3. In the case of a commission representative, does he have good credit sense?

Does he submit orders only from reliable firms that can be depended upon to pay in accordance with the sales terms? Does he adjust the sales terms to the creditworthiness of the customers? The exporter generally wants an agreement that is easy to cancel in the event that a foreign representative does a bad job in selling the exporter’s product(s). In addition, ease in cancellation can provide the exporter with greater control over the marketing program. Yet it is in the best interests of the exporter that the representative feels good enough about the relationship to make a firm commitment to the exporter’s product(s). Unsatisfactory relations with representatives can be reduced with proper selection of the foreign representative