asked 7.4k views
3 votes
Why do you think pepsico's direct foreign investment was largely in joint ventures?

1 Answer

6 votes
When trying to penetrate the market in another country, American company will have to deal with the fact that they have to solve several problems due to the different in culture and political climate.
To minimize the risk, choosing joint venture option with local establishment may be the best option so they can handle the local aspect of the business while pepsico could focus solely on the internal aspects
answered
User Mr Rubix
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