Motivations for internationalisation

Seminar paper from the year 2008 in the subject Business economics - Business Management, Corporate Governance, grade: 1,0, Royal Holloway, University of London (Management Institute), language: English, abstract: With the increased importance of multinational enterprise in modern industry there has been pressure on telecommunication organisations to follow the trend in foreign direct investment (FDI). Telefónica S.A. currently ranks fourth globally in terms of profit and second in terms of number of customers with operations spanning over five continents. This report investigates Telefónica's motivations for FDI, applying conceptual frameworks developed by leading management theorists. We will focus briefly on the motivations firms face to move away from a home market and then expand on the pull factors, drawing firms to new countries and markets.