Global Marketing Chapter 9

Then manner in which company management decides to pursue market opportunities outside the home country

: A contractual market entry strategy whereby one company makes an asset available to another company in exchange for royalties or some other form of compensation

A licensing arrangement in which a global company provides technical specifications to a subcontractor or local manufacturer

A contract between a parent company franchisor and franchisee that allows the franchisee to operate a business developed by the franchisor in return for a fee and adherence to franchise –wide policies and practices. This is an appropriate entry strategy when barriers to entry are low yet the market is culturally distant in terms of consumer behavior or retailing structures

: Market entry strategy in which companies invest in or acquire plants, equipment, or other assets outside the home country

A market entry strategy in which two companies share ownership of a newly created business entity

Market entry strategy involving foreign direct investment for the purpose of establishing partial ownership of a business

: Market entry strategy involving foreign direct investment for the purpose of establishing 100% of a business

A market entry strategy that entails foreign direct investment in a factory, retail outlet, or some other form of new operations in a target country

A partnership among two or more firms created to minimize risk while maximizing leverage in the marketplace

In japan, an enterprise alliance consisting of businesses that are joined together in mutually reinforcing ways

Japan’s 6 biggest and best known companies make up the Keiretsu.

Hierarchical alliances between manufacturers and suppliers

In South Korea, a type of corporate alliance group composed of dozens of companies and centered around a central bank or holding company and dominated by a founding family

A market expansion strategy that involves targeting a limited number of customer segments in a few countries