GMS 200 Lecture Notes - Lecture 3: Greenfield Project, Liquor Control Board Of Ontario, Oligopoly

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: Omid Jadidi

Document Summary

Franchising: contractual arrangement between one party, called the franchisor, and the another party, called the franchisee. Given the rights for the franchise name trademarks, business processes, and products. Joint ventures: operates in a foreign country through co-ownership by foreign and local partners: faster entry in a new market, to acquire expertise, increase production scale, to expand business development by gaining access to distributor networks. Criteria for choosing a joint venture partner: has money, and good reputation, values it customers, future expansion possibilities. Global strategic alliances: a partnership in which foreign and domestic firms share resources and knowledge for mutual gains. Foreign subsidiaries: local operation completely owned by a foreign firm: greenfield investment builds an entirely new operation in a foreign country. Price-takers, price is determined by supply and demanded. Buyers had complete info about the product being sold and the prices charged by each sell an identical product freedom of entry and exit small market share firm.