Questions and Answers
What is a potential downside of licensing as an international collaborative entry mode?
Creation of a potential competitor in the licensee
What is a characteristic of franchising as an international collaborative entry mode?
Higher level of control over the franchisee
What type of alliance involves one firm handling marketing or distribution for another?
International strategic alliance
What is a characteristic of consortia as an international collaborative entry mode?
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What is the primary goal of international collaborative entry modes?
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What is the main difference between international strategic alliances and joint venturing?
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What is one of the reasons a company might consider going international?
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Which of the following is a motivator for a firm to go international?
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What might a company do to amortize the high costs of developing new products or processes?
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Why might a company follow its customers who are expanding abroad?
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What is one of the benefits of going international?
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What is the main characteristic of a Wholly Owned Subsidiary?
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What is the primary difference between a Wholly Owned Subsidiary and a Branch Office?
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Why might a company choose to engage in a joint venture?
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What is a common characteristic of foreign direct investment entry modes?
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What is the primary advantage of a Wholly Owned Subsidiary over a Joint Venture?
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What is a Branch Office typically used for?
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