BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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If your proprietary know-how of “green” processes is difficult to transfer to other firm, the most effective strategy would be
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Foreign Direct Investment
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Licensing
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Exporting
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Explanation:
Detailed explanation-1: -FDI is the most advanced and complex foreign market entry strategy. A form of collaboration between two firms to form a new, jointly owned enterprise is defined as a joint venture. Foreign direct investment is the least risky entry strategy.
Detailed explanation-2: -A firm will favor FDI over exporting as an entry strategy when: A. the costs of establishing production facilities are high.
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