Global Market Entry: Applied Frameworks

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Strategic frameworks for choosing the optimal mode of entry into foreign markets, balancing risk, control, and resource commitment. ✨

Article Points:

Global market entry involves deciding how to introduce products/services into a foreign country.

Common entry modes range from low commitment/control (exporting) to high (FDI/wholly owned subsidiary).

Exporting: Low risk, minimal investment (direct or indirect).

Licensing/Franchising: Leveraging IP with moderate risk and control.

Joint Ventures: Sharing costs, risks, and local knowledge with a partner.

Foreign Direct Investment (FDI): Highest commitment and control (greenfield or acquisition).

Choice of entry mode depends on firm-specific advantages, country-specific advantages, industry factors, and transaction costs.

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Global Market Entry: Applied Frameworks

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Source:

Global Market Entry: Applied Frameworks

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