which method of entering foreign markets has the advantage of allowing for test - marketing a product in a…

which method of entering foreign markets has the advantage of allowing for test - marketing a product in a foreign market at a lower cost than building its own facility on foreign shores?\na. exporting\nb. contract manufacturing\nc. joint ventures\nd. wholly owned subsidiaries

which method of entering foreign markets has the advantage of allowing for test - marketing a product in a foreign market at a lower cost than building its own facility on foreign shores?\na. exporting\nb. contract manufacturing\nc. joint ventures\nd. wholly owned subsidiaries

Answer

Brief Explanations:

Exporting involves sending goods from the home - country to a foreign market. It is less costly than building a facility abroad as it avoids the high costs of construction, land acquisition, and local operations setup. It allows for test - marketing without large capital investment. Contract manufacturing, joint ventures, and wholly - owned subsidiaries usually involve more significant financial and operational commitments.

Answer:

A. Exporting