Expanding into Foreign Markets: Exporting, Franchising, Licensing
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Questions and Answers

Which strategy involves partnering with local entrepreneurs to establish store infrastructure using their funds?

  • Licensing
  • Exporting
  • Franchising (correct)
  • Joint venture
  • What is a primary advantage of exporting for businesses expanding into foreign markets?

  • No need for partners
  • Immediate market penetration
  • Lower financial risk (correct)
  • High level of control over brand image
  • Which approach may limit the level of control over brand image or market penetration?

  • Joint venture
  • Franchising
  • Exporting (correct)
  • Licensing
  • What do licensees pay in exchange for the rights granted to them by businesses?

    <p>Royalties</p> Signup and view all the answers

    In which strategy do franchisees adhere to the parent company's operation standards while using their funds for store infrastructure?

    <p>Franchising</p> Signup and view all the answers

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