In service firms where the risk of losing control over the management skills or technological know-how is not much of a concern,and where the firms' valuable asset is their brand name,_____ would be a suitable mode of entry.
A)exporting
B)franchising
C)licensing
D)turnkey contracts

Question

Quizplus · Accepted Answer

The competitive advantage of many service firms is based on management know-how.For such firms,the risk of losing control over the management skills and technology to franchisees or joint-venture partners is not that great.These firms' valuable asset is their brand name,and brand names are generally well protected by international laws pertaining to trademarks.As a result,many service firms favor a combination of franchising and subsidiaries to control the franchises within particular countries or regions.

In Service Firms Where the Risk of Losing Control Over