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Earth-Rite Organic Foods (Scenario)

Question 45

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Earth-Rite Organic Foods (Scenario)
Earth-Rite Organic Foods Inc. is an MNE based in Sweden with subsidiaries located in numerous countries around the world. Earth-Rite has annual sales of $10 billion and employs more than 90,000 individuals worldwide. Earth-Rite currently dominates the organic food industry, but competitors are beginning to catch up because of a growing demand for organic produce. Earth-Rite is considering a collaborative venture with a small chain of organic grocery stores located in Brazil, a country where Earth-Rite has no stores.
-Which of the following would be the most important for Earth-Rite executives to determine when deciding whether to collaborate with the Brazilian grocery store chain?


A) Did employee empowerment lead to increased efficiencies across Earth-Rite's subsidiaries?
B) Would a collaborative venture allow Earth-Rite to internationalize rapidly?
C) What is the density of venture capitalists in Brazil?
D) Is employee empowerment culturally favored in Brazil?

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