A Disadvantage of Entering Global Competition Through a Joint Venture

question 65

Multiple Choice

A disadvantage of entering global competition through a joint venture is that:

• A) it often aggravates political issues and incurs protectionist measures.
• B) the partner's ideas about local tastes and preferences may interfere with standardized operations.
• C) it involves the risk of losing control over technology to the partner.
• D) it is the most expensive and risky option for entering a global market.
• E) the local partner should bear most of the risks and costs involved.

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