Protection of technology,the ability to engage in global strategic coordination and the ability to realize location and experience economies are distinct advantages of ______________.
A) franchising
B) wholly owned subsidiary
C) exporting
D) licensing
E) acquisitions

Question

Quizplus · Accepted Answer

Wholly owned subsidiary is the only option that provides protection of technology as the parent company completely owns and controls the operations. It also allows for global strategic coordination and the realization of location and experience economies as the parent company can directly manage and control all aspects of the subsidiary's operations. Franchising, licensing, exporting, and acquisitions do not offer the same level of control and may not provide these advantages.

Protection of Technology,the Ability to Engage in Global Strategic Coordination