Assignment
This week we discussed different types of strategy for the international firm which included a discussion on various entry modes. Select any company of your choice and provide a short paper which details their strategy and what entry mode they use to gain access to foreign markets.
Your paper should be 3-5 pages.
Please select 1 from the left hand column to write about.
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Exporting
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Fast entry, low risk
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Low control, low local knowledge, potential negative environmental impact of transportation
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Licensing and Franchising
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Fast entry, low cost, low risk
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Less control, licensee may become a competitor, legal and regulatory environment (IP and contract law) must be sound
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Partnering and Strategic Alliance
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Shared costs reduce investment needed, reduced risk, seen as local entity
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Higher cost than exporting, licensing, or franchising; integration problems between two corporate cultures
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Acquisition
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Fast entry; known, established operations
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High cost, integration issues with home office
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