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WAEC Marketing 2015 Question 25

Question 25

International Marketing

Business risks in foreign market is higher in

  1. A.licensing.
  2. B.joint venture.
  3. C.exporting.
  4. D.direct investment.
Show the answer and explanation

Answer: D (direct investment.)

Explanation

In direct investment the firm puts its own money into factories abroad, so it carries the most risk.