3. One of the small scale domestic automobile manufacturers in the UK that pioneered a new type (new technology) of electrical car is considering expanding internationally and would like to enter the Chinese market first (to manufacture the car in China and sell to Chinese customers). The automobile manufacturer is now evaluating three options.
a) Licensing the technology to a firm in China
b) Undertake FDI by acquiring a firm in China
c) Undertake FDI by establishing a new firm (greenfield investment) in China
By comparing and contrasting these three entry modes, discuss which of these entry modes is the best strategy for entering China.
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