When entering a foreign market, companies typically start with ________, working through independent intermediaries to sell products produced in the home country.
A) direct exporting
B) embargo
C) product adaptation
D) indirect exporting
E) licensing

Question

Quizplus · Accepted Answer

When entering a foreign market, companies typically start with indirect exporting, which involves working through independent intermediaries to sell products produced in the home country. This allows companies to test the waters in a new market without committing significant resources to establishing a physical presence or adapting products to local preferences. Direct exporting, product adaptation, and licensing are all more involved and would typically come later in the process of expanding into a new market. An embargo is a government-imposed restriction on trade with a particular country or region and is not a strategy that companies would use to enter a new market.

When Entering a Foreign Market, Companies Typically Start with ________