What are the two methods of entering foreign marketing using a wholly owned subsidiary? | Homework.Study.com (2024)

Question:

What are the two methods of entering foreign marketing using a wholly owned subsidiary?

Modes of entry into foreign markets

Wholly owned subsidiaries refer to a mode of entering foreign markets where a company acquires 100% ownership of the foreign entity.This mode of entry allows organizations to reach diverse geographical locations and markets. Even though it includes high risks in the shortterm, under the right management it can yield high returns and profits.

Answer and Explanation:1

The two methods that a wholly owned subsidiary can enter foreign markets is by Acquisition and Greenfield operations.

Acquisition is the process of...

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What are the two methods of entering foreign marketing using a wholly owned subsidiary? | Homework.Study.com (2024)
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