# data[].attributes.body
- Large capital investment needed
- Possibility of diseconomies of scale
- Give the dominant firm negative image: pressure groups, stakeholders

# data[].attributes.body
+ Combined resources
+ Economies of scale
+ Shared loss
+ Reduced risks of failure, Ease of gaining access to overseas market: if merged with a foreign company

# data[].attributes.body
+ Cost saving with economies of scale
+ Spread risks, expanded product portfolio
+ Easier to enter new market overseas

# data[].attributes.body
- Shared profits
- Loss of old brand image, loyalty
- Inefficiency, diseconomies of scale, poor communication: culture clash

# data[].attributes.body
- Fraudulent copies (China)
- Missing out on potential profits/revenue: usually get only % of sales (instead, fixed payment for the period of licensing)
- Difficulty in controlling licensees, risks of damaged global brand image: safety standards, maintain quality issues

# data[].attributes.body
+ Minimal risk to enter new markets
+ L can be applied to patents, trademarks

# data[].attributes.body
- High startup cost
- Franchisees pay annual sale % to franchisor
- Bound/restricted by the franchise agreement's conditions
- Negative brand publicity affects franchisee
- Expensive: Procurement of resources through franchisor

# data[].attributes.body
+ Quick, easy to start trading
+ Marketing done by franchisor
+ Established/Well-recognized brands, product selection

# data[].attributes.body
- Communication, organizational issues: culture clash
- Difficulty in sharing the same vision, mission, objectives

# data[].attributes.body
+ Reduced risks, shared resources
+ Overseas business helps gain access into that new market

# data[].attributes.body
- Shared profits of JV
- Time, difficulty in choosing business to joint with

# data[].attributes.body
+ Minimized risks: shared expertise, resources; spread risks
+ Ability to still retain separate companies
+ Advantages if joined with overseas company: knowledge of new markets, being advised with a good entry strategy

# data[].attributes.body
- Difficulty in accessing FOP to produce goods, maintain standards
- Cultural, ethical issues: the need to adapt motivational methods to suit labor market; concerns of cheap labor exploitation, sending profits back to home country

# data[].attributes.body
+ Incentives (tax breaks, grants) offered by host government: help host countries by adding jobs, skilling up workers
+ Solves exporting problem with a wider distribution channel (quotas, tariffs)

# data[].attributes.body
- Reduced profit: commission/a profit margin taken by overseas buyers
- Lack of distribution, marketing control: quality control, might not be in line with brand image

# data[].attributes.body
+ Reduced cost, risk: no need to set up business in the new market
+ Overseas buyers know better about their markets, are responsible to sell

# data[].attributes.body
The buying out of a company by another, by purchasing a majority stake

# data[].attributes.body
2+ businesses integrate into one single business

# data[].attributes.body
Another company buys the right to produce the licensor's goods

# data[].attributes.body
A franchisor licenses franchisees the rights to trade under its name, in return for certain fees, loyalty payment, and a franchise agreement (agreeing to to comply with certain obligations)

# data[].attributes.body
2+ companies agree to pursue a set of objectives while remaining independent/separated (Same as JV but no new business is formed)

# data[].attributes.body
2+ companies combine resources jointly form a separate business, while still retain their distinct qualities

# data[].attributes.body
A company establishing its presence in a host country, an overseas location

# data[].attributes.body
Send goods overseas for sale

# data[].attributes.body
MAIN FORMS OF ENTERING INTERNATIONAL MARKETS