A firm becomes a supplier to a foreign firm that enters the domestic market, which is an example of:

Question

Quizplus · Accepted Answer

The foreign firm is entering the domestic market, which means they are internationalizing in the domestic market. The supplier becoming a part of this process is an example of indirect exporting. Franchising is a form of licensing where a company provides its business model and brand to another party. Harvesting is an exit strategy where a company gradually reduces its investment in a market.

A Firm Becomes a Supplier to a Foreign Firm That