ABSTRACT
This chapter explores the impact of Japanese and European nontariff barriers (NTBs) on the international marketing efforts and investment and technology strategies of small- to medium-sized high-technology US firms. Underlying this effort was the belief that NTBs have a greater impact on smaller firms than on larger ones because of the less-extensive international presence of most small businesses, their lack of sophistication in international trade matters, and the lack of resources such companies can devote to responding to NTBs. Joint-venture agreements with local firms proved to be an effective means of penetrating a market blocked by preferential government procurement, standards problems, or significant performance requirements. Many companies retain local trading companies or distributors because of limited funds for the exploitation of overseas markets and unfamiliarity with foreign regulatory bodies, business practices, and consumer preferences.
