Domestic firms developing a global entry strategy might consider franchising; however,the disadvantages need to be considered.Which of these is NOT a disadvantage of franchising?
A) The franchisor has limited ability to ensure that foreign operations follow all the concepts and ideas that made the firm successful domestically.
B) The franchisor might end up training a future competitor.
C) Franchising limits profit potential,since profits will have to be split with the franchisee.
D) Franchising is the riskiest way to enter a foreign market.
E) All of these are disadvantages a firm must consider.
Correct Answer:
Verified
Q21: Manufacturers would prefer to produce in a
Q28: Gross national income equals GDP
A) minus net
Q29: The shift of population from rural to
Q38: Globalization refers to the process by which
Q40: Developed countries are experiencing _ population growth.
A)
Q44: Chris had laughed at some of the
Q46: Culture affects
A) how consumers decide to make
Q54: Generally, firms entering foreign markets begin with
A)
Q71: China, like many other countries, usually requires
Q73: Gerald is assessing global entry strategies for
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents