20 Questions
What are the information sources for entrepreneurs?
SCORE, Small Business Development Centers, the U.S. Chamber Small Business Center, and various websites such as nasbic.org, nvca.org, and kauffman.org.
What are the three factors contributing to international expansion?
The opening up of controlled economies, self-interest of organizations, and the need for training and education in developing countries.
What are the industry and market information sources?
Plunkett, Frost and Sullivan, Euromonitor, Gartner, and Gale Directory Library.
What are the competitive company and product information sources?
Business Source Complete, Hoovers, and Mergent.
What are the government sources of information?
Census reports, export/import authority, UN Comtrade, NAICS, and Standard Industrial Classification codes.
What do trade associations and publications provide?
Valuable country-specific industry data and insights on trends, companies, and trade shows.
What is international entrepreneurship?
The process of conducting business activities across national boundaries, with activities taking place in more than one country.
Why does international business require a different approach than domestic business?
Due to differences in economic systems, currency valuations, government regulations, and other factors.
What is international entrepreneurship?
International entrepreneurship is the process of conducting business activities across national boundaries.
What are the activities necessary for ascertaining and satisfying the needs and wants of target consumers in international entrepreneurship?
The activities take place in more than one country.
Why has international business become increasingly important to firms of all sizes?
International business has become increasingly important to firms of all sizes because of globalization.
What is the difference between domestic and international business?
The difference between domestic and international business is the need to deal with differences in levels of economic development, currency valuations, government regulations, banking, venture capital, marketing, and distribution systems when creating a business strategy for a multicountry area.
What is political risk analysis?
Political risk analysis is an assessment of a country's political policies and stability prior to entry.
What are the critical areas for every entrepreneur in terms of a country's legal system?
The critical areas for every entrepreneur in terms of a country's legal system include property rights, contract law, product safety, and product liability.
What is one of the biggest problems for entrepreneurs in terms of language?
One of the biggest problems for entrepreneurs in terms of language is finding a translator.
What are some factors to be considered when determining the distribution system for a country?
Overall sales potential, amount and type of competition, cost of the product, geographical size and density, investment policies, exchange rates and controls, level of political risk, overall marketing plan.
What are some motivations for going global?
Profits, competitive pressures, unique product(s) or service(s), excess production capacity, declining home country sales, unique market opportunity, economies of scale, technological advantage, tax benefits.
What are some strategic effects of going global?
Physical and psychological closeness to the international market affects the way business occurs. Cultural variables, language, and legal factors can make a foreign market that is geographically close seem psychologically distant. Issues involved in psychological distance: the distance envisioned by the entrepreneur may be based more on perception than reality. Closer psychological proximity makes it easier for an entrepreneurial firm to enter a market. There are more similarities than differences between individual entrepreneurs regardless of the country.
What is the five-step approach to foreign market selection?
Develop appropriate indicators, collect data and convert into comparable indicators, establish an appropriate weight for each indicator, analyze the data, select the appropriate market from the market rankings.
What are some entrepreneurial entry strategies?
Exporting (indirect exporting, direct exporting), nonequity arrangements (licensing, turn-key projects, management contracts), direct foreign investment (minority interests, joint ventures, majority interest, mergers: horizontal merger, vertical merger, product extension merger, market extension merger, diversified activity merger), entrepreneurial partnering.
Study Notes
Identifying and Analyzing Domestic and International Opportunities
- Entrepreneurs face challenges in managing and expanding their ventures.
- To expand, entrepreneurs need to identify opportunities for domestic and international expansion, develop new management skills, and infuse new entrepreneurial spirit.
- Factors contributing to international expansion include the opening up of controlled economies, self-interest of organizations, and the need for training and education in developing countries.
- Successful entrepreneurship requires developing an idea that has a market with a need for the product or service.
- Opportunity assessment is best accomplished by developing an opportunity assessment plan with four sections.
- Information sources for entrepreneurs include SCORE, Small Business Development Centers, the U.S. Chamber Small Business Center, and various websites such as nasbic.org, nvca.org, and kauffman.org.
- Industry and market information sources include Plunkett, Frost and Sullivan, Euromonitor, Gartner, and Gale Directory Library.
- Competitive company and product information sources include Business Source Complete, Hoovers, and Mergent.
- Government sources of information include Census reports, export/import authority, UN Comtrade, NAICS, and Standard Industrial Classification codes.
- Trade associations and publications provide valuable country-specific industry data and insights on trends, companies, and trade shows.
- International entrepreneurship is the process of conducting business activities across national boundaries, with activities taking place in more than one country.
- International business has become increasingly important to firms of all sizes and requires a different approach than domestic business due to differences in economic systems, currency valuations, government regulations, and other factors.
Test your knowledge on identifying and analyzing domestic and international opportunities with this informative quiz. Learn how entrepreneurs can expand their ventures, factors contributing to international expansion, and how to assess opportunities for success. Discover valuable information sources, industry insights, and competitive analysis tools to help you make informed decisions. Test your understanding of international entrepreneurship and the differences between domestic and international business practices. Sharpen your skills and take your business to the next level with this engaging quiz.
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