BACHELOR OF BUSINESS ADMINISTRATION

BUSINESS ADMINISTRATION

BUSINESS ENVIRONMENT

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
If your proprietary know-how of “green” processes is difficult to transfer to other firm, the most effective strategy would be
A
Foreign Direct Investment
B
Licensing
C
Exporting
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.

There is 1 question to complete.