Samantha is considering forming a strategic alliance with a Swiss-based company that promises to market her company's products in several EU countries in exchange for access to her company's distribution network in Canada and the United States. This strategy will require less investment than ___.
A) exporting
B) licensing
C) franchising
D) establishing a joint venture
E) establishing a subsidiary

Question

Quizplus · Accepted Answer

Establishing a subsidiary in a foreign country typically requires a significant investment in terms of both capital and resources compared to forming a strategic alliance. A strategic alliance allows companies to share resources and access new markets without the need for extensive capital investment that comes with setting up a subsidiary.

Samantha Is Considering Forming a Strategic Alliance with a Swiss-Based