Question

What are the benefits of global expansion for retailers such as Wal-Mart, McDonald's, etc. ? What problems might they experience, if any?

Answer 1

The benefits of global expansion for retailers such as Wal- Mart, McDonald's etc is that they get to expand their business beyond the boundaries of the nation of its origin. They get the chance to increase the number of customers they serve. This expansion of business on global level make their product a global brand and their rate of profit increases exponentially.

The problems they experience is to mould their products according to the needs of customers of different regions because people of different geographical areas have different preferences and taste. It is important for these giant companies to understand the differences of tastes and to accommodate these as well in order to get widely accepted.