Which one of the following is NOT a reason why a company decides to enter foreign markets?

Which one of the following is NOT a reason why a company decides to enter foreign markets? 



A. To spread business risk across a wider geographic market base.

B. To capitalize on company competencies and capabilities.

C. To achieve lower costs through economies of scale, experience, and increased purchasing power.

D. To gain economic incentives offered by governments of developing countries wishing to expand industry and job creation.

E. To gain access to more buyers for the company's products/services.


Answer: To gain economic incentives offered by governments of developing countries wishing to expand industry and job creation.


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