The three main challenges that international firms may encountered are as follows:
|
PHYSICAL CHALLENGE |
|
Examples are: Natural resources, climate, location, terrorism, natural disasters, geographical barriers |
|
SOCIAL CHALLENGE |
|
Examples are: Culture, legal, different political systems, nationalization and economy |
|
COMPETITIVE CHALLENGE |
|
Examples are: Price, Firm’s size, market size, competitors, firm’s strategy, cost-effectiveness |
|
|