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Evaluating international markets The importance of information by industry, by country of destination, and by type of export transaction
Van R. Wood, Kim R. Robertson. International Marketing Review. London: 2000. Vol. 17, Iss. 1; pg. 34
Abstract (Summary)

The results of a study of experiencedexporters and their perceived importance of various types of foreign market information relevant to target market selection are presented. In general, findings indicate that information related to market potential is most highly valued, and information related to culture is rated least important. Differences in perceived importance ratings across types of industry, country of destination, and type ofexport transaction are examined and implications for exporters, export facilitators, and government agencies are presented.
Full Text (6980 words)

Copyright MCB UP Limited (MCB) 2000 Van R. Wood: School of Business, Department of Marketing, Virginia Commonwealth University, Richmond, Virginia, USA, and Kim R. Robertson: Department of Business Administration, Trinity University, San Antonio,Texas, USA Introduction Business executives in the new millennium are, or will be, forced to deal in the global marketplace. The enormous growth and potential profits in overseas markets motivate this, as does the desire to survive the onslaught of global competition (Rosensweig, 1998). However, when considering overseas markets, executives face relatively complex strategic planning assignments giventoday's rapidly shifting alternatives in terms of risk, stability, and potential returns inherent in the myriad markets around the world. Selecting among alternative international markets, be it for exporting, licensing, joint ventures, strategic alliances or direct investment, requires information. Likewise, the assessment of information across different types of markets determines, in large part,the degree of success (or failure) achieved in the international arena (Andersen and Strandskov, 1998). In theory, decision makers' perceptions of the importance of different types of foreign market information may be driven by a combination of things, including the industry they represent, the specific markets they are considering, and the type of transactions they would favor when enteringspecific markets (Carlisle, 1996; Harrell and Kiefer, 1981; Hodgson and Uyterhoevern, 1962; Stobaugh, 1969). While the political climate in one country or region may be perceived as a key dimension to an international venture's success (or failure), the level of economic development may be the key in another. Likewise, while an advanced infrastructure may place one foreign market more favorably aheadof another for one industry, the existence of a stable and transparent legal system might do the same for another industry. Similarly, the importance of information concerning the legal structure in different markets may be related to the type of international transaction being considered (i.e. exporting, joint venture, direct investment, etc.). In theory, international business decision makers,representing different industries, evaluating different markets, and favoring different means of transacting their foreign ventures, should value certain types of information differently depending on the specific perceived impact of such information on their firm's success (and/or failure). This paper, focusing on experienced exporters, examines this theory in an exploratory fashion by addressingseveral questions. They include:
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- What information is most important to established exporters when analyzing foreign markets? - Does the perceived importance of foreign market information change as markets...
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