ACC 406 Lecture Notes - Lecture 11: Cultural Intelligence, Mccain Foods
Document Summary
Expanding a business internationally can create a lot of profit and growth within business but it can also go downhill. There are many risk factors to consider when expanding a business internationally. Climate plays a key factor for mccain food because harvesting potatoes can only be done if the weather cooperates. Many countries on the east side occasionally suffer from droughts, which can be a risk to. Another risk to consider in the process of expanding internationally is how bad or good the economy is in the country. Economy plays a huge role in crime rates. If mccain food decides to expand to a city with a bad economy, they might loose profit due to destroyed or stolen plants and products within the company. In addition, a slower economy can also lead to higher fuel costs which will negatively effect the company"s profit.