Chp 9 slides 11 - CHAPTER 9 ENTRY STRATEGIES AND...

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CHAPTER 9 ENTRY STRATEGIES AND ORGANIZATIONAL STRUCTURES
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Mergers and Acquisitions u The cross border purchase or exchange of equity involving two or more companies
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Ownership and Entry Strategies Joint Venture Wholly Owned Subsidiary Licensing Franchising Export/Import
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Ownership and Entry Strategies RISK RESOURCES REWARD EXPORT/ IMPORT LICENSING FRANCHISING JOINT VENTURE WHOLLY OWNED SUBSIDIARY LOW HIGH
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Ownership and Entry Strategies Import/ Export- Most businesses start their international operations with exporting Advantages - very little risk, instant foreign market knowledge, no major resources Disadvantages - no control, product and company image may be damaged Licensing - An agreement that allows the licensee to use an industrial property in exchange for payment to the other party (licensor). Mfg based. Advantages - profitable, gains access to markets Disadvantages - build future competitor
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Ownership and Entry Strategies Franchising- A business arrangement where the franchisor allows the
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This note was uploaded on 10/18/2011 for the course MAN 4600 taught by Professor Boettcher,l during the Spring '08 term at University of Central Florida.

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Chp 9 slides 11 - CHAPTER 9 ENTRY STRATEGIES AND...

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