Answer:
The reason is that the expansion brings number of benefits to the company. It helps overcome trade barriers and increase its market share in a particular market. The revenue lost due to trade barriers is now open to the company when means the company can now capture the market by competing on prices. The companies expand overseas because many of the resources of the country are available to the companies at a very less cost and makes it possible for the country to sell its products at the same price and have a greater control over its costs.
The companies have to adapt changes that are mostly cultural changes and are different from that of their home country. If the company that sell US culture influenced clothes in Suadia Arabia then it will make zero sales because they don't such clothes in their home country. These are the cultural differences which the company faces and have to accept the changes because their is no other way to cope with this issue.
