We appreciate your visit to A U S automotive firm manufacturing in Eastern Europe is an example of strategic motive to become an MNE. This page offers clear insights and highlights the essential aspects of the topic. Our goal is to provide a helpful and engaging learning experience. Explore the content and find the answers you need!
Answer :
Final Answer:
US automotive firm manufacturing in Eastern Europe is an example of Market seeking strategic motive to become an MNE
Explanation:
When a US automotive firm decides to establish manufacturing operations in Eastern Europe, it is primarily driven by a market-seeking strategic motive. This means that the firm is expanding its operations to tap into the Eastern European market's potential for growth and profitability. Eastern Europe offers a significant consumer base with rising income levels and demand for automobiles.
By setting up manufacturing facilities in this region, the company can reduce transportation costs, minimize trade barriers, and adapt its products to local preferences more effectively.
Additionally, Eastern Europe's strategic location provides access to other emerging markets in the region. This expansion aligns with the market-seeking motive, as the firm aims to capture market share, increase sales, and enhance its global competitiveness. It is essential to note that market-seeking motives are common drivers for multinational enterprises (MNEs) looking to expand into new regions to capitalize on market opportunities and establish a strong presence.
In summary, the US automotive firm's decision to manufacture in Eastern Europe exemplifies a market-seeking strategic motive, where the company seeks to access and capitalize on the growing market potential in the region. This motive drives its expansion as an MNE in pursuit of greater market share and profitability.
Learn more about Market seeking
brainly.com/question/32527496
#SPJ11
Thanks for taking the time to read A U S automotive firm manufacturing in Eastern Europe is an example of strategic motive to become an MNE. We hope the insights shared have been valuable and enhanced your understanding of the topic. Don�t hesitate to browse our website for more informative and engaging content!
- Why do Businesses Exist Why does Starbucks Exist What Service does Starbucks Provide Really what is their product.
- The pattern of numbers below is an arithmetic sequence tex 14 24 34 44 54 ldots tex Which statement describes the recursive function used to..
- Morgan felt the need to streamline Edison Electric What changes did Morgan make.
Rewritten by : Barada
