Modes of Entry Quiz

Which of the following non-equity modes of entry involves selling goods or services produced in one country to customers in another country?

• Exporting

• Turnkey Projects

• Licensing

• Franchising

Which non-equity mode of entry involves setting up a project in a foreign country where the company designs, constructs, and equips a facility, and then transfers it to the client?

• Exporting

• Turnkey Projects

• Licensing

• Management Contract

Which entry mode allows a company to grant another company the rights to use its intellectual property, such as patents, trademarks, or technology, in exchange for royalties or fees?

• Licensing

• Franchising

• Management Contract

• Contract Manufacturing

Which non-equity mode of entry involves a company allowing another firm to use its brand, business model, and operational procedures in exchange for a fee or a percentage of sales?

• Licensing

• Franchising

• Management Contract

• Turnkey Projects

Which non-equity mode of entry involves outsourcing production to a local company in the foreign market while retaining control over the brand and product specifications?

• Contract Manufacturing

• Licensing

• Exporting

• Management Contract

Which non-equity mode of entry involves a company providing managerial expertise and operational oversight to a local firm in exchange for a fee?

• Franchising

• Management Contract

• Turnkey Projects

• Licensing

Which equity-based mode of entry involves establishing a new, fully owned operation in a foreign country?

• Wholly Owned Subsidiary

• Joint Venture

• Strategic Alliance

• Licensing

Which equity-based mode of entry involves partnering with a local firm in the foreign market to create a new business entity in which both parties share ownership?

• Wholly Owned Subsidiary

• Joint Venture

• Strategic Alliance

• Franchising

Which equity-based mode of entry involves forming a partnership with another company to achieve strategic goals while sharing resources and risks, but without creating a new legal entity?

• Wholly Owned Subsidiary

• Strategic Alliance

• Joint Venture

• Management Contract

Which of the following is a non-equity mode of entry?

• Wholly Owned Subsidiary

• Joint Venture

• Franchising

• Strategic Alliance