Axiom International, an Australian company, wants to expand its operat

QUESTION

Axiom International, an Australian company, wants to expand its operations to China, a country that is politically, culturally, and economically different.

The firm needs to select a mode of entry that would give it access to local knowledge, allow sharing of development costs and risks, and also be politically acceptable. Which of the following modes of entry into foreign markets is most suitable for Axiom International?

A. Wholly owned subsidiary

B. Joint venture

C. Exporting

D. Greenfield investments

E. Licensing

ANSWER

B