Case: Telefonica- Spain & FDI: What changes in the political and economic environment allowed Telefonica to start expanding globally?
1) What changes in the political and economic environment allowed Telefonica to start expanding globally?
2) Why did Telefonica initially focus on Latin America? Why was it slower to expand in Europe, even though Spain is a member of the European Union?
3) Telefonica has used acquisitions rather than greenfield ventures as its entry strategy. Why do you think this has been the case? What are the potential risks associated with this entry strategy?
4) What is the value that Telefonica brings to the companies that it acquires?
5) In your judgment, does inward investment by Telefonica benefit a host nation? Explain your reasoning.
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