In high-risk foreign markets, firms can reduce their equity exposure by adopting low-commitment modes of entry such as licensing or contract manufacturing.

Name: In high-risk foreign markets, firms can reduce their equity exposure by adopting low-commitment modes of entry such as licensing or contract manufacturing.
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Low-commitment modes of entry like licensing or contract manufacturing allow firms to enter foreign markets with less financial risk and investment, thus reducing their equity exposure.

In High-Risk Foreign Markets, Firms Can Reduce Their Equity Exposure