In this question, you will consider the main risks and rewards of international business for two firms. In the case of a large established domestic firm which of the potential rewards is greatest (new customers, lower costs, and diversification of markets) and which risk is greatest (political, economic, cultural)? In the case of a new entrepreneurial firm, which risks and rewards are greatest? Evaluate the reasons why the risks and rewards may (or may not) be different for the two types of firms.
