Question

ConveyerPape is worried about sharing proprietary information about their manufacturing process with individuals in other countries. In order to manufacture their products in another country, ConveyerPape should use:_________________

Answer 1

Answer:

Conveyer Pape should use Foreign Direct Investment instead.

Explanation:

This is a growth strategy where an organization establishes in new country by building its own facilities or acquiring an existing one instead of giving a right to others to operate under its brand name in return for fee(Licensing).

This approach is quite expensive as huge capital outlay is required,but when successful its return on investment is worthwhile compared just receiving token as licensing fee or royalty .