INTERNATIONAL MARKETING

EXPORTING DIRECT TO INTERNATIONAL CUSTOMERS

• Online promotion = cost effective
• You can choose which orders to accept
• Establish direct customer relationship
• Choose basis of payment e.g. currency/delivery options
• Potentially beaureucratic
• No direct physical contact with customer
• Risk of non-payment

SELLING VIA OVERSEAS AGENTS/DISTRIBUTORS

• Agent should have specialist knowledge of market and existing customers.
• Fewer transactions to manage.
• Cost-effective
• Loss of profit margin
• Harder to manage quality customer service
• Agent/distributor keeps customer relationship

OPENING AN OPERATION OVERSEAS

• Local contact with customers + suppliers
• Quickly gain detailed insights into market needs
• Direct control over quality and customer service
• Avoid tariff barriers
• Significant cost and investment of mamagement time
• Understand and comply with legal + tax issues
• High risk

JOINT VENTURES OR BUYING A BUSINESS ABROAD

• Reduced risk
• Buying into already existing expertise
• Joint ventures often go wrong
• Risk of buying wrong business or paying too much
• Competitor response may be strong.