Why is direct investment considered risky

Reference no: EM131803628

Question: Identify the various ways of entering the global marketplace. Firms use the following strategies, in descending order of risk and profit, to enter global markets: direct investment, joint venture, contract manufacturing, licensing and franchising, and exporting.

Questions: 1. Candartel, an upscale manufacturer of lamps and lampshades in America, has decided to "go global." Top management is having trouble deciding how to develop the market. What are some market entry options for the firm?

2. Explain how the U.S. Commercial Service can help companies wanting to enter the international market.

3. What are some of the advantages and potential disadvantages of entering a joint venture?

4. Why is direct investment considered risky?

Reference no: EM131803628

Questions Cloud

What is meant by having a global vision : Discuss the importance of global marketing. Businesspeople who adopt a global vision are better able to identify global marketing opportunities.

Discuss the impact of multinational firms : Discuss the impact of multinational firms on the world economy. Multinational corporations are international businesses that regularly operate across national.

Calculation of at least two of the mixture properties : Describe and perform a sample calculation of at least two of the mixture properties presented in the article

What are the major barriers to international trade : Describe the external environment facing global marketers. Global marketers face the same environmental factors as they do domestically.

Why is direct investment considered risky : Identify the various ways of entering the global marketplace. Firms use the following strategies, in descending order of risk and profit.

Which ones enter the category of public good : Of the following goods or services: National defense, beaches, parks, private clubs, and toll highway. Which ones enter the category of public good

How exchange rates can affect a firm global sales : List the basic elements involved in developing a global marketing mix. A firm's major consideration is how much it will adjust the four Ps- product, promotion.

How culture may hinder going global via the internet : Discover how the Internet is affecting global marketing. Simply creating a Web site can open the door for international sales.

The value chain and the primary activities of firm : What is the difference between the value chain and the primary activities of a firm? Why are these activities important to a firm’s strategy?

User Account

All Pages