Which of the following is a risk of entering developing nations like India and China on a large scale?
A)Lower potential for long-term rewards
B)Absence of prior foreign entrants
C)Lack of control over quality
D)Fear of rapid imitation of technology
E)High management turnover

Question

Quizplus · Accepted Answer

Entering a large developing nation such as China or India before most other international businesses in the firm's industry, and entering on a large scale, will be associated with high levels of risk. In such cases, the liability of being foreign is increased by the absence of prior foreign entrants whose experience can be a useful guide. At the same time, the potential long-term rewards associated with such a strategy are great.

Which of the Following Is a Risk of Entering Developing