STRATEGIC ALLIANCES
One popular way to become involved in business in the U.S. is through franchising. While franchises are also a popular way of entering some international markets, strategic alliances are increasingly utilized. In fact, strategic alliances are often required by some countries, rather than other modes of entry, as they involve local firms directly in the business. U.S. commercial analysts have conducted a study on the Egyptian and Kuwaiti markets to discover opportunities for American companies. Their findings suggest that these markets would grow to an estimated $51 million in 1992, and are expected to increase from 10 to 20 percent a year on average over the following three years. Revenues from foreign retail stores in Kuwait totaled about $8 million in 1993 and are expected to rise at an average annual rate of 25 percent through 1996.