How should you enter a new foreign market? Learn how to manage liability of foreignness and how to decide whether to use a local intermediary. Transcript Companies decide to move abroad for many reasons, including to pursue markets, acquire new resources, and reduce risk. The decision to move to a new foreign market, however, introduces a whole host of important questions for the company. One of the first questions you will want to consider when entering a new market is how y

From increased revenue and a competitive advantage, to decreased costs and access to talent pools, there are numerous advantages to international expansion. However, business leaders must be careful not to jump the gun on global growth. Opening operations in a new country without being fully prepared could quickly take funds away from the bottom line. Gregory J. Newell, chairman of the International Commerce Development Corporation (ICDC), advises, “we have to look at the pro

In fiscal 2018, foreign currency exposure decreased Alphabet’s revenues by $832 million; a 0.6% decrease in total revenues, but a 4.5% decrease in year to year sales growth. While the impact of foreign currency may at first appear small, the changes can lead to large implications when they significantly alter the ratios and values that are important to investors. And these changes are certainly not isolated to global giants like Alphabet. In 2016 almost 30% of U.S.-based comp

Transcript In a PEST Analysis we audit these factors to gain insights about the company’s environment. Just as Porter’s Five Forces helps us evaluate the attractiveness of a specific industry, a PEST analysis helps us evaluate the attractiveness of the larger global environment in which that industry operates. Let’s explore these factors in depth. First, political factors refer to laws, property rights, patents, political stability, and so forth. Laws can drastically impact t