Answer to Question #215191 in Management for Priya

Question

Describe three modes of international market entry that allowed Samsung to expand

globally

Answer 1

There are three modes of market entry internationally that Samsung used. Partnering, exportation and licensing whereby exporting refers to direct sale, licencing is the financial risk taken and partnering’s joining with other companies in different parts to do business. In this case licencing will cater for marketing and manufacturing costs in the foreign countries. An export strategy was used as the best option for Samsung to follow in a country with low per capita income. Samsung’s core technology business expanded globally and the export strategy best protects the company trade mark in the international market