Correct option is B
The correct ascending order of stages of international development is:
(B) Domestic company → (E) Domestic company with export division → (A) Primarily domestic company with international division → (D) Multinational corporation with multidomestic emphasis → (C) Multinational corporation with global emphasis
Let’s understand each step:
Domestic company (B): The firm operates only in its home country and has no international involvement.
Domestic company with export division (E): The firm begins international operations by exporting products via agents or export departments.
Primarily domestic company with international division (A): The company creates a specific division to handle its growing international business.
Multinational corporation with multidomestic emphasis (D): The company operates in multiple countries, adapting products/services for local markets (high local responsiveness).
Multinational corporation with global emphasis (C): The company seeks global integration, standardizing its products and operations across borders.
This progression reflects increasing commitment, structure, and integration in international operations.
Information Booster:
Domestic company is the starting point, focusing only on internal markets.
Exporting is the first step toward internationalization—low risk, low commitment.
Creating an international division signifies formalizing international efforts and allocating resources.
A multidomestic MNC decentralizes decisions to adapt to local markets.
A global MNC integrates operations worldwide, seeking cost advantages and global branding.
This sequence shows the evolution from no international activity to full global strategy.
Each stage involves greater investment, complexity, and coordination across nations.
