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Posted On: 02/01/2019 2:24:19 PM
Post# of 72440
So which is it?
Wholly Owned Subsidiaries
To keep full control over their venture, this method of international business is incorporated by organizations. The parent organization makes 100% investment in its equity capital and in this way takes full control over the foreign organization. There are two ways to set up a wholly owned subsidiary in the international market:
Setting up another organization thoroughly to begin activities abroad – also known as a greenfield venture, or
Acquiring a ready organization in the foreign nation and utilizing that organization to deliver or market its services in the host nation.
Wholly Owned Subsidiaries
To keep full control over their venture, this method of international business is incorporated by organizations. The parent organization makes 100% investment in its equity capital and in this way takes full control over the foreign organization. There are two ways to set up a wholly owned subsidiary in the international market:
Setting up another organization thoroughly to begin activities abroad – also known as a greenfield venture, or
Acquiring a ready organization in the foreign nation and utilizing that organization to deliver or market its services in the host nation.
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