Which of the following is NOT a business option to enter a foreign market?

• A. Imposing tariffs on imported products
• B. Forming a joint venture with a local company
• C. Licensing technology to a foreign firm
• D. Exporting goods to the foreign market

Answer: (A)

Verified step by step guidance

1. Understand the context: The question asks which option is NOT a business strategy for entering a foreign market. Business options typically involve ways a company can expand or operate internationally.
2. Review each option and classify it as either a market entry strategy or a trade policy tool. Market entry strategies include exporting, licensing, joint ventures, direct investment, etc.
3. Analyze 'Imposing tariffs on imported products': Tariffs are taxes imposed by governments on imports, not actions taken by businesses to enter markets. This is a trade policy tool used by governments, not a business entry strategy.
4. Analyze 'Forming a joint venture with a local company': This is a common business strategy where a foreign firm partners with a local firm to enter the market.
5. Analyze 'Licensing technology to a foreign firm' and 'Exporting goods to the foreign market': Both are recognized business strategies for entering foreign markets, where licensing allows use of technology and exporting involves selling goods abroad.