A look at indicators when going global

In today's global market companies decide the best areas to invest in according to key indicators. As a part business strategic plan for Multinational Companies (MNC's) researchers evaluate per capita, joint venture possibilities; according to geographic locations (Kotabe & Helsen, 2014). The risk entering a new market stems from the political and economic conditions of the country. Corporations consider list of variables before deciding the scale of entry into the global market.  Company objective determine the scale of entry. Scale of entry is the measurement of resources involving monetary- humans a business use to enter into a global market (Kotabe & Helsen, 2014). As a rule of thumb companies invest more in areas that are well off as oppose to the poverty stricken. The larger scale entries are often reserved for developed regions. The company objective also determine its commitment of resources. A business has the opportunity to perform a small scale entry by licensing with established companies in the desired country. However the risk associated with this tactic is the company that is offering the license could be a future competitor (Kotabe & Helsen, 2014). Entering a new market the organization must consider competition along with the other variables mentioned if it plans to have a long term presence in the new market are the intentions. Reference Kotabe, M., & Helsen, K. (2014). Global marketing management (6th Ed). New Jersey, NJ: John Wiley