Domestic market
Domestic market is the number of customers who buy or may buy products and services offered by companies within their own country [Cambridge Dictionary].
Some companies concentrate solely on their domestic market, while others may expand and move into other markets. Domestic trading may be more attractive to a UK firm because organizing aspects such as distribution and sales can be relatively simple. For example, a firm may expand to European Union countries. This can offer millions of potential new customers and bring logistical challenges and increased competition. The size of the domestic customer base may determine whether a company opts to expand and whether they believe a market for its products exists abroad [Capital.com].
The domestic market is essential for local supplies and products. It discloses the importance of domestic language, culture, rules, and currency in participating in it. It enhances local sourcing and domestic trade.
Businesses operating in domestic markets are incentivized and protected. For example, some governments provide tax incentives to businesses to create jobs and subsidies to encourage production and consumption. The governments also protect domestic businesses by imposing tariffs on imports. In essence, the government makes every effort to promote domestic businesses [WallStreetMojo].
Domestic market. WallStreetMojo. Retrieved from: https://www.wallstreetmojo.com/domestic-market/
What is the domestic market? Capital.com. Retrieved from: https://capital.com/domestic-market-definition
Domestic market. Cambridge Dictionary. Retrieved from: https://dictionary.cambridge.org/dictionary/english/domestic-market