Exam 9: Global Market Entry Strategies

A _________________ operation (with respect to wholly owned subsidiaries)is one which is started from scratch.

Under ___________ exporting,a firm sets up its own export department and sells its products via a middleman located in the foreign market.

The partnership established by Coca-Cola and Nestle to market ready-to-drink coffees and teas under the Nescafe and Nestea brand names is an example of which of the Following:

A major advantage of joint ventures,as compared to lesser forms of resource commitment such as licensing,is:

In global market entry,all of the following are entry decisions that must be made by management before entering an international market EXCEPT:

One of the most popular forms of cooperative exporting is _________________. With this method,the company uses the overseas distribution network of another Company (local or foreign)for selling its goods in the foreign market.

Companies that plan to engage in exporting have a choice between indirect, _________________,and direct exporting.

Cooperative exporting is also called:

Corporate objectives have no influence in choosing entry modes.

In a master franchise,the franchiser gives a master franchise to a local entrepreneur, who will,in turn,sell local franchises within a territory.

Wrigley,the U.S.chewing gum manufacturer,has not been interested in most Latin American markets because many of the local governments imposed ownership Restrictions.This would be an example of ________________ in markets.

Briefly explain the concept of joint venture.Additionally,give the benefits and drawbacks of entering into a joint venture.

___________________ has disadvantages.Chief among these are that the company has little or no control over the way their product is marketed in a foreign country, Lack of adequate sales support (among other support variables)can lead to poor sales, And bad decisions made by an intermediary can damage the corporate image.

When marketers are making the decision to enter an international market or not,the first step is generally to:

___________________ offers several advantages.Chief among these are the firm gets instant foreign market expertise,very little risk is involved,and No major resource commitments are required.

In ____________________,the company arranges with a local manufacturer to manufacture parts of the product or even the entire product.The marketing of the Product,however,is still the responsibility of the international firm.

Strategic alliances between strong and weak partners often work because of the synergy and learning that can take place between mentor and subordinate.

___________________ is a contractual strategy where the firm offers some proprietary assets to a foreign company in exchange for royalty fees.

The Oriental Land Company in Japan owns Tokyo Disneyland.This would be an example of an international _________________ agreement between the Oriental Land Company (owner)and Disneyland (receives royalties).

From a transaction-cost analysis perspective,market failure typically happens when transaction-specific assets become _________________ and therefore more high- Control situations are needed.