International business transactions significantly increase risk.What new elements are introduced that result in increased risk?

Question

Quizplus · Accepted Answer

All responses are applicable. Contractual relations with a foreign party introduce cultural and linguistic differences, different legal systems and potential misunderstandings. Another legal jurisdiction creates uncertainty, unfamiliarity and the potential for conflicting laws. International rules add complexity and potential compliance challenges. All of these elements contribute to increased risk in international business transactions.

International Business Transactions Significantly Increase Risk