Question

Name some of the elements that contribute to greater complexity for international organizations. How do organizations address this complexity? Do you think these elements apply to a company such as Spotify that wants to expand its music streaming service internationally? Discuss.

Answer 1

Three elements that can contribute to greater complexity are:

• Different legal systems in each country
• Difference in income in each country
• Cultural differences in each country

Step-by-step explanation:

A company like Spotify is affected by each one of this elements when trying to expand internationally. For example, Spotify has to take into account the legal differences in each country before starting operations: from intellectual property law, to corporation law, to criminal law even.

Spotify also has to cater to different income levels in each country: for example, by lowering the price of subscriptions, or simply by targeting only those who have a high enough income to pay for Spotify.

Finally, cultural differences are also important for Spotify. For example, in some countries like Japan, the average person listens to local Japanese music, so Spotify will try to offer more of that.