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Author:Cavusgil, S. T.
Sikora, E.
Title:How multinationals can counter gray market imports.
Journal:Columbia Journal of World Business
1988 : WINTER, VOL. 23:4, p. 75-85
Index terms:MARKETING
IMPORTS
MULTINATIONAL COMPANIES
Language:eng
Abstract:Gray marketers appeal to their customers with lower prices. If purchased on the gray market, which meets all the USA requirements, good can be bought for about 20 percent less than by the local authorized dealer. Gray or parallel import marketing has always concerned multinational companies and their dealer networks. There is proposed a range of both reactive and proactive strategies that companies can adopt to counter gray market channels. Each strategy is illustrated by actual management responses. The principal thesis is that long term and assured resolution of gray market problems can result from deliberate management planning and action. Such a response is imperative, while USA Supreme Court upholds the legality of gray market imports.
SCIMA record nr: 69338
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