Asked by Abhijith Jayakumar on Jun 28, 2024
Verified
Which of the following international business approaches involves cooperation between firms but may not involve sharing of ownership?
A) Direct foreign investment
B) Licensing
C) A strategic alliance
D) A joint venture
Strategic Alliance
A formal agreement between two or more entities to pursue a set of agreed-upon objectives while remaining independent organizations, often used in the business world to leverage complementary strengths.
International Business Approaches
Strategies employed by companies to enter and compete in foreign markets.
Ownership Sharing
A strategy or arrangement by which employees own shares or a stake in the company they work for, often used to increase engagement and loyalty.
- Comprehend the strategic partnerships and collaborative tactics among companies in global commerce.
Verified Answer
ZK
Zybrea KnightJul 02, 2024
Final Answer :
C
Explanation :
A strategic alliance involves cooperation between firms to pursue a set of agreed upon objectives while remaining independent organizations. This approach may not involve sharing of ownership, distinguishing it from options like direct foreign investment and joint ventures, which typically involve equity stakes and shared ownership. Licensing is a form of business agreement but does not inherently involve cooperation on business operations or strategies.
Learning Objectives
- Comprehend the strategic partnerships and collaborative tactics among companies in global commerce.