4. Alternative International Expansion Strategies A. Nonequity Mode: A mode of entry that tends to reflect relatively smaller commitments to overseas markets (Peng‚ 2011). i. FRANCHISING 1. PROS IHOP can take advantage of low development cost and very low risk in overseas expansion. It makes senses financially in the sense that the franchisor can charge an initial fee to the overseas franchisee. Franchising in effect provides an almost cost free expansion since the original business
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DEPARTMENT OF BUSINESS ADMINISTRATION ASSAM UNIVERSITY Assignment on International Marketing (CP-3204) TOPIC-PUBLIC SECTOR TRADING AGENCIES Submitted to: Prof. H. Ramananda Singh. DBA‚ Assam University Silchar Submitted by: Mou Roy
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Definition of ’Subsidiary’ A company whose voting stock is more than 50% controlled by another company‚ usually referred to as the parent company or holding company. A subsidiary is a company that is partly or completely owned by another company that holds a controlling interest in the subsidiary company. If a parent company owns a foreign subsidiary‚ the company under which the subsidiary is incorporated must follow the laws of the country where the subsidiary operates‚ and the parent company still
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Bachelor of Accounting (Hons) Practical Training Final Report In Messr. Sekhar & Tan From 1st June 2010 to 30th November 2010 By Megat Zahid bin Amirnuddin 1041111700 Supervisor: Siti Azilah Abstract Acknowledgement Introduction About Messr. Sekhar & Tan Established in 1993‚ Sekhar & Tan has since grown rapidly into a practice with more than 50 professional staff‚ and offers a range of professional services which include auditing‚ taxation‚ accounting
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control to identify wheteher an investor controls an investee and therefore must consolidate the investee Set out the accounting requirements for the preparation of CFS 3 KEY DEFINITIONS CFS • FS of a group of the parent and its subsidiaries presented as those of a single economic entity CONTROL ON INVESTEE • Investor control an investee when the investor is exposed PARENT • An entity that controls one or more entities POWER • Existing rights PROTECTIVE RIGHTS
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internationally transferable FSAs like technical expertise‚ novel management practices and human capital. To take advantage from the FSAs which Tata developed‚ it used many expansion strategies like outsourcing‚ joint ventures and wholly owned subsidiaries which assist TATA to recombine its resources and gained competitive position in IT and communication industry which is evident from the establishment of TCS. Diversification strategy proved very beneficial for development of internationally
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investment they promise. There are two major types of entry modes: ❖ Equity and Non-equity modes. The non-equity modes category includes export and contractual agreements. The equity modes category includes: joint venture and wholly owned subsidiaries. Exporting Exporting is the process of selling of goods and services produced in one country to other countries[4]. There are two types of exporting: direct and indirect. ❖ Direct exports ❖ Indirect exports Direct exports Direct
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International diversification is a strategy which a firm expands the sales of its goods or services across the borders of global regions and countries into different geographic location or markets. An international strategy is a strategy through which the firm sells its goods or services outside its domestic market. An international strategy results in international diversification. Firms pursue an international strategy to seek new opportunities to create value in international markets. The primary
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company’s home country‚ but then‚ foreign subsidiaries are responsible for introducing the resulting innovations to their local customers. The innovation process adopted by Frank’s MNE is: a. globally linked. b. local-for-local. c. center-for-global. d. locally leveraged. C 2. With responsibility for his company’s largely centralized R&D activities‚ Frank worries that the center may not understand local market needs‚ while the subsidiaries may not be committed to innovations developed
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Chapter 2 (Topic 2): Registration and its effects Characteristics of a company -Companies are artificial entities with rights and liabilities separate from their shareholders or members -s119: company comes into existence as a body corporate at the beginning of the day on which it is registered with the name specified in its certificate of registration -This legal entity is separate from its members so assets of the company are not the assets of its members and contracts entered into
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