What is a key reason businesses pursue e-commerce activities internationally?

Study for the Arizona State University MGT302 International Business Exam. Prepare with flashcards and multiple choice questions, featuring hints and explanations for each. Get exam-ready with ease!

Pursuing e-commerce activities internationally allows businesses to operate globally without the constraints of maintaining a physical presence in every market. This approach significantly reduces overhead costs related to physical locations and allows companies to reach a broader audience. Through e-commerce, businesses can sell their products and services to customers across different countries and regions, leveraging digital platforms to facilitate transactions, marketing, and customer support. This global reach is vital in today’s interconnected marketplace, enabling businesses to tap into new revenue streams and meet diverse customer needs without the limitations imposed by geography.

In contrast, reducing product quality, limiting market reach, and decreasing operational efficiency are not viable business strategies. Companies typically aim to enhance product quality to attract and retain customers, expand their market to increase sales, and improve operational efficiency to optimize their resources and reduce costs. These factors collectively highlight the advantages of an e-commerce strategy focused on enabling global operations effortlessly.

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