Negotiation Contract - The government also buys on a negotiation contract basis.
Provide Facilities - Government organization provides facilities to domestic suppliers than foreign suppliers, sometimes compromising on the quality as well.
National Favouritism - A major complaint of multinationals operating in Europe is that each country shows favouritism towards its national suppliers even when the foreign firms might have made better offers.
Maintaining Documents - Government organizations require maintaining documents from suppliers. Government organizations themselves do documentation of all transactions. Suppliers require maintaining all documents regarding transactions.
16. How can you decide to enter global markets? Indicate reasons.
Small businesses can enter the global market by selling directly to customers in export territories, marketing products through a local distributor, participating in a joint venture with a local business partner, or selling through a website. Each strategy provides your business with a different level of cost, risk and control. Research Before you decide which strategy to adopt, carry out preliminary market research. You can find information on global market opportunities and sources of help on websites such as USA Trade Online. Use the data on the website to identify territories that have a demand for your products. Check local business and safety regulations to see if you need to modify your product, product name or packaging to comply with local legislation or cultural requirements. The U.S. Commercial Service, the export-promotion arm of the Commerce Department, has Foreign Service officers stationed around the globe, and is a valuable source of both general and country-specific information.
Website Selling your products through a website is a simple, low-cost way of entering the global market. Customers and prospects around the world can visit your website at any time to select products and place orders. To improve your chances of success in key export markets, prepare website pages specific to the territory. Provide product information in the local language, with prices in the local currency. Selling to global customers through a website is suitable for products that do not require demonstration or explanation by a sales representative.