There companies. I believe that you always need

There are several reasons why companies engage in
international business. I think the main reason is for company growth. Another reason
for engaging in international business is to widen your customer base which
would increase sales for the company. By increasing sales, you are also
increasing the company’s profits. For example, a movie like Star Wars: The Last
Jedi costs millions of dollars to produce; however, as more people watch the
movie, the production cost per viewer decreases. There will be more competition
so companies could raise their prices in some markets. You are also minimizing
your company’s risk when you expand internationally. It is similar to
diversifying your portfolio, you are spreading the risk across countries
instead of putting all your eggs into one country. If one country’s market
crashes, you will still be fine because the other countries your company is
doing business in are fine. Companies would have short-term and long-term
security by engaging in international business. You would also have access to
more resources, either new resources that you cannot get in the United States
or cheaper alternatives for the resources you are already using. These
resources could be anything from minerals to fabric. By engaging in international
business, companies also will have more alternatives for cheaper labor. Whether
it is for manufacturing, customer service, tech assistance, or other types of services,
there are always people looking for work. Companies will also come up with new
ideas for products or services when they expand internationally because of the
new cultures and backgrounds they are introduced to. Other cultures might need
something that the cultures in the United States do not need or already have. Engaging
in international business also provides challenging business opportunities for
companies. I believe that you always need to be challenged so that you can
grow. Companies don’t need to be complacent where they are now. If they are,
then they are more than likely going to be left behind.