interested in international expansion to repatriate profits. The degree of control over the international transfer of profits has a significant impact on whether a particular foreign market is attractive or unattractive to direct foreign investment (Keegan, 63).
W. Chan Kim and R.A. Mauborgne in Journal of Business Strategy explain that multi-national companies must recognize and address six major barriers to market entry. The barriers are: the need for product differentiation, economies of scale enjoyed by existing local competitors, switching costs for customers as well as a reluctance to switch, local capital requirements, access to local distribution channels, and cost disadvantages to the multi-national company that are independent of the scale of the operation (Kim, Mauborgne 33). Warren Keegan writes in Multinational Marketing Management when a company decides to go international, it has several options. One involves exporting, which requires a limited investment. Another involves licensing, which also requires a relatively low level of investment. Another opt
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