Europeon Union businesses

European Union Businesses Name: Institution: While the European Union has enjoyed relatively high political stability, as the head of a firm in the United States it would not be advisable to acquire a firm within the union (Farley, 2013). This is due to the current performance of the EURO and the general economic crisis in the region. Other than the fact that the EuropeanUnion has had a rough patch with the introduction of the Euro and the economic crisis, there is also the element of high costs of operating companies in the region. This means that companies make very limited profits (Economics help, 2013). However, it is worth mentioning that this choice of not acquiring a company within the European Union will mean that, the advantagesaccrued from region will not be enjoyed. These include; political stability, trade incentives and free trade (Globalization101, 2013). As a Multinational corporation, one of the reasons as to why they may invest overseas is looking for new markets to sell their products. In most of the cases, investing in new markets means higher returns for the companies.They may also go out in search of cheaper resources, such labour, raw materials among others. They may also choose to invest overseas, in light of better trading efficiencies, such as free trade agreement (Frankel, 2013). A Multinational corporation may also choose to go overseas as ...