Also presence of political stability is important for

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Unformatted text preview: and the possibility to transport not only products but also company personnel. There also has to be a certain level of technical capacity in order for Purac’s technical knowledge to be demanded. The respondent argues that if there are trade embargoes, it is not of interest for Purac to establish on that market and when it comes to penalty duties, it is more important to increase the local cooperation to be able to bypass the penalty duties, which can have a clear influence of the company’s choice of market entry mode. Furthermore, Purac always assess the competition before entering a new international market, as a way to measure if a successful market entry is possible and through which way the entry should be performed. If the competition is regarded as high, the company does not use entry modes that demand heavy resource commitment. Also, presence of political stability is important for the company, before establishing in the market. Furthermore the respondent states that, the geographic distance increas...
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