Upper Echelon Inc., an American high-tech company, wants to set up operations in a foreign country. The company needs to select an entry mode that offers protection of its proprietary technology. Which entry mode is most suitable for Upper Echelon

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28-04-2022
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Upper Echelon Inc., an American high-tech company, wants to set up operations in a foreign country. The company needs to select an entry mode that offers protection of its proprietary technology. Which entry mode is most suitable for Upper Echelon

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kanikabajaj294 kanikabajaj294 · Answer 1 · 2022-05-03T16:40:23+02:00

Upper Echelon inc. wants to set up operations in a foreign country that offers protection of its proprietary technology and the most suitable entry mode is a wholly-owned subsidiary.

What do you mean by technology?

Technology refers to the greater application of scientific knowledge for practical purposes.

A wholly-owned subsidiary can be established in a foreign market by acquiring an established firm in the host nation.

Wholly owned subsidiaries best serve high tech protection in a foreign market because it reduces the risk of losing that competence.

Therefore, the wholly-owned subsidiary is the best entry mode for Upper Echelon.

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