Globalization and economic policy: Exercises Fill in the m issing letters

joint venture ____________________________

A long-term partnership similar to 4, but it may be between two companies of very different sizes, such as a large manufacturer and one of its suppliers. The relationship is not as close as 4, so there is usually no sharing of costs, risks, management or profits. Motorola and Oracle have both used this approach (with suppliers and customers respectively),__ strategic alliance _______________

An international company uses a low-cost manufacturer in another country, and then sells the products under its own brand name in other markets. Also called 'contract manufacturing'. This has been done by many firms in the IT area (for software development as well as hardware) and in the automobile industry.___ outsourcing _______________________

7A parent company directly owns a company in another country. Business operations are under the control of local management, although Head Office is responsible for global strategy. Examples include Nestlé, Toyota and Siemens. Some people think that the term 'multinational corporation' (MNC) should only be used for this type of organization .__ foreign subsidiary ____________