Various factors or forces impact a company's decision to go into a foreign market and affect the outcome of that decision. If a country or market has several factors in common with the original market, or with the other markets selected when choosing several markets, it will be easier to enter that market. If a U. S. software company that primarily creates and sells educational software wants to expand into two foreign markets, what factor commonalities (as found in your Learning Activities) should the company be looking for when deciding on the two countries? Provide two country suggestions and explain your reasoning.

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Business

Miriam Walters

3 January, 02:31

Various factors or forces impact a company's decision to go into a foreign market and affect the outcome of that decision. If a country or market has several factors in common with the original market, or with the other markets selected when choosing several markets, it will be easier to enter that market. If a U. S. software company that primarily creates and sells educational software wants to expand into two foreign markets, what factor commonalities (as found in your Learning Activities) should the company be looking for when deciding on the two countries? Provide two country suggestions and explain your reasoning.

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Kaylynn Buckley · Answer 1

The factor commonalities that the company should look out for when deciding on the two countries include

Culture Intellectual Property Protection Legal and regulatory Barrier Business Case

Explanation:

Various factors or forces impact a company's decision to go into a foreign market and affect the outcome of that decision such as

1. Culture

The cultural difference can make or mar the business in question. If the product or service doesn't add value or meet the desires of the international markets and how it differs before taking a plunge.

2. Intellectual property and trademark protection is very necessary to making sure the governmental authorities in the participating countries recognize and protect the businesses proprietary needs

3. Legal and regulatory barriers

Conducting business in foreign markets is achievable if the business is flexible enough to work within the local laws and regulation guidelines. When reviewing legal and regulatory commitments, it is highly advised that you seek experienced legal counsel for overseas business practices to identify hazards that may cause barriers for your business.

4. Business case

Perform a market study to understand the market's personality, economic feasibility, market trends, financial cost patterns and market forecasts

Do a financial feasibility study to determine if the international trade between the two countries makes financial sense.

A good example would b a US software company and a Chinese Hardware company.