What Global Market Entry Strategy Involves Slightly More Risk Than

question 154

Multiple Choice

What global market entry strategy involves slightly more risk than indirect exporting for a company but also opens the door to increased profits?

• A)direct exporting
• B)licensing
• C)cooperative
• D)joint venture
• E)direct investment

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Definitions:

Unfavorable Effect

Occurs when actual costs exceed budgeted costs, or actual revenues are less than expected, negatively impacting financial performance.

Trained Workers

Personnel who have received specific training to perform their job duties effectively and efficiently.

Variances

Differences between planned or standard costs and actual costs, analyzed to understand and manage costs within financial planning.

Direct Materials Purchases Variance

The difference between the actual cost of direct materials purchased and the expected (or standard) cost of those materials.