If a firm's competitive advantage is based on control over proprietary technological know- how,which of the following foreign entry modes should be avoided?
A) exporting and joint ventures
B) turnkey projects and franchising
C) wholly owned subsidiaries and franchising
D) joint ventures and licensing
E) acquisitions

Question

Quizplus · Accepted Answer

Joint ventures and licensing should be avoided because they involve sharing the firm's proprietary technology with a partner, which could lead to loss of control over the technology.

If a Firm's Competitive Advantage Is Based on Control Over