Multinational Management: Small Business

Multinational Management Student’s Name Institution Course Date MULTINATIONAL MANAGEMENT Question 1 As a small business goes international through incremental stages instead of as a global start-up, what unique benefits does it have? Can you identify any obstacles? As small business goes through going global, incremental stages enables the company to manage growth in a sensible manner by controlling the process organically. The company is allowed to handle the challenges of a global start up and take every stage as s planning process (Amabile, & Kramer, 2011). A flexible plan enables international growth because global economies tends to adjust rapidly as new political structures come up and a good business plan is no longer effective in the new political regime. The company also faces a lot of challenge in spending a lot of capital on the foreign websites that deals with the imports and exports of a country. Question 2 The use and benefits of the Internet are not limited to multinationals that are Fortune 500 companies. How can small businesses that are going international benefit from the Internet? Internet plays a very important role in global markets and small businesses as well. Information carries information and commerce as well. Internet enables business to reach consumers worldwide. Small business can use the internet for product development whereby the internet will allow managers to access any new product and technological developments that will enable the company improve their product and compete with large companies (Walter, & Howie, 2012). Small businesses can also use the internet in exchanging information and marketing. This will enable the small business to reach consumers without incurring a lot of costs. Lastly, the internet will enable small business to monitor their activities and also pursue a lot of opportunities while the managers are still in control of the businesses. Question 3 What roles do you think small businesses play in most economies? Small businesses are very important because they provide a lot of opportunities for the entrepreneurs in the economy. They give back vitality and providence to the owners. They are integral part of the local economy because they assist in creating financial interdependence that foster broad based prosperity. They keep the local economies strong because they produce more patents as compared to large corporations (Davison, 2011). They also bring growth and innovation in the community where the business is established. Additionally they assist in stimulating economic growth by providing employment opportunities to the people who are not qualified to be employed in large corporations. Question 4 What impacts do you think small businesses and entrepreneurs have on national economic growth and development? Why should multinationals consider entrepreneurship levels in target countries? Entrepreneurs are considered the national assets of an economy and they are supposed to be motivated and remunerated. Entrepreneurs can change the way people work and live. Through their innovations they are able to improve the standards of living and create wealth with their entrepreneurial ventures. They also create jobs. Entrepreneurs create new business and form new ...