Question

Maddox Bauxite Extraction Inc. has decided to enter into a foreign market by setting up its own production facilities and distribution channels from scratch. This will give it strong control over all its business activities. Which of these foreign entry modes will Maddox most likely choose?

a. export

b. joint venture

c. greenfield operation

d. acquisition

Answer 1

C. greenfield operation

Step-by-step explanation:

Maddox intends to enter into a foreign market, and in order to manage to control all its activities by setting up production facilities and distribution channels from scratch, this company will choose a greenfield operation mode. Greenfield corresponds to what Maddox is planning to develop in a foreign field, which is a enterely new project.