Exam 13: Country Selection and Entry Modes

Do you think joint ventures can lead to the loss of intellectual property? Give reasons to support your answer.

In the context of companies entering foreign markets, which of the following is likely to face a small liability of foreignness?

Briefly explain with an example how in global licensing, a licensor may risk a loss of core capabilities.

Linda wants to purchase a new car. She visits a few of the car showrooms in her city to select the brand of car that would be affordable to her as well as the one that she will be proud to own. After careful research, she decides to choose a car manufactured by a local brand. Although Linda had the option to choose cars from foreign brands that were priced much lesser than the car she chose from the local brand, she preferred the car from the local brand to the car from the foreign brand. The approach shown by Linda in this scenario exemplifies a(n) _____.

In the context of the modes of entering a foreign market, which of the following is a difference between nonequity modes and equity modes?

BuildTow, a construction company based in the country of Neora; Kchneidan Electric, an energy company based in the country of Rhothaa; and Ginnerad, a solar support company based in the country of Ramanbia have teamed up to build the largest solar park in Rhothaa for Neojen Powers, a Rhothaan-based renewable energy company. In the context of using internationalization entry tactics, these firms have entered a(n) _____ in this scenario.

Peter and Arnold are the co-owners of HKL Creations. Peter wants to enter into the international market by licensing the products created by HKL. However, Arnold is against licensing. Which of the following is a reason that Arnold can use to justify his viewpoint?

Zainne textiles uses the services of GoUTrade, an e-commerce firm, to handle its payment and delivery processes whenever it exports its garments to foreign nations. Which of the following forms of internationalization entry tactic has Zainne used when it chooses GoUTrade as its partner to accomplish its exporting activities?

Which of the following is likely to happen to ABC Inc, a successful company in the domestic market, when it is the first entrant into a foreign market?

In the context of entry tactics available for different entry modes, explain with an example how the ally strategy offers firms a hybrid mode of entry into foreign markets.

In the context of entry tactics available for different entry modes, which of the following is a difference between the "make" tactic and the "buy" tactic?

In the context of using internationalization entry tactics, which of the following is a difference between exporting and licensing?

In the context of entering a foreign market, which of the following exemplifies a greenfield operation?

In the context of companies entering foreign markets, which of the following statements is true of the liability of foreignness?

When Kione Systems entered the Eliptian market, it exported washing machines to Kielbher, an appliance company in Eliptia, without a label. Kielbher thereupon could brand and sell the washing machines under its label. In this scenario, the washing machines exported by Kione Systems are referred to as:

Loen Handicrafts is a company that has entered the international market through exporting. It wants to use the entry tactic of making. Which of the following is most likely true in the given scenario?

Saoros textiles, which exports its goods to foreign nations, lacks expertise in lobbying activities. It obtains a partner to handle these activities. Which of the following internationalization entry tactics is Saoros using in this scenario?

Deane Manufacturers produces its goods in its home country and then sells it in other countries. In the context of international expansion, which of the following entry modes is exemplified in this scenario?

LifeStem Pharma is a pharmaceutical company based in the country of Jortan. It licenses the drugs that it manufactures to Uron Medicine, a foreign company, based in the country of Kolea. In which of the following ways can licensing help LifeStem Pharma in this scenario?

In the context of a company entering a foreign market, identify a difference between licensing and wholly owned subsidiaries.