Exam 12: Strategies for Analyzing and Entering Foreign Markets

Firms can reduce the uncertainty associated with sociocultural influences by focusing their internationalization efforts in countries that are culturally similar to their own.

LVMH uses all of the following entry methods in its international operations except ________.

What are the steps involved in foreign market analysis?

What are the major competitor characteristics that should be analyzed when conducting a competitor analysis?

Which country is the market leader in providing international business process outsourcing?

Carmichael Candies, a U.S. firm, is considering the idea of entering the EU market through an international franchising agreement. What is the main advantage to Carmichael if the firm chooses this entry method?

What is the difference between a B-O-T project and a turnkey project? What are the benefits of each to an international business?

The firm that leases the right to use intellectual property is called the ________.

Compare and contrast the three forms of foreign direct investment.

International franchising is most likely to succeed when the franchisor has ________.

Royalties are determined most commonly as a percentage of the sales of the licensed products.

Toyota's efficient manufacturing techniques and reputation for producing high-quality automobiles are examples of ________.

Explain the licensing process.

Which of the following best explains the success of the sogo shosha?

What are the third parties that specialize in facilitating imports and exports called?

Indirect costs are those the firm incurs in entering a new market and include costs associated with setting up a business operation.

Where are the world's most important international trading companies located?

Which term refers to sales made to either distributors or end-users located outside the firm's home country?

Compu-Mart, a U.S. firm, entered the Chinese market by buying a controlling interest in Three-Star, a Chinese electronics firm. What is the most likely disadvantage Compu-Mart will face as a result of this acquisition?

Which term refers to the sale of goods by a firm in one country to an affiliated firm in another country?