A form of low-risk and capital-free entry into international markets that includes local manufacturing is referred to as
A) indirect exporting.
B) direct ownership.
C) joint ventures.
D) licensing.
E) direct exporting.

Question

Quizplus · Accepted Answer

Licensing is a low-risk and capital-free entry strategy where a company allows a foreign company to produce its product in exchange for a fee or royalty, often involving local manufacturing.

A Form of Low-Risk and Capital-Free Entry into International Markets