Modes of International Market Entry: Licensing, Distribution, and Manufacturing

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The different modes of entry international such as Licensing, International Distribution, and Overseas Manufacturing provide an array of opportunities but may not be efficient for some service firms.

Particular service firms such as education and child care may prove to be too risky and lack a great deal of control, especially if growing through the route of using an International Agent or Distributor. However, some service firms such as retail would benefit from International Market entry.

In the case of entry into Greece for a British Denim Garments manufacturer for women and kids, the area of Licensing and Turn Key Contracts may prove to be more efficient. In the case of Licensing, an overall fee is relatively charged in exchange for the use of the brand's technology or expertise. Similarly, Turn Key Contracts are created to benefit large plants such as manufacturing firms and involve the training of key staff and personnel to execute the task.

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