ABSTRACT
Price setting needs to take into account cost, competition, and demand considerations and be interpreted as the monetary value the customer attaches to the product or service. Price escalation is caused by increases in the cost of international marketing, which are beyond the control of the international marketer. The international marketer must charge in the foreign market may have to be higher than the price in the domestic market because of increased costs incurred in the marketing process. The United States Agency for International Development (USAID) was formed by the Foreign Assistance Act of 1961. The World Bank Group was formed, along with the International Monetary Fund that regulates and coordinates overall financial relations, at the Bretton Woods Conference in 1944 when the world financial structure was reorganized after World War II. The Ex-Im Bank and USAID are two US government organizations that assist foreign buyers to purchase products from US firms.
