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Advantages And Disadvantages Of Creating A Business

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Creating a corporation requires knowledge about all laws and regulations in the country of your choice. Usually, you need many approvals from different government agencies before you can do anything. I can ensure, it will be very difficult involving bureaucracy and patience. Probably you need lawyers and experts, supporting and advising you with all formalities. It is very essential when selecting the country and location of your corporation that required skilled and qualified labor is available. Another critical point is the cost of labor that will influence the cost of your product or service, speak profitability. According to Lapowsky (2010) before you start your corporation in any country, you must build connections and relationship to influential people supporting you (chap. 4). Khanna, Sinha and Palepu (2014) stated “Successful companies develop strategies for doing business in emerging markets that are different from those they use at home and often find novel ways of implementing them, too” (chap. 5).
Consider all logistical challenges, transportation needs and products you are relying to when choosing your location. Also, government imposed restrictions and inspections that you will be subject for. Furthermore, you should know clearly what kind of business type you want to register for example Joint Venture or wholly foreign owned enterprises. Both have advantages and disadvantages. Now you can develop a business plan, organize all necessary documents and hire
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