Question

In direct exporting, a u.s. company signs a sales contract with a foreign purchaser that provides for the conditions of shipment and payment of goods. alternatively, a u. s. company may establish a specialized marketing organization in a foreign country and engage in indirect exporting. this may be done through a(n) relationship, which limits the company's involvement in the international market, or through a(n) , which is more often used when the foreign market grows to a substantial size.

Answer 1

An agency relationship is formed when the US firm wants to limit it's interaction in the international market. The international firm works as the US's company's "agent" and handles business on their behalf