Which of the following is a common first step in expanding globally by using non-equity business approaches?
A) Creating a joint venture between two partners who share ownership and risk in the financial investment
B) Acquiring a controlling ownership interest in a business in another country
C) Merging two companies that offer similar products to create a new business entity
D) Importing and exporting goods and services to customers outside of the home country

Question

Quizplus · Accepted Answer

The most common first step in expanding globally using non-equity business approaches is to engage in importing and exporting goods and services to customers outside of the home country. This allows companies to test the waters and establish a customer base before investing further in the foreign market. Options A and B involve greater financial investment and risk, while option C involves merging with another company rather than pursuing non-equity approaches.

Which of the Following Is a Common First Step in Expanding