How Does Using an Exporting Intermediary Limit the Risk Involved

question 145

Multiple Choice

How does using an exporting intermediary limit the risk involved with global marketing?

• A)Most exporting intermediaries assume all financial risks on behalf of their clients.
• B)Exporting intermediaries are not subject to the same laws as companies, and therefore limit the legal risk involved.
• C)Using an exporting intermediary restricts a company to being involved with joint ventures and not direct ownership.
• D)Exporting intermediaries guarantee that the products a company is selling will be a good fit for the foreign markets they are entering.
• E)This approach involves limited risk because the company has no direct investment in the foreign country.

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Definitions:

Forced Coercion

Employing threats or pressure to compel someone to act in a desired way against their will.

Rational Persuasion

A method of influencing others through logical arguments and factual evidence to change their attitudes or behaviors.

Refreezing Phase

The stage in Lewin's change management model where new behaviors or changes are solidified into the culture or operational practices of an organization or group.

Rational Persuasion Strategy

Pursues change through empirical data and rational argument.