Business Studies

Which one of the following modes of entry permits greatest degree of control over operations?


ANSWER

Wholly owned subsidiary


SOLUTION
A wholly owned subsidiary is a company where 100% of the share capital is invested by the parent company or the holding company. This kind of mode gives total control in the hands of the holding company. The holding company gets full authority to decide whether to start new operations or to procure an existing company doing business overseas in order to establish the subsidiary company.
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Single Correct Medium Published on 18th 08, 2020
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