Question

Outline the advantages and disadvantages small businesses have in entering global markets.

Answer 1

As we all know that every coin has its two faces- head an tail

In the same way when small business trying to expand into the global market then there is advantages and disadvantages also and these are-

ADVANTAGES-

1. They get an opportunity to learn from global markets and explore new cultural and economic diversity

2. They will learn something new from existing players which will help them overall

3. They will get a diverse workforce from different backgrounds which will help them with better and different ideas

DISADVANTAGES-

1. They will get a severe competition from the existing players in the market and may face loss for it sometimes

2.Due to less availibilty of resources(like capital and labor), they have to face mass production scarcity

3.Seting in the new cultural and economic environment may take enough time.