International entrepreneurship is defined as exploring and discovering business opportunities internationally. It is process of conducting business activities beyond the domestic country. It helps entrepreneur to establish strong connections in abroad. International entrepreneurship involves more complex decision and activities than domestic business as it is influenced by many uncontrollable factors involved while doing business in other country. Global entrepreneurs should possess deep and through understanding of business and global markets.
Following are the various modes through which entrepreneur can enter into international ventures :
- Exporting - Exporting is a process of selling goods and services in domestic country to another country . It allows entrepreneur to access large market in short time but at the same time entrepreneur may loose its control over distribution of goods in other country.
- Joint venture - it is defined as to enter into a market by sharing ownership and management with other international entrepreneur. This method is useful as it involves sharing of physical, financial and technological resources. However there are chances that some conflicts can arise among entrepreneur as they may belong to different cultural, country etc.
- Outsourcing - it is cost effective strategy used by entrepreneurs to reduce cost by transferring some part of work to outside company instead of doing it itself. It also saves time.
- Mergers and acquisition - an entrepreneur may merge with or acquire a business operating in another foreign country.