Some of the reasons organisations engage in international collaborations:
- Gain access to local knowledge of international markets into which they wish to sell.
- Obtain access to resources they would not otherwise be able to utilise – e.g. natural resources which may not be available in an organisation’s home country; or human resources with specialist knowledge which may be scarce.
- Focus on core business activities by outsourcing non-core activities to a country where there is a skilled, readily-available labour force with relevant expertise.
- Benefit from reduced labour costs by outsourcing to a country where living costs are lower.
(Source: The Open University, 2012).
(Source: Skillsoft Ireland Ltd, 2012).