Question 1

Advantages of exporting are

Accepted Answer

A)  Low investments 
B)  Minimal marketing effort 
C)  Easy to implement 
D)  All of the above 
A)  Low investments 
B)  Minimal marketing effort 
C)  Easy to implement 
D)  All of the above

Question 2

Joint ventures are direct investments in which two or more companies share ownership.

Accepted Answer

A) True 
 B)False

Question 3

Why and when do international companies use joint ventures?

Accepted Answer

The answer of Why and when do international companies use...

Question 4

Greenfield investments are when a company builds its foreign operation from bottom up.

Accepted Answer

A) True 
 B)False

Question 5

Disadvantages of licensing are

Accepted Answer

A)  They require large investments 
B)  Lack of control of the foreign operations 
C)  They require additional personnel 
D)  They require additional marketing efforts 
A)  They require large investments 
B)  Lack of control of the foreign operations 
C)  They require additional personnel 
D)  They require additional marketing efforts

Question 6

The disadvantage of exporting includes higher transportation costs and logistical difficulties.

Accepted Answer

A) True 
 B)False

Question 7

Under a licensing arrangement, a firm grants rights to some process or other intangible property to another company for a specified period of time in exchange for a fee.

Accepted Answer

A) True 
 B)False

Question 8

What are some of the disadvantages of exporting?

Accepted Answer

The answer of What are some of the disadvantages of...

Question 9

The decision to choose a particular type of entry into a foreign market is dependent on the company's core competencies and its risk threshold.

Accepted Answer

A) True 
 B)False

Question 10

Exporting is an easy entry strategy and is used by

Accepted Answer

A)  Small companies 
B)  Medium-size and large companies 
C)  Multinational companies 
D)  Small, medium, and large companies 
A)  Small companies 
B)  Medium-size and large companies 
C)  Multinational companies 
D)  Small, medium, and large companies

Question 11

Wholly owned subsidiaries are the least risky form of entry mode.

Accepted Answer

A) True 
 B)False

Question 12

Disadvantages of exporting are

Accepted Answer

A)  Higher transportation costs 
B)  Require tedious and cumbersome home country government approvals 
C)  Require additional plant and facilities 
D)  Require learning a new language 
A)  Higher transportation costs 
B)  Require tedious and cumbersome home country government approvals 
C)  Require additional plant and facilities 
D)  Require learning a new language

Question 13

In comparing the various entry strategies, it appears that

Accepted Answer

A)  Exports are easy to set up 
B)  Joint ventures reduce the risk of the parent company 
C)  Wholly owned subsidiaries provide maximum control of operations 
D)  All of the above 
A)  Exports are easy to set up 
B)  Joint ventures reduce the risk of the parent company 
C)  Wholly owned subsidiaries provide maximum control of operations 
D)  All of the above

Question 14

One of the keys to successful joint venture arrangements is the selection of the foreign partner.

Accepted Answer

A) True 
 B)False

Question 15

Discuss the advantages and disadvantages of licensing/franchising agreements.

Accepted Answer

The answer of Discuss the advantages and disadvantages of licensing/franchising...

Question 16

A wholly owned subsidiary could be established by

Accepted Answer

A)  Investing in stocks of the local company 
B)  Acquiring a local company 
C)  Through licensing arrangements 
D)  Through government negotiations 
A)  Investing in stocks of the local company 
B)  Acquiring a local company 
C)  Through licensing arrangements 
D)  Through government negotiations

Question 17

A commercial invoice is a receipt for delivery of goods.

Accepted Answer

A) True 
 B)False

Question 18

Control of operations is one reason why companies prefer to have wholly owned subsidiaries.

Accepted Answer

A) True 
 B)False

Question 19

What is the biggest advantage of using Greenfield investments in international business?

Accepted Answer

The answer of What is the biggest advantage of using...

Question 20

When and why would you use export as an entry mode?

Accepted Answer

The answer of When and why would you use export...

Advantages of exporting are

Joint ventures are direct investments in which two or more companies share ownership.

Why and when do international companies use joint ventures?

Greenfield investments are when a company builds its foreign operation from bottom up.

Disadvantages of licensing are

The disadvantage of exporting includes higher transportation costs and logistical difficulties.

Under a licensing arrangement, a firm grants rights to some process or other intangible property to another company for a specified period of time in exchange for a fee.

What are some of the disadvantages of exporting?

The decision to choose a particular type of entry into a foreign market is dependent on the company's core competencies and its risk threshold.

Exporting is an easy entry strategy and is used by

Wholly owned subsidiaries are the least risky form of entry mode.

Disadvantages of exporting are

In comparing the various entry strategies, it appears that

One of the keys to successful joint venture arrangements is the selection of the foreign partner.

Discuss the advantages and disadvantages of licensing/franchising agreements.

A wholly owned subsidiary could be established by

A commercial invoice is a receipt for delivery of goods.

Control of operations is one reason why companies prefer to have wholly owned subsidiaries.

What is the biggest advantage of using Greenfield investments in international business?

When and why would you use export as an entry mode?

Introduction and Overview

International Business Environment-Culture

Economic and Other Related Environmental Variables

The Political and Legal Environment

International Trade and Foreign Direct Investments

Functional Integration

Production and Operations Management and Supply Chain Management

Outsourcing

International Finance

International Marketing

Human Resource Management and Organizational Structures

International Financial Management

International Accounting

Filters

Exam 6: Entry Strategies

Advantages of exporting are

Joint ventures are direct investments in which two or more companies share ownership.

Why and when do international companies use joint ventures?

Greenfield investments are when a company builds its foreign operation from bottom up.

Disadvantages of licensing are

The disadvantage of exporting includes higher transportation costs and logistical difficulties.

Under a licensing arrangement, a firm grants rights to some process or other intangible property to another company for a specified period of time in exchange for a fee.

What are some of the disadvantages of exporting?

The decision to choose a particular type of entry into a foreign market is dependent on the company's core competencies and its risk threshold.

Exporting is an easy entry strategy and is used by

Wholly owned subsidiaries are the least risky form of entry mode.

Disadvantages of exporting are

In comparing the various entry strategies, it appears that

One of the keys to successful joint venture arrangements is the selection of the foreign partner.

Discuss the advantages and disadvantages of licensing/franchising agreements.

A wholly owned subsidiary could be established by

A commercial invoice is a receipt for delivery of goods.

Control of operations is one reason why companies prefer to have wholly owned subsidiaries.

What is the biggest advantage of using Greenfield investments in international business?

When and why would you use export as an entry mode?

Introduction and Overview

International Business Environment-Culture

Economic and Other Related Environmental Variables

The Political and Legal Environment

International Trade and Foreign Direct Investments

Functional Integration

Production and Operations Management and Supply Chain Management

Outsourcing

International Finance

International Marketing

Human Resource Management and Organizational Structures

International Financial Management

International Accounting

Filters