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International Market Entry Strategies (Licensing (Transferred Rights,…
International Market Entry Strategies
Direct Exporting
Agents
Distributors
Direct Sales
Negative: Legal Responsibilities
Negative: Liability
Licensing
Transferred Rights
Product Rights
Marketing
Negative: Loss of Control
Negative: Quality Management
Negative: Execution Risk
Franchising
Rapid
Expansion
Market Transfer
Negative: Creating Competition
Negative: Unique Requirements
Partnering
Common
Co-Marketing
Alliance
Culture
Negative: Finding Right Partners
Negative: Knowledge Requirements
Joint Ventures
1+1=3 Process
Negative: High Risk, High Reward
Third Party
Particular Market
Negative: Limited Lifetime
Negative: Disputes
Buying a Company
Substantial Market Share
Negative: Costly
Direct Competition
Local Benefits
Negative: Requires Substantial Research
Piggybacking
Unique
Reduced Risk
Reduced Cost
Negative: Less Credibility
Negative: Sharing Market
Turnkey Projects
"Ground Up"
Financed
Governmental
Low Financial Risk
Greenfield Investments
Buy Land
Build
Operate
Negative: High Risk
Negative: Most Costly