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6.4: Reason to avoid international market

  • Page ID
    21367
    • John Burnett
    • Global Text Project
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    Despite attractive opportunities, most businesses do not enter foreign markets. The reasons given for not going international are numerous. The biggest barrier to entering foreign markets is seen to be a fear by these companies that their products are not marketable overseas, and a consequent preoccupation with the domestic market. The following points were highlighted by the findings in the previously mentioned study by Barker and Kaynak, who listed the most important barriers:7.

    • too much red tape

    • trade barriers

    • transportation difficulties

    • lack of trained personnel

    • lack of incentives

    • lack of coordinated assistance

    • unfavorable conditions overseas

    • slow payments by buyers

    • lack of competitive products

    • payment defaults

    • language barriers

    It is the combination of these factors that determines not only whether companies become involved in international markets, but also the degree of any involvement.


    6.4: Reason to avoid international market is shared under a CC BY license and was authored, remixed, and/or curated by John Burnett.

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