A Drawback Involved in Using Cross-Border Strategic Alliances to Enter

question 90

Multiple Choice

A drawback involved in using cross-border strategic alliances to enter new foreign markets is that

• A) the foreign firm will need to make larger investments when compared to entering the new market on its own.
• B) some of the firm's proprietary know-how may be appropriated by the foreign partner.
• C) all potential business risks in the new market will have to be faced alone by the foreign firm.
• D) the shareholder value of the foreign partner will decline drastically.

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Definitions:

Physical Disability

A limitation on a person's physical functioning, mobility, dexterity or stamina.

Socialization's Agents

Individuals, groups, or institutions that influence the socialization process, teaching societal norms, values, and roles to members of a society.

The Family

A social unit consisting of parents and their children, considered as a group, whether dwelling together or not; the basic unit in society traditionally having a key role in socialization.

Social Hierarchy

Describes a structure within a society that ranks individuals or groups based on factors like wealth, occupation, or social status.