In many countries, political considerations make ________ the only feasible entry mode.

Question

Quizplus · Accepted Answer

There are several advantages to expanding into foreign markets via a joint venture. First, firms benefit from a local partner's knowledge of the host market. Second, a firm can share the costs and/or risks of operating in a foreign market. Third, in many countries, political considerations make joint ventures the only feasible entry mode. Research suggests joint ventures with local partners face a low risk of being subject to nationalization or other forms of adverse government interference.

In Many Countries, Political Considerations Make ________ the Only Feasible