Vidyalelo
Commerce · Q254

Business Environment and International Business

Graduate and Post Graduate · Commerce · question 254

Q254

Globalisation is beneficial for firms because

A.
it opens up new market opportunities
Answer
B.
it protects them against foreign competition
C.
it cushions them from the effects of events in other countries
D.
it increases the risk and uncertainty of operating in a globalising world economy

Answer: Option A

Solution

Answer: Option A
Solution:
Globalisation is beneficial for firms because:

It opens up new market opportunities, allowing businesses to expand beyond their domestic borders and reach a broader customer base.

This expansion can lead to increased sales, revenue, and growth potential for firms.

Globalisation enables companies to access new resources, technologies, and talent from different parts of the world, further enhancing their competitiveness.

Therefore, Option A correctly highlights the primary benefit of globalisation for firms.