Answer to Question 1
The development of small businesses is often hindered by government regulations. Some countries impose high regulations or fees on small businesses. These regulations can affect the startup time as well as how the business is run. Regulations related to job protection are also tougher in other countries, making it difficult for entrepreneurs who have employees.
Answer to Question 2
The lowest level of commitment to international marketing is indirect exporting. The highest level of commitment is to use the company's resources and set up a wholly-owned subsidiary. Before a company pursues any international entry strategy, it must carefully evaluate its mission, alternative strategies, and the environmental factors that create opportunities or pose threats.