Which of the following is NOT a potential benefit of cross-border strategic alliances or other cooperative arrangements between foreign and domestic companies?

Which of the following is NOT a potential benefit of cross-border strategic alliances or other cooperative arrangements between foreign and domestic companies? 



A. Gaining wider geographic coverage and access to attractive country markets through the foreign partner's familiarity with the market.

B. Gaining better access to scale economies in production and/or marketing.

C. Filling competitively important gaps in their technical expertise and/or knowledge of local markets.

D. A greater ability to employ a global strategy (as opposed to a multicountry strategy).

E. Sharing distribution facilities and dealer networks, thus mutually strengthening their access to buyers.


Answer: A greater ability to employ a global strategy (as opposed to a multicountry strategy).


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