Question

1. Why do companies frequently expand their business operations into other countries?

Answer 1

International business laws make it profitable for big businesses to operate in multiple countries.

Explanation:

1. Companies expand their operations to other countries when either the production cost, labor cost or tax rates are lower in the other county and makes overall business more profit.

2. Other countries often provide tax exemptions to investors to set up in their countries which is very profitable. It also opens new avenues and markets worldwide, attracting more clients and costumers.

3. International business makes products from different parts of the world into the regular life of people in open market countries.