Which method of entering the global marketplace is most risky?
A)licensing
B)direct investment
C)contract manufacturing
D)joint ventures

Question

Quizplus · Accepted Answer

Direct investment involves investing substantial resources into building a foreign operation from scratch, which carries a high level of risk due to factors such as political instability, currency fluctuations, and cultural differences. Licensing, contract manufacturing, and joint ventures involve partnering with existing companies or using existing facilities, which may have lower levels of risk.

Which Method of Entering the Global Marketplace Is Most Risky