Market internalization advantages

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Market internalization advantages

Conditions that allow a corporation to exploit the failure of an arm's length market to deliver goods or services efficiently.

Market Internalization Advantages

Situations in which a multinational corporation is able to deliver goods and services in places where other companies cannot. A market internalization advantage allows the multinational corporation to use a market failure to its advantage to make a profit. Multinational corporations are thought to have the greatest market internalization advantages.