Page 202 - International Marketing

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204 International Marketing BRILLIANT'S

markets and the contractual relationship in short term only, from a
few months to a year or two. Sometimes, the contract applies
only to a particular transaction as well. MEA's act under their own
names and receive a commission for services. Whereas an
international marketer might deal with only one EMC, it would be
represented by several MEA's. MEA's do not serve the export
department so they cannot be replied upon to perpetuate business
for an export minded company.
3. Webb-Pomerene Association: A Webb Pomerene Association
is formed among competing U.S. manufacturers especially and
exclusively for the purpose of exporters according to the Webb-
Pomerene Act of 1918. An agreement in the form of a Webb-
Pomerene association is exempted from antitrust laws. The
members of Webb-Pomerene association can engage in different
international marketing activities to their mutual advantage such
as they can set prices, combine shipments, undertake marketing
research jointly, share information with each other and allocate
orders among different members of association.
4. Foreign Freight Forwarder: They specialize in handling overseas
shipping arrangements. Its services can be utilized for handling
goods from a US port to the foreign port of entry. Occasionally, it
may handle inland shipments as well. A foreign freight forwarder
receives a discount or fees from the shipping company. It would
be paid additional fees for extra services such as packing.
5. Commission Agent: Foreign customers interested in buying US
products are represented by commission agents. They serve as
finders for their principals, locating desired goods at the lowest
price. The commission agents receive their commission from their
foreign clients.
6. Country Controlled Buying Agent: He is an official buyer of a
foreign government, seeking to buy designated goods for his or
her country. Many developing countries for e.g., maintain supply
missions in the US with a number of officers who are entrusted
with the task of procuring different goods for their countries.
7. American Trading Company (ATC): It is a new form of indirect
channel that can be formed under the Export Trading Company
Act of 1982 which aims at increasing US export.
(B) Merchant Middlemen: The merchant intermediaries serve as
middle agents for manufacturers in their export endeavours. Export
merchants, other manufacturers, export vendors, overseas military market
representatives, MNCs and the U.N. principally perform this function.