Click here to learn about hosting packages, including a FREE plan. Before the sale can occur, however, the company may need to modify a particular product to satisfy buyer tastes or needs in foreign markets. The extent to which the company will modify products sold in export markets is a key policy issue to be addressed by management.
Some exporters believe the domestic product can be exported without significant changes.
Others seek to consciously develop uniform products that are acceptable in all export markets. If the company manufactures more than one product or offers many models of a single product, it should start with the one best suited to the targeted market. Ideally, the firm chooses one or two products that fit the market without major design or engineering modifications. To enter a foreign market successfully, a U.S. company may have to modify its product to conform to government regulations, geographic and climatic conditions, buyer preferences, or standard of living. The company may also need to modify its product to facilitate shipment or to compensate for possible differences in engineering or design standards.