Turnkey projects being short-term propositions can be disadvantageous for a firm if a country subsequently proves to be a major market for the output of the process that has been exported. Both methods have their advantages and disadvantages. This illustrates how acquisitions may fail because: The risk of failure of an acquisition can be reduced by: To reduce the risks of failure of an acquisition, managers must: Which of the following is a disadvantage of greenfield ventures? It can be less risky than conventional FDI. Which of the following factors determines the value that an international business can create in a foreign market? Which of the following describes a turnkey project? In international business, a product that is not widely available in a foreign market and satisfies an unmet need: In which of the following situations can an international business command higher prices for a particular product in a foreign market? Which of the following is a reason why firms often overpay for the assets of an acquired firm? What is Turnkey project The term turn-key project (Turn-key delivery) describes a projec t(or the delivery of such) in which the supplier or provider is responsible to the client for the entire result of the project and presents it to the client completely finished and ready to use. Which of the following is an advantage of turnkey contracts? It can be less risky than conventional FDI. Which of the following is an advantage of turnkey projects as a mode of entry into foreign markets? Which of the following modes of entry into foreign markets is most suitable for Axiom International? What triggers the conflict of interest over strategy and goals in joint ventures? It is an ideal way to gain entry into a country where FDI is not limited by government regulations. The firm that enters into a turnkey project with a foreign enterprise avoids giving rise to potential competitors. It is an ideal way to gain entry into a country where FDI is not limited by government B. A. c) Tight control of operations. It is a useful strategy to earn great returns from the know-how of a technologically complex process. Which of the following is an advantage of turnkey projects as a mode of entry into foreign markets? Franchising as a mode of entry into foreign markets is employed primarily by: Which of the following is an advantage of franchising as a mode of entry into foreign markets? Which of the following is an advantage of turnkey projects as a mode of entry into foreign markets? Which of the following countries presents a favorable benefit-cost-risk trade-off scenario for foreign expansion? Which of the following is a disadvantage of franchising? Which of the following is an example of a first-mover advantage? Which of the following is an advantage of turnkey projects as a mode of entry into foreign markets? Which of the following is a disadvantage of wholly owned subsidiaries as a mode of entry into foreign markets? Which of the following is an advantage of acquisitions as a means of entering foreign markets? Small-scale entry into a foreign market makes it difficult to build market share because it: Which of the following is the most likely outcome of a foreign firm entering a developed nation on a small scale after other international businesses in the firm's industry? The firm needs to select a mode of entry that would give it access to local knowledge, allow sharing of development costs and risks, and also be politically acceptable. This preview shows page 9 - 11 out of 101 pages. 35. In exporting, problems with local marketing agents can be overcome by: In which of the following modes of entry into foreign markets does a firm agree to set up an operating plant for a foreign client and hand over the plant when it is fully operational? Many American firms that sold oil-refining technology through a turnkey project to firms in the Middle East now find themselves competing with these firms in the world oil market. Which of the following is an example of an industry in which cross-licensing agreements are increasingly becoming common? It is a useful strategy to earn great returns from the know-how of a technologically complex process. B. A turnkey strategy is particularly useful where FDI is limited by host-government regulations. Which of the following is an advantage of turnkey projects as a mode of entry into foreign markets? Which of the following is a drawback of licensing as a mode of entry into foreign markets? It can be less risky than conventional FDI. Which of the following is a disadvantage of small-scale entry for an international firm considering foreign expansion? Which of the following is a disadvantage of large-scale entry into a foreign market? ... Turnkey projects are most common in which of the following industries. The licensor receives a royalty fee from the licensee. Like any other key project or industrial factor, this also has its own advantages and disadvantages. The agreement signed by Ranbaxy Laboratory and Bayer AG of Germany in the year 1999 is an example of . A. A turnkey strategy can be more risky than conventional FDI. C. 76. If a firm is seeking to enter a market via a wholly owned subsidiary where there are already well-established incumbent enterprises, and where global competitors are also interested in establishing a presence, a suitable mode of entry is a(n): If a firm is considering entering a country where incumbents exist, and if the competitive advantage of the firm is based on the transfer of organizationally embedded competencies, skills, routines, and culture, what would be the preferable mode of entry. A. A turnkey contract also has a fixed price included in the contract. A. B. competing with the local firm in the global market. A licensor grants the rights to tangible property to a licensee. C. It is an ideal way to establish a long-term presence in a foreign country. When should a firm configure its value chain to maximize value at each stage? A turnkey solution may not work as well for a buyer who wants more authority, control and flexibility in … Which of the following is an advantage of turnkey projects as a mode of entry, 7 out of 10 people found this document helpful. Which of the following is true of licensing as a mode of entry into foreign markets? chemical, pharmaceutical, and metal refining. Axiom International, an Australian company, wants to expand its operations to China, a country that is politically, culturally, and economically different.