QUESTION
Which of the following is a disadvantage of small-scale entry for an international firm considering foreign expansion?
A. The possibility of escalating commitment leading to major financial losses
B. The limited availability of resources for use in other markets
C. The lack of flexibility associated with strategic commitments
D. The increase in economic exposure due to minimal time spent in evaluating a foreign market
E. The difficulty of building market share and capturing first-mover advantages
ANSWER
E
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