Which of the following is an advantage of a wholly owned subsidiary as a global entry strategy?
A) It is the least expensive method of serving an overseas market.
B) It requires the local partner to share the costs of operating overseas.
C) It is not affected by the rules and regulations of the host country.
D) It minimizes the risks of overseas operations.
E) It gives a company tight control over operations in other countries.

Question

Quizplus · Accepted Answer

Establishing a wholly owned subsidiary,which is an independent company owned by the parent corporation,gives the parent tight control over operations in other countries,which is necessary if the company chooses to pursue a global strategy.

Which of the Following Is an Advantage of a Wholly