Which of the following would you consider to be a true statement?
A)Creating a foreign subsidiary usually occurs at an early stage of an organisation's global evolution.
B)A joint venture is a specific type of strategic alliance.
C)Strategic alliances and foreign subsidiaries are essentially the same.
D)Licensing is primarily used by service organisations.
E)'Global sourcing' is another term for 'importing'.

Question

Quizplus · Accepted Answer

A joint venture is a type of strategic alliance where two or more companies come together to create a separate entity to pursue a specific project or business objective. The other options are incorrect: foreign subsidiaries may be created at any stage of an organisation's global expansion; strategic alliances and foreign subsidiaries are different concepts; licensing can be used by both goods and service organizations; global sourcing refers to the process of procuring goods or services from suppliers located in different countries, while importing specifically refers to bringing goods into a country.

Which of the Following Would You Consider to Be a True