Which of the following can induce a firm to expand into the international arena?
A) Consumer preferences in the domestic market vary widely.
B) Average income level of domestic consumers is high.
C) The firm operates in an industry that caters to the mass market.
D) The firm finds that the domestic market is almost saturated.
E) The firm is yet to achieve economies of scale even though the domestic market has potential.

Question

Quizplus · Accepted Answer

When a firm finds that the domestic market is almost saturated, it may need to seek other markets to achieve growth. Expanding into the international arena could be one of the options for the firm to achieve growth.

Which of the Following Can Induce a Firm to Expand