You Are Here, a personal navigation system company, has contracted its manufacturing to a firm in Malaysia for five years.Now that You Are Here has wildly explosive growth, it wants to purchase the manufacturing facility.This market entry method is _________.
A) Direct sales force
B) Strategic alliance
C) Joint venture
D) Direct foreign investment
E) Licensing

Question

Quizplus · Accepted Answer

Direct foreign investment involves a company investing in and owning a foreign manufacturing facility. This is the only option that describes You Are Here wanting to purchase the manufacturing facility, indicating ownership and control.

You Are Here, a Personal Navigation System Company, Has Contracted