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Build ties with the reliable partners of the industry. Intermediaries can translate and interpret transaction. The services of an export shipper is inevitable in the international marketing of bulky products of low unit value such as coal and construction materials. The main disadvantage is that the control of activities overseas transfers to the intermediary organization. They buy products in the cheapest market in their own account and sell them in the best market and hence feel no particular obligation to any manufacturer. Organizations can sell to a wide range of customers, some of whom act as intermediaries in the target market. WebAnswer (1 of 5): Direct exporting means that a producer or supplier directly sells its product to an international market, either through intermediaries such as sales representatives, distributors, or foreign retailers or directly selling the product to Last Published: 10/18/2016 A comprehensive overview of Direct Exporting can be found in the Basic Guide to Exporting. Save hours on admin by taking advantage of Wises batch payments tool to create and send up to 1,000 payments in a single transfer. No Efforts to Promote Exporters Product: In the case of export commission house, the middlemen primarily represent the foreign customer as a buying representative, and he purchases goods only for foreign importers. export To select the best strategy, organizations must consider the markets they have selected, the products or services they wish to sell and their overall aims for international trade. The seller doesnt have any control over prices. Intermediary involved in export trade may impose a certain percentage of commission for the services provided by him. Difference Between Direct Firms with small means cannot afford to invest a huge capital in developing their own global marketing structure. This cookie is set by GDPR Cookie Consent plugin. Additionally, direct exporting allows your company to increase its profit margins in the long-run through developing a long-term market share.