A European company that buys computing equipment from a Japanese manufacturer and then installs and services that equipment is looking to expand internationally. It is a relatively small company with limited resources. The company has some proprietary technology that it wants to protect and is concerned about losing this competitive advantage. The company has been told about 5 modes of entry that it can consider; Direct Exporting; Licensing; Indirect Exporting; Wholly Owned Subsidiary; Franchising. Explain each one in terms of advantages and disadvantages in the context of this company. Which are the more relevant options for this company and why?

| May 28, 2014

A European company that buys computing equipment from a Japanese manufacturer and then installs and services that equipment is looking to expand internationally. It is a relatively small company with limited resources. The company has some proprietary technology that it wants to protect and is concerned about losing this competitive advantage. The company has been told about 5 modes of entry that it can consider; Direct Exporting; Licensing; Indirect Exporting; Wholly Owned Subsidiary; Franchising. Explain each one in terms of advantages and disadvantages in the context of this company. Which are the more relevant options for this company and why?

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Culture is clearly a concern when marketing in other countries. Despite the nebulous nature of the subject, there are some ways we can establish clarity in identifying cultural dimensions and how to deal with them. Explain these ways of establishing clarity and apply them to 3 distinct cultural environments we have covered in our case/article readings.
Think of some tangible examples of where one of the factors listed above might change when entering a new national market and how such a change might affect the marketing of a particular product.

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