Wholly-Owned Subsidiaries and Joint Ventures

An increasing problem in modern society is that many teenagers are being condemned in the last few years for simply witnessing an attack. Joint enterprise is a doctrine of common law which condemns people for participating or witnessing an attack. Joint enterprise was introduced up to 300 hundred years ago and now people think that it should be banned due to many teenagers getting convicted for being present at an attack. Joint enterprise is a legal doctrine that assigns criminal obligation to the participant .We have seen that more than 1853 people have been charged with homicide under the provocative, legal standard of joint enterprise in the past eight years. Joint enterprise can apply to all crimes, but in recent times, it has been mainly used as a way of prosecuting homicide, especially in cases involving gangs of young men.

The form of this research thus relies more on quality instead of quantity. The data is obtained from relatively small samples and is normally not analyzed with statistical technique. This type of research is normally to answer ‘how or why’ questions (Yin, 2003). The methods of collecting data sources are mainly interviewing, focus groups, observation and document reviews (Meurer et al., 2007). The main purpose of this kind of research is to gather an in-depth understanding of the phenomenon studied and to describe the situation through detailed information (Adar, 2011). The purpose of this study is to gain insightful information in order to have a better understanding on how internal and external factors influence SME’s in choosing the right market entry mode. Therefore, the author regarded that the qualitative is the most suitable to understand how the factors affecting entry mode choices. In addition, this study has no intention to test statistically

3. Outsourcing It can save time for the company to manufacture or assembly its products.

Ownership advantages could be intangible assets like technology and information, managerial, marketing and entrepreneurial skills, organisational systems, access to intermediate or final goods markets, a production process, patent and blueprint. The ownership advantage includes some firm specific valuable market power or cost advantage on the firm sufficient to outweigh the disadvantages of doing business abroad. They are closely related to the technological and innovative capabilities and the economic development levels of source countries.

The second advantage is the shared risks associated with outsourcing. If there are five different companies each producing one piece of an object or item to make a whole item, if something happens to one of the firms like filing for bankruptcy, the entire operation doesn’t suffer, only that one piece of the whole product. An example is a financial profile. I have in the Army what is called the Thrift Savings Program, like a civilian 401k. There are five different investment options and I elected to put 30% of my contributions into one fund, 30% in another, and then 40% in yet another. If one of those funds start going south, it is my hope that the other two compensate the first one.

In regards to minimizing outsourcing, this is the better option due to the increased benefit key components of the aircraft built in one centralized location provide and allows top managers can keep track of the progress. Minimizing outsourcing to just non-essential components can synchronize the company’s assembly time and helps keep all the main components on similar schedules, which can help with uniformity.

There are four main forms of business structures. The structures of business differentiate based on liability, tax implications, and what type of business is being evaluated when determining what structure to use. This paper will cover the advantages and disadvantages within the four types of business structures; Limited Liability Corporations, Corporations, Partnerships, and Sole Proprietorships.

Dunnings Eclectic Paradigm model best describes what had attracted Tesco’s internalisation entering the American and Japanese markets. The Eclectic Paradigm consists of three factors that explains where, how and why the internationalization of a firm entering a new market. Ownership, location and internalization are the three dynamics which makes up the OLI (Dunning, 2001).ownership advantages can be either asset-based or transaction-based, in relation to Tesco the ownership advantage in which the firm had acquired was the lean supply

We found innovation, cost reduction and market conditions as key elements supporting a successful internal strategy and strategic alliance and diversification to be among the most widely applied strategies for a foreign market penetration and development, while fusions and licenses were the least preferred.

2.  Beneficial economies of scale.  If you will be larger, will you truly be better?  Some larger companies cannot respond as quickly to market changes due to their size and the challenge coordinating new directions to employees.  Economies of scale are not always beneficial, so make sure you can quantify that having more of one direction is what you want.

Dunning’s OLI paradigm (1976) is used to support firms to locate its production in countries that are financially beneficial for them. According to Dunning, “the paradigm offers a holistic framework to take in consideration all of the important factors that influence the decision of a MNE.” (Stefanović, 2008, p.241) FDI is determined through the composition of the three powerful advantages; ownership, location and internationalisation as shown in figure 1. The thesis is to assess, ‘why go multinational?’, ‘how to choose the best location?’ and ‘what actions have to be taken to enter a foreign market?’

Subject : Appraisal of a MNE's recent market entry (2007-2010) ( 1. Firm Motivations for internationalization 2. Entry Strategy 3. Corporate Strategy)

The reluctance of firms to change entry modes once they are in place, and the difficulty involved in doing so, make the mode of entry decision a key strategic issue for firms operating in today’s rapidly internationalizing market place.

• In relation to the Eclectic paradigm, companies that have low levels of ownership advantages either do not enter foreign markets. If the company and its products are equipped with ownership advantage and internalization advantage, they enter through low-risk modes such as exporting.

The company has to decide between the two locations based on their virtues, availability and higher margin of profit.