Podcast
Questions and Answers
What is the primary appeal of triad markets for emerging MNEs from non-triad regions?
What is the primary appeal of triad markets for emerging MNEs from non-triad regions?
- The large size and maturity of triad markets. (correct)
- Avoidance of domestic competition in their home markets.
- Access to inexpensive labor for manufacturing.
- The chance to primarily export goods back to their home country.
An MNE enters a triad market seeking specific technological expertise not available in its home country. Which strategic motive does this best represent?
An MNE enters a triad market seeking specific technological expertise not available in its home country. Which strategic motive does this best represent?
- Market diversification to reduce economic risk.
- Filling gaps in assets, resources, and capabilities. (correct)
- Exploitation of existing patents for new revenue streams.
- Establishing a regional headquarters for improved market access.
Which of the following exemplifies a non-triad-based MNE leveraging a triad market to enhance its brand recognition?
Which of the following exemplifies a non-triad-based MNE leveraging a triad market to enhance its brand recognition?
- Divesting less profitable business segments in its home country.
- Acquiring a well-known local brand within the triad market. (correct)
- Lowering prices in its original market to compete with triad-based MNEs.
- Building a new factory in the triad market to increase production volume.
An emerging market MNE lacks advanced R&D capabilities. How might entering a triad market help address this deficiency?
An emerging market MNE lacks advanced R&D capabilities. How might entering a triad market help address this deficiency?
A company from a non-triad region successfully reverse engineers a high-tech component from a triad market. What is the most strategic next step for them to take?
A company from a non-triad region successfully reverse engineers a high-tech component from a triad market. What is the most strategic next step for them to take?
Flashcards
Triad Markets
Triad Markets
Developed regions comprising North America, Europe, and Japan.
Attraction of Triad Markets
Attraction of Triad Markets
Large and established consumer bases in North America, Europe and Japan appeal to new multinational enterprises.
Asset Gap Filling
Asset Gap Filling
Seeking advanced technology, specialized parts, or well-known brands in Triad markets.
Resource Gaps
Resource Gaps
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Capability Gaps
Capability Gaps
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Study Notes
- For new multinational enterprises (MNEs) from non-triad regions, triad markets offer appeal due to their large size and maturity.
- These firms often target triad countries to acquire missing assets, resources, and capabilities.
- These include technological expertise, specialized components and established brands.
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Description
Multinational enterprises from non-triad regions find triad markets appealing due to their size and maturity. They often target triad countries to acquire missing assets, resources, and capabilities like technological expertise. Also, they seek specialized components and established brands.
