ABSTRACT

This chapter explores in more depth the nature of entry strategies and considers the conditions that suggest the use of each. First, the chapter examines how companies use exporting for international sales. Exporting is the easiest way to sell a product to customers in another country. Often companies begin as passive exporters, where the effort can be as little as treating and filling overseas orders like domestic orders. The chapter reviews entry choices that companies can use to operate in the international marketplace. It also addresses major issues that an international manager must consider in selecting an entry strategy. The complexities of choosing an entry strategy that complements the company's multinational strategy or strategies represent significant challenges to international managers. The chapter discusses some of the major issues to consider when choosing between an active or passive exporting strategy.