comp-u-learn inc. prides itself on a competitive advantage based on their proprietary educational software technology. what two entry modes should the company avoid in order to minimize the risk of losing this technology?

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12-12-2022
Business

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comp-u-learn inc. prides itself on a competitive advantage based on their proprietary educational software technology. what two entry modes should the company avoid in order to minimize the risk of losing this technology?

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Tutorconsortium434 Tutorconsortium434 · Answer 1 · 2022-12-18T06:20:55+01:00

Joint venture and wholly owned subsidiary are the two entry modes that should the company should avoid in order to minimize the risk of losing this technology.

What is the difference between Joint venture and wholly owned subsidiary?

The ownership arrangements of a joint venture (JV) and a wholly-owned subsidiary differ from one another. A joint venture (JV) is a business or partnership that is founded and run by two different companies. On the other hand, a corporation that is held entirely by one entity is known as a wholly-owned subsidiary.

What three criteria aid a business in selecting the best entry mode?

Three categories were used by Agarwal and Ramaswami (1992) to illustrate the aspects that influence the decision of which foreign market entry strategy to use: ownership advantage of a firm, market location advantage, and internalization advantage of integrating transactions.

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