Asked by
RUPINDER SINGH
on Dec 13, 2024Verified
A disadvantage of a joint venture arrangement when entering a new global market is that
A) intermediaries have the potential to harm the brand.
B) the firm entering the foreign market must pay royalties to the other firm.
C) one of the companies forgoes control over its product.
D) the two companies may disagree about policies.
E) this method is likely to provide the fewest subsidies from the host country's government.
Joint Venture
A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task or business operation.
Policies Disagreement
Situations where individuals or groups have conflicting opinions or interpretations regarding organizational rules or strategies.
- Differentiate among licensing, franchising, and joint ventures.
Verified Answer
VD
Learning Objectives
- Differentiate among licensing, franchising, and joint ventures.
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