Term
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Definition
| Entry is early when a firm enters a foreign market before other foreign firms and late when a firm enters after other international business have established themselves. |
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Term
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Definition
| Advantages accruing to the first to enter the market. One first mover advantage is the ability to preempt rivals and capture demand by establishing a strong brand name. |
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| First-Mover Disadvantages |
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Definition
| Disadvantages associated with entering a foreign market before other international business. |
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Term
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Definition
| Costs an early entrant bears that later entrants avoid such as the time and effort in learning the rules , failure due to ignorance , and the liability of being a foreign. |
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Term
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Definition
| That enters a foreign market on a small scale may limit its potential losses, but it may also miss the chance to capture first-mover advantages. |
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Definition
| Sales of products in one country to residents of another country. |
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Term
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Definition
| A project in which a firm agrees to set up an operating plant for a foreign client and hand over the "key" when the plant is fully operational. |
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Definition
| An arrangement which a licensor grants the rights to intangible property to the licensee for a specified period and receives a royalty fee in return. |
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Definition
| A specialized form of licensing in which the franchiser sells intangible property to the franchisee and insists on rules to conduct business. |
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Term
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Definition
| Establishing a firm that is jointly owned by two or more otherwise independent firms. |
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Term
| INTERNATIONAL MONETARY SYSTEM |
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Definition
| REFERS TO THE INSTITUTIONAL ARRANGMENTS CONTRIES ADOPT TO GOVERN EXCHANGE RATES |
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Term
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Definition
| A SYSTEM UNDER WHICH THE EXCHANGE RATE FOR CONVERTING ONE CURRENCY INTO ANOTHER IS CONTINUOUSLY ADJUSTED DEPENDING ON THE LAWS OF SUPPLY AND DEMAND |
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Term
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Definition
| CURRANCY VALUE IS FIXED RELATIVE TO A REFERENCE CURRENCY. |
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Term
| WHOLLY OWNED SUBSIDIARIES |
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Definition
| A SUBSIDIARY IN WHICH THE FIRMS OWNS 100 PERCENT OF THE STOCK. |
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