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Growth: Companies goes international to venture in new market which translates into a growth in the market place and resources provision. A company has a wider range of resources in all the country it operates in;both material and human resources.

Diversification: to diversify in different market; reduces the risk of political and economic instability in one country.

Ideas: companies gain new ideas due to exposure to different cultural backgrounds that they face in different countries. This helps in improving management strategies.

Resources: to enjoy cheap labor and material available in other country which a company has ventured into.

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12y ago
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14y ago

1. local market too small

2. build more brand and shareholder value

3. reduce dependence on local market

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11y ago

1. To gain new customers.

2. To increase revenue.

3. To expand towards globalization.

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Q: What are good reasons for companies going global?
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