Many firms in the past have followed an incremental approach to the sales channels used in international

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Many firms in the past have followed an incremental approach to the sales channels used in international markets. Typically, these companies started by selling in foreign markets through sales agents or distributors. Following this, they opened liaison offices to assist and monitor the activities of the appointed distributors. With subsequent growth in business, the company would set up its own sales subsidiary to manage sales and customer service. This incremental strategy has worked quite effectively for many companies in the past. In your opinion, would the current emphasis being placed on globalization have any bearing on the effectiveness of this incremental strategy? If so, what would this effect be, and why?
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Global Marketing management

ISBN: 978-0470505748

5th edition

Authors: Masaaki Kotabe, Kristiaan Helsen

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