Chapter 1, Problem 3ST

Identify examples of economic and transaction exposure, and discuss how MNCS mitigate these risks.

a)fast internationalization strategy for Better Generation has some associated risks. What are these risks?  b)  Better Generation requires some resources for a fast internationalization strategy. How can Better Generation build these resources?  c)  How should Better Generation develop its international strategy in terms of countries chosen and entry modes?

Provide a detailed discussion on the benefits and risks of international diversification. Use evidenceor examples to support your arguments.