- Prospects for Higher Profits: International business gives scope to firms a whole new market to target. Firms can sell their products in markets where prices are relatively high and earn more profits.
- Increased Capacity Utilization: The products produced by a firm more than the demand in the domestic market can be sold to a foreign market with the help of international business. The capacity to produce more can be utilized with an expansion in the market.
- Prospects for Growth: Firms can improve the prospects of their growth by getting into the international market. The demand for a certain product in the domestic market is limited but in the international market, firms can reach new highs.
- Way Out to Intense Competition in Domestic Market: When the competition in the domestic market increases, firms can move out of the domestic boundaries to find a new market. By this, they can counter the intense competition in the domestic market.
- Improved Business Visions: Every firm’s vision is to grow, become more competitive, diversify and gain strategic advantage over its competitors. The international business allows firms to grow and build themselves with greater prospects.
International Business : Meaning, Scope and Benefits
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