Additional Case $17\mathrm{.}1$

Hollar, Inc. is a U$.$S$.-$based, international car manufacturer with assembly facilities in $12$ countries. Currently, expatriate managers and local national managers are hired and promoted according to the direction of the home office. Hollar has a strategic alliance with a large African ship building company in order to move into that market. Hollar recently purchased Tyro, a firm based in France that makes automobile components. Tyro's production facilities are located in France, but the firm has dealerships and customers throughout Europe.

Hollar plans to open a new plant in India within the next four years. Some of Hollar's top executives advocate using expatriates to oversee the construction of the new facility. Another group of Hollar executives assert that host$-$country nationals should manage the project.

Refer to Additional Case $17\mathrm{.}1.$ In which stage of internationalization is Hollar, Inc.?

Stage $4$

Stage $3$

Stage $5$

Stage $2$