Michael Porter believed that firms that have experienced intense domestic competition are more likely to design strategies that will allow them to successfully compete abroad.
Michael Porter believed that the competitiveness of a company abroad, depended on how well the company was able to compete at home. If the company had strong intense competition domestically and survived, then they would be more likely to survive abroad.
The logic for this was that if the company survived the intense domestic competition, they would design strategies that would allow them to survive the competition outside.
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