What term describes a company founded with an international orientation, such as SoundCloud?

• A. Licensing agreement
• B. Global Stars
• C. Agglomeration
• D. Born Global Company

Answer: (D)

A born global company is one that builds with a global mindset from the start, aiming to generate a significant portion of its business across international markets right away or very early in its life. This fits SoundCloud, which was designed to reach music listeners around the world online from inception, using a scalable platform that works across borders. Traditional firms often begin serving a local market and only later expand internationally, whereas born global firms leverage digital tools and networks to operate globally from the outset. The other terms don’t describe this international-start approach: a licensing agreement is about rights to use intellectual property, agglomeration refers to a geographic clustering of firms, and “Global Stars” isn’t a recognized concept in this context.