ABSTRACT
This chapter helps the reader to know the key decisions a company should consider when entering a foreign market and to evaluate the benefits, costs, and risks of different location choices. It focuses on major strategic directions and basic strategy types of international entry. It also recognizes the importance of timing and entry scale as well as exit and relocation decisions. If a company intends to explore international markets, it needs to carefully plan its entry. The chapter addresses the key decisions a company needs to consider for international entry. Different locations present different opportunities and risks, requiring the company to organize business activities accordingly. The potential opportunities of making profits in a location largely depend on its market conditions, such as market size, purchasing power, future growth, and local competition. When entering a foreign market, there are many costs to consider. Business risks may arise from the political, economic, and legal systems of a foreign country.
