Foreign market penetration

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These options vary with cost, risk and the degree of control which can be exercised over them. Nali products of Malawi gives an interesting example of a "passive to active" exporting mode. Understand the addressable market. TypePad Profile Get updates on my activity. Kicking off the list at 1 is franchising.

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Many agricultural products of a raw or commodity nature use agents, distributors or involve Government, whereas processed materials, whilst not excluding these, rely more heavily on more sophisticated forms of access.

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Market Entry Strategies

Whilst no direct manufacturing is required in an overseas country, significant investments in marketing are required. The disadvantage is mainly that one can be at the "mercy" of overseas agents and so the lack of control has to be weighed against the advantages. Concerning investment and control, the question really is how far the company wishes to control its own fate. Different methods These are either "direct", "indirect" or "foreign" based. A distinction has to be drawn between passive and aggressive exporting. The disadvantages are that they incur many costs especially marketingthe risks are high, some may be more effective than others due to culture and in some cases their credibility amongst locals may be lower than that of controlled independents.

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