Kitchen Guru decided to export its products to foreign markets by hiring local marketing agents in each country. Over the years, Kitchen Guru ran into various problems with these local marketing agents that affected both sales and profitability. Kitchen Guru can overcome its problems with local marketing agents by
A. selling intangible property to a franchisee and insisting on rules to conduct the business.
B. changing agents frequently.
C. engaging in turnkey projects and exporting process technology to foreign firms.
D. entering into cross-licensing agreements with foreign firms.
E. setting up wholly owned subsidiaries in foreign nations to handle local marketing.
Answer: E. setting up wholly owned subsidaries in foreign nations to handle local marketing