basic-guide-to-exporting_Latest_eg_main_086196

your ability to terminate agreements, and in the event of a dispute you may want tostipulate how it will be resolved, such as via arbitration or in a U.S. court as opposedto a court in a foreign country.Foreign RetailersYou may also sell directly to foreign retailers, although in such transactions productsare generally limited to consumer lines. The growth of major retail chains in marketssuch as Canada and Japan has created new opportunities for this type of direct sale.The approach relies mainly on traveling sales representatives who directly contactforeign retailers, although results might also be achieved by mailing catalogs,brochures, or other literature.The direct mail approach has the benefitsof eliminating commissions, reducing travelexpenses, and reaching a broader audience.For optimal results, a company that uses directmail to reach foreign retailers should supportit with other marketing activities. For moreinformation, contact the Direct MarketingAssociation at the-dma.org or the U.S. PostalService at usps.com.Surprisingly, a company’ssuccess in foreign marketsoften depends less on uniqueproducts and more on goodmarketing methods.U.S. manufacturers with ties to major domestic retailers may also be able to use themto sell abroad. Many large U.S retailers maintain overseas buying offices and usethose offices to sell abroad when practical.What is the most common and consistent channel for producing the desired resultamong smaller U.S. exporters? The answer is distributors.Direct Sales to End-UsersYou may sell your products or services directly to end-users in foreign countries.The buyers may be foreign government institutions, businesses, or final consumersvia online sales. The buyers can be identified at trade shows, through internationalpublications, by the overseas posts of the U.S. Commercial Service, or may find youvia search engine results that you may or may not influence through search enginepositioning strategies, purchases of online ads, key word auctions, and the like.You should be aware that if a product is sold in such a direct fashion, your companyis responsible for shipping, payment collection, and product servicing unless otherarrangements are made. If the cost of providing these services is not built into theexport price, you could have a smaller profit than you had anticipated.If you choose to use foreign representatives, you can meet them during overseasbusiness trips at domestic or international trade shows. A comprehensive list ofupcoming trade shows can be found at export.gov/tradeevents. Another effectivemethod you can use without leaving the United States is e-commerce platforms.Ultimately, you may need to travel abroad to identify, evaluate, and sign up overseas66U.S. Commercial Service • A Basic Guide to Exporting