Which of the following is most likely a disadvantage to firms who use exporting as an entry strategy?
A) high cost of foreign market entry
B) difficulties withdrawing from foreign markets
C) The firm must acquire and dedicate capabilities to conduct complex transactions, which can strain organizational resources.
D) high risk due to uncertainty in the political environment of the foreign market

Question

Quizplus · Accepted Answer

Exporting requires firms to develop and dedicate resources and capabilities for managing international transactions, which can be complex and resource-intensive, thus straining organizational resources.

Which of the Following Is Most Likely a Disadvantage to Firms