Greater profit potential than any other entry strategy

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Question

ABC Inc., a cycle frame manufacturer located in the United States, and Hindustan Parts LLP, a bike parts supplier in India, have both contributed finances and resources to create a new sales company together in India called ABC-Hindustan Parts LLP. The new company will source parts from the two parent companies and therefore have access to a strong product line. They believe that their combined expertise will ensure they have greater market penetration and greater profit potential than any other entry strategy. Explain the market entry strategy and discuss whether they can find a better model for their business.

Reference no: EM133258304

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