In a sprinkler approach to international expansion, ________.
A) countries are entered when competition is limited
B) countries are gradually entered sequentially
C) many countries are entered simultaneously
D) countries in which the supply of raw material is greatest are entered first
E) countries in which the demand for the product is greatest are entered first

Question

Quizplus · Accepted Answer

In a sprinkler strategy, a company enters many countries simultaneously rather than sequentially, with the aim of creating a broad presence in multiple markets quickly. This approach is useful when a company wants to rapidly establish its brand and create economies of scale by spreading fixed costs across many markets. It also allows a company to hedge against the risk of market volatility in any one market.

In a Sprinkler Approach to International Expansion, ________