a) Multinational enterprises (MNEs) attempting to invest in Asia frequently encounter significant competition from the local business entities, that are clustered by social groups, family members and trusted inner circle local nationals. MNEs find out that clustered competition has exclusive management styles and decision-making processes. Describe the possible reasons why these local business groups might be formidable adversaries to the foreign investors.

b) Should all organizations be free to outsource any product or service devoid of government interference? Describe your answer with illustrations and rationale.