Exam 15: Entry Strategy and Strategic Alliances

Which of the following statements about small-scale entry is true?

_____ are the advantages associated with entering a market early.

Other things being equal, the benefit-cost-risk trade-off is likely to be most favorable in:

What are the two methods of entering foreign marketing using a wholly owned subsidiary?

Greenfield ventures are less risky than acquisitions in the sense that there is less potential for unpleasant surprises.

Compare and contrast licensing agreements and franchising agreements.

An advantage of exporting products to another country is that it:

An advantage of forming a strategic alliance is that it helps firms:

A firm can establish a wholly owned subsidiary in a country by building a subsidiary from the ground up, called the _____.

Costs that an early entrant has to bear that a later entrant can avoid are known as _____.

Which of the following is true of establishing greenfield venture in a foreign country?

_____ is pursued primarily by manufacturing firms and _____ is employed primarily by service firms.

The value an international business creates in a foreign market depends on the suitability of its product offering to that market and the nature of indigenous competition.

Brand names are generally well-protected by international laws pertaining to trademarks.

Which of the following is true of exporting?

Firms entering a market via a _____ must bear all the costs and risks associated with the venture.

Discuss the advantage of establishing a greenfield venture in a foreign country.

In many countries, political considerations make _____ the only feasible entry mode.

_____ agreements enable firms to hold each other "hostage," thereby reducing the risk they will behave in an opportunistic manner toward each other.

Which of the following is an advantage of franchising?