Which Entry Mode Gives a Multinational the Tightest Control Over

question 23

Multiple Choice

Which entry mode gives a multinational the tightest control over foreign operations?

• A) Exporting from the home country and letting a foreign agent organize local marketing
• B) Licensing
• C) Franchising
• D) Entering into a joint venture with a foreign company to set up overseas operations
• E) Setting up a wholly owned subsidiary

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Definitions:

Ethical Conduct

Behavior that is in accordance with recognized principles of right and wrong, guiding professional and personal actions.

Competitive Advantage

The attributes or conditions that enable a company to outperform its competitors.

Traditional Femininity

A set of attributes, behaviors, and roles generally associated with girls and women, which are considered traditional or typical within a society.

Assertiveness

The quality of being self-assured and confident without being aggressive, in the expression of one's opinions and needs.