In the second submission, discuss with references and application of theory/concept, the opportunities and risk for the business in the host market. Ensure you justify your reasoning, use specific examples and include a minimum of 3 peer-reviewed sources. (so this essay has two components: risks and opportunities)
Read the rubric:
Find it on FLO.
Key words to find relevant peer reviewed journal articles:
risks in the host country, how a business overcomes risks in the host country, why a firm expands business in the foreign market (please use generic key words)
Or search by theory (e.g. diamond model)
Outline the initial draft:
Paragraph 1: A short intro
Risk arises from a firm's liability of outsidership (foreignness). Discuss the concept.
[cite peer-reviewed journal articles to define relevant concept(s)]
Differences between home and host markets increase a firm's liability of foreignness. Discuss differences in cultures/political or legal systems.
Provide arguments whether risk is high or low. If risk is high, then discuss how the firm managed risks in the host market.
[expand this section following the previous section]
Discuss why the host market matters. Find a relevant theory to discuss the opportunities/benefits in the market (e.g. comparative advantage theory, diamond model, Heckscher-Ohlin theory). Define the theory first.
[you can cite peer-reviewed journal articles to define the theory]
Now discuss opportunities in the host market using a relevant theory. Discussion should be specific for the firm in the relevant industry.
[based on the discussion made in the previous paragraph]
Paragraph 6: A brief concluding statement