Why organisations engage in international collaborations

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).


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