Marketing and operating costs are heaviest when firms make investments in foreign markets via joint ventures, acquisitions or greenfield operations

Question

Quizplus · Accepted Answer

Joint ventures, acquisitions, and greenfield operations involve significant upfront investment in establishing operations, partnerships, or acquiring companies in foreign markets, leading to higher initial marketing and operating costs compared to other modes of entry like exporting or licensing.

Marketing and Operating Costs Are Heaviest When Firms Make Investments