Bossy Boots decided to export its products by hiring local marketing agents in each country. Over the years, Bossy Boots ran into various problems with these local marketing agents that affected both sales and profitability. Bossy Boots can overcome its problems with local marketing agents by
A) selling intangible property to a franchisee and insisting on rules to conduct the business.
B) changing agents frequently.
C) engaging in turnkey projects and exporting process technology to foreign firms.
D) entering into cross-licensing agreements with foreign firms.
E) setting up wholly owned subsidiaries in foreign nations to handle local marketing.

Question

Quizplus · Accepted Answer

Setting up wholly owned subsidiaries allows Bossy Boots to have full control over its operations and marketing strategies in foreign nations, reducing dependency on local agents and mitigating associated problems.

Bossy Boots Decided to Export Its Products by Hiring Local