Question

the most advantageous entry mode is __ if a high - tech firm sets up operations in a foreign country to profit from a core competency in technological know - how.

o a. turnkey operation
o b. franchising
o c. licensing
o d. exporting
o e. wholly owned subsidiary

Explanation:

A wholly - owned subsidiary allows a firm to maintain full control over its technological know - how, which is crucial for a high - tech firm to profit from its core competency without the risk of losing control or having its technology misused as in licensing or franchising. Turnkey operations are more for projects, and exporting may not fully utilize the core competency in the foreign market.

Answer:

E. wholly owned subsidiary