CE8 H7 Flashcards

1
Q

What are the four different market entry strategy levels?

A
  • Direct investment strategy
  • Co-operative
  • Contractual Exporting
  • Exporting
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2
Q

What are two examples of contractual exporting strategy?

A

Management contracts and Licensing

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3
Q

What are two examples of a direct investment strategy?

A

Company acquisition and Wholly owned subsidiary

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4
Q

What entry method causes the highest risk but gives you the most control?

A

Direct investment strategy

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5
Q

What entry method causes the lowest risks but gives you the least control?

A

Direct exporting

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6
Q

What is a good explanation for an export management company (EMC)?

A

A specialized company who acts as the export department for a range of companies

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7
Q

What is a good example of Piggybacking?

A

An established international distribution network for one manufacturer used to carry products for another

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8
Q

What does it take to carry out direct exporting?

A

Commitment of the firm’s management and an approach emphasizing the skills base

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9
Q

What is a typical reason to start a strategic alliance?

A

If you have insufficient resources but you desire a quick pace of innovation

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