Reasons for Entering Foreign Markets and Selection of Host Country for Whitewater West

Running head: INTERNATIONAL BUSINESS
International business
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1INTERNATIONAL BUSINESS
Reasons for entering in foreign markets
 One of the major reasons in entering in the foreign markets is increasing the market
share. This is due to the reason that operating in the domestic market will restrict the
market share and revenue to a certain extent. On the other hand, the more foreign
countries will be targeted, the more will be the enhancements of potential market size
(Gnizy, Baker & Grinstein, 2014).
 Another reason of going abroad is enhancing the brand value. Business organizations will
not become a truly global brand if they continue to operate within the national boundary.
This is due to the reason that having more market presence in the foreign markets will
increase the brand identity and will help the organizations in becoming a global brand
(Laufs & Schwns, 2014).
 Another reason in going abroad is reducing the dependability from the domestic market.
This is due to the reason that, the more will the foreign presence of the organization, the
less they will depend on their home market. Thus, the associated risks will also be lower
for them because loss incurred from domestic market can be adjusted with the profit from
foreign markets.
 The last reason to go abroad is to optimally utilize the resources. This is due to the reason
that with having the presence in foreign markets, the intensity of the business operation
will be more and thus production process will get enhanced. This will require added
resources and will help in optimally utilize the available resources.

2INTERNATIONAL BUSINESS
Selection of the host country
It is recommended that Whitewater West should select India as the potential country for
their host country operation. This is due to the reason that India is currently the top most country
in terms of economic growth. Thus, the more will be the growth of the economy of the country,
the more will be the market and business opportunities for the business organizations (Lu et al.,
2014). In addition it should also be noted that Whitewater West deals with products of Water
Park. Thus it will require huge investments for the buyers of these products. In this case, country
with having the favorable growth rate will be the most eligible one for the operating. India with
having the annual growth rate of more than 7 percent as of 2018 will be the most potential
market for Whitewater West (Agarwal & Whalley, 2015). On the other hand, another reason of
selecting India as the chosen host country is the huge population. India is currently the second
largest country in the world in terms of population. Thus, the more population will help
Whitewater West to have more potentiality of having Water parks. This will also have favorable
impact on the business operation of them. India is also having a few names in Water park
industry and thus Whitewater West will find existing operators also along with the new ones.
Thus, from the social and economical perspective, India is selected as the chosen country for
operation of Whitewater West.
Potential product offerings
The most potential product offerings will be the water slide and fun showers. Water
slides are the most common types of rides available in any Water parks with having number of
varieties. It provides thrilling experiences to the customers. This product is recommended due to
the reason that as water slide is the moist common equipment in any Water park, the demand for