entry mode

Topics: Franchising, License, Management Pages: 27 (645 words) Published: October 16, 2013
SELECCIONAR
 Y
 ADMINISTRAR
 MODOS
 DE
 INGRESO
 

ADMINISTRACIÓN INTERNACIONAL

Entry
 Modes
 
• 
  Ins%tu%onal
  arrangement
  by
  which
  a
 
firm
  gets
  its
  products,
  technologies,
 
human
  skill,
  or
  other
  resources
  into
  a
 
market.
 
• 
  Even
  big
  MNE’s
  don’t
  use
  a
  single
 
entry
  mode.
  These
  companies
  adapt
 
their
  strategies
  to
  use
  different
  entry
 
modes.
 
ADMINISTRACIÓN INTERNACIONAL

Expor%ng,
 
Impor%ng
 &
 
Countertrade
 

Contractual
 
Entry
 

Investment
 
Entry
 

ADMINISTRACIÓN INTERNACIONAL

"
 Expor%ng:
 

- 
- 

Direct
 Expor%ng
 
Indirect
 Expor%ng
 

"
 Countertrade:
 


Expor%ng,
 
Impor%ng
 &
 
Countertrade
 

 Prac%ce
 of
 selling
 goods
 or
 services
 that
 

 are
 paid
 for,
 in
 whole
 or
 in
 part,
 with
 

 other
 goods
 or
 services.
 

ADMINISTRACIÓN INTERNACIONAL

Condi9ons
 favoring
 this
 mode
 

Advantages
 

Disadvantages
 

• 
 Low
 sales
 poten%al;
 liKle
 

• 
 Minimizes
 risk
 and
 

• 
 Costs
 are
 increased
 

adapta%on
 required
 

investment
 

due
 to
 trade
 barriers
 

• 
 Distribu%on
 channels
 close
 to
 

• 
 High
 entry
 speed
 

and
 tariffs
 

factories
 

• 
 Increases
 economies
 of
 

• 
 Transporta%on
 costs
 

• 
 High
 produc%on
 cost
 at
 des%na%on
  scales
 and
 use
 of
 exis%ng
  • 
 Limited
 access
 to
 local
 
• 
 Open
 imports
 policy
 
• 
 High
 poli%cal
 risk
 

infrastructure
 

informa%on
 
• 
 The
 company
 is
 seen
 
as
 foreigner
 

ADMINISTRACIÓN INTERNACIONAL

The
  products
  of
  some
  companies
  simply
 
cannot
  be
  traded
  on
  open
  markets
  because
 
they
 are
 intagible.
 
Contractual
 
Entry
 

"
 Licensing
 

"
 Franchising
 

"
 Managment
 contracts
 

"
 Turnkey
 projects
 


ADMINISTRACIÓN INTERNACIONAL

Licensing:
 
One
 company
 owning
 intangible
 property
 (the
 licensor)
 grants
 another
 firm
 (the
 
licensee)
 the
 right
 to
 use
 that
 property
 for
 a
 specified
 period
 of
 %me
 
Condi9ons
 favoring
 this
 mode
 

Advantages
 

Disadvantages
 

• 
 Barriers
 to
 imports
 and
 investment
 
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • International Business Entry Modes Essay
  • Median Mode Essay
  • Mean, Median, Mode Essay
  • Rhetorical Mode Essay
  • Mean Mode and Median Essay
  • Merton's Five "Modes of Adaptation" Essay
  • Mean, Median, Mode Essay
  • Com/155 Appendix C Rhetorical Modes Essay

Become a StudyMode Member

Sign Up - It's Free