1.      Regulatory control – The restrictions imposed by national governments by way of regulatory measures in their trade, industrial, monetary, and fiscal policies restrain companies from global expansion. The high incidence of import duties makes imported goods uncompetitive and deters them from entering domestic markets.

2.      Emerging trade barriers – countries are consistently evolving innovative marketing barriers that are WTO compatible. Such barriers include quality and technical specifications, environmental issues, regulations related to human exploitation, such as child labour, etc.

3.      Cultural factors – Cultural factors can restrain the benefits of globalization. For instance, France’s collective nationalism favours home-grown agriculture and the US fear of terrorism has made foreign management of its ports difficult and restrained the entry of the Dubai Port World.

4.      Nationalism – The feeling of nationalism often aroused by local trade and industry, trade unions, political parties, and other nationalistic interest groups exerts considerable pressure against globalization.

5.      Wars and civil disturbance – Countries engaged in prolonged war and civil disturbances are generally avoided for international trade and investment.

6.      Management myopia - A number of well-established business enterprises operating indigenously exhibit little interest in expanding their business overseas.