A domestic corporation is a corporate business that operates in its home country, as opposed to a global or foreign corporation, which operates in multiple countries. In the United States, a typical domestic corporation is able to operate in multiple states.
The tax structure for a domestic corporation is somewhat different from that of a global company. Also, domestic companies normally have to pay fees to import goods from foreign countries. A domestic corporation benefits from a more condensed marketplace and less complicated business practices, but it may miss out on opportunities to reach more customers and generate more revenue.