After reading the chapter (chapter 9), the materials, and watching the video. Please answer the review questions at the end of chapter 9 without copy paste from the book, use paraphrasing and your understanding in writing up the answers.
1. What are the five main reasons that firms expand into international markets?
2. Describe the four types of distance that firms should consider when choosing which foreign markets to enter. What factors help managers determine which type of distance is most likely to affect the success of an international expansion?
3. Describe the concepts of local responsiveness and standardization. Determine which international strategy is best suited to each pressure and explain why.
4. Describe the three primary international strategies.
5. What does a multidomestic strategy look like? What are the key elements? Comparatively, what are the key elements of a global strategy? Can you name a firm that pursues each strategy?
6. What makes an arbitrage strategy different from a multidomestic or global one? Name the four types of arbitrage and explain how each one works.
7. Describe the ways that managers can help keep multidomestic strategies from becoming too costly and global strategies from failing to meet local needs.
8. Explain the international strategy triangle that follows in Figure 9.8 and list the steps to construct one.
FIGURE 9.8 International Strategy Triangle—Medical Diagnostic Imaging Industry
Source: Adapted from P. Ghemawat, Redefining Global Strategy (Cambridge: Harvard Business School Press, 2007).
9. Explain how you would you use the international strategy triangle to identify which international strategy a firm should use. Explain how you would use it to evaluate the strategies of firms that have already gone international.
10. What is a mode of entry? Describe the four main types of entry modes.
11. Which type of entry mode is most appropriate for each of the primary international strategies? List the factors that firms using each primary strategy should consider when choosing an entry mode.