Which one of the following is an example of the hierarchical governance option for firms pursuing international strategies?
A) Mergers
B) Exporting
C) Licensing
D) Joint ventures

Question

Quizplus · Accepted Answer

Mergers involve combining two or more firms to form a single entity, thereby creating a new hierarchy of governance. This option allows the firms involved to have a greater degree of control and coordination over their international operations, making it an example of hierarchical governance for international strategies. Exporting, licensing, and joint ventures are not necessarily hierarchical in nature and do not involve creating a new governance structure.

Which One of the Following Is an Example of the Hierarchical