A Medium-Sized Hardware Manufacturer Wants to Become Deeply Involved in Exporting

question 167

Multiple Choice

A medium-sized hardware manufacturer wants to become deeply involved in exporting, but it does not yet wish to actually manufacture any of its products overseas. The company wants to maintain control over its sales while gaining experience in foreign markets. Which option would be best for this company?

• A) Licensing its products for sale in foreign countries
• B) Selling its products outright to an export/import merchant
• C) Establishing its own sales offices in foreign countries
• D) Developing totally owned facilities in a foreign market
• E) Hiring an export/import agent to assist with foreign sales

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Definitions:

Bayes' Law

A theorem using probability to update predictions or beliefs in light of new evidence.

Probability Tree

A diagram that shows the possible outcomes of a series of related probabilities.

Bayes' Law

A theorem describing the probability of an event based on prior knowledge of conditions that might be related to the event.

P(A|B)

The probability of event A occurring, given that event B has already occurred.