

...Sociological Analysis of a Deviant Act I went to a restaurant, and ordered Pina Colada. Once the waiter brought the drink, I poured it into my plate,and started sipping it directly from the plate. To do this, I took the plate in my hand and using both hands, I brought it to my lips and sipped the drink. I did not just sip it, but also I made strong sipping sounds as well, like “shhssssrrup…shhssssrrup” so that I get noticed. The people around me showed different reactions. One thing that was common in all reactions was that none of them was encouraging. Some got irritated and passed me nasty looks, others put their hands over their ears to keep the sound from approaching them. One person sitting next to my table actually stood... Analysis of ...
2 Pages(500 words)Essay

You Decide

... doctor. In addition, the hospital and its patients and research will benefit from the $2 million that will be given by Dr. Doe for the transplant. That means that the hospital can provide more pro bono care to those who needs medical attention but does not have money to pay hospital bills. The money will also benefit hospital research that will improve medical service delivery in the future. Having stated all these criteria in determining who among the patients should get the transplant, I therefore have decided that the young girl Lisa will be the patient who will receive the heart transplant.... of John Stuart Mill’s utilitarian ethical philosophy in determining heart transplant beneficiary I wish there was enough heart to give all...
2 Pages(500 words)Essay

Analyze the main reasons why companies decide to internationalize their activities

...Why companies decide to internationalize their activities Why companies decide to internationalize their activities From the research conducted by Kleinert (2004), internationalization relates to creating networks through penetrating into new markets by increasing commitment to resources in varying networks, integration by coordinating the various networks, and by extension through investing in new networks. From the case study, Chabros International Group is one of the companies that have gone through internationalization; Wal-mart is yet another example. In the modern day business world, a lot of firms have resulted to operating internationally s opposed to locally. With the rush to globalize corporations on the increase... , it is of...
2 Pages(500 words)Assignment

Three main reasons

...Your full September 24, Why College Matters The biggest reason Delbanco describes in his article regarding why college still matters in the lives of students is the economic one. A person with a college degree or higher earns more than one with a high school degree only, because a college degree holder is considered to be more skilled and knowledgeable than a high school degree holder. That is why college degree has replaced the high school degree in terms of minimum qualification needed for job in labor market. The second reason why college matters is the political one in Delbanco’s view. An educated citizenry is crucial for a republic to flourish and make progress, because the opinion of the people rates high when it comes... to...
1 Pages(250 words)Book Report/Review

You decide

...These are exercises that cant be maintained a strategic distance from on the grounds that they happen commonly, for example, the emission of a fountain of liquid magma transmits Co2, vapor gasses, vaporizers in plenitude to the air. An alternate regular reason for climate change that emanates nurseries gas is the Ocean Circulation which radiates Co2 into the environment. The Arctic tundra and wetlands additionally transmits methane (Ch4) and Co2 into the environment when it softens. The Suns radiation is an alternate regular reason for climate change in light of the radiation variability. Researcher has finished up from different proof that all the common reasons are insufficient to...
2 Pages(500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic The main reasons why companies decide to internationalize their activities for FREE!

Contact Us