To be ahead of the competition -> large market share, cheaper labor or other raw materials. Corporate infrastructure finance, laws, some managerial issues, tax, accounting etc. Research and development design can locate different departments in other countries. Can make international alliances and investing and working together in the technology section. Partner can steal your ideas and must know the quality of law and regulation of foreign country. Procurement search for buyers or good candidates to work with. Know the different accommodation, modification or adaptation communication incur costs (expensive) and create economy of scales (big companies) Domino effect one country effects another country (markets are linked and investing abroad is simple) Corporate power exert their powers in other countries. consumers tend to enjoy good global products with good prices (unlimited access). Mnc are investing in first world country especially in technology. Fdi - directly invest in a host country.