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Potential unbalance in the competitive position in ukraine

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Reference no: EM132831915

Choose one correct option:

You are now the new CEO of an African company, wanting to invest in high tech production facilities in Europe. Being fully aware of the fact that your company lacks international experience and international marketing know-how in particular, your board still decided to go ahead with an investment in Ukraine.

You feel that Licensing could be a good entry strategy as it aloes the company to penetrate the Ukraine market with limited input of own resources, but at the same time the company can focus on other markets or focus on strengthening its international knowledge base.

Which of the following alternatives is a disadvantage when selecting Licensing as an entry strategy?

a) Cost of travel during preparatory visits to Ukraine

b) Cost of investing in the business relationship

c) Lack of control over the marketing function in Ukraine and nearby countries

d) Potential unbalance in the competitive position in Ukraine, given conflicting motives of the partners

Reference no: EM132831915

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