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Market Entry Strategies (Hierarchical Modes (Disadvantages of Hierarchical…
Market Entry Strategies
Hierarchical Modes
Sales & Production Subsidary
Resident Sales Rep.
Regional Headquarters
Domestic Based Sales Rep.
Transnational Organization
Disadvantages of Hierarchical Modes
High Risk
Low Flexibility
High Cost
Advantages of Hierarchical Modes
High Control
Intermediate Entry Modes
Licensing
Contract Manufacturing
Franchising
Joint Venture
Management Contracting
Advantages and Disadvantages are a mixture between export modes and hierarchical modes
Export Modes
Cooperative Export Modes
Indirect Export Modes
Direct Export Modes
Advantages of Export Modes
Low Risk
High Flexibility
Low Cost
Disadvantages of Export Modes
Low Control