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10 May, 11:16

domestic firm that operates exclusivley within its borders of its own nations is unaffected by international business true or false

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  1. 10 May, 14:05
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    The statement is: False.

    Explanation:

    Even if a firm handles all its operations with domestic resources and its transactions rely uniquely upon domestic suppliers and consumers, the international events taking place can affect directly or indirectly the course of its business.

    The clearest example could be increasing free trade agreements that allow competitors the entry in the same market of the domestic business to products with relatively equal quality but lower prices. It represents a threat to domestic business profits.
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