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Differences in income levels and income distribution among nations significantly impact international businesses by influencing market demand and purchasing power. Countries with higher income levels typically offer larger markets for premium products, while those with lower income levels might present opportunities for cost-effective goods and services. Additionally, income inequality within a nation can create niche markets for luxury items or affordable alternatives, affecting pricing strategies and marketing approaches. Understanding these dynamics is crucial for businesses to tailor their strategies effectively in diverse international markets.

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4d ago

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