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06 Entry strategies for overseas markets > Deciding which entry strategy to use - Pg. 112

112 Building Your Business Through exporT example In Chapter 5 we looked at the UK company Precision Vacuum Products as they developed their export strategy and export plan. They decided to move into direct exporting and decided to use distributors in their target export markets and to sell directly to some key original equipment manufacturers (OEMs). We will look at the reasons that they chose to use distribution rather than a different approach. As a small company with limited resources, they know that developing sales in their target export markets will be a gradual and slow process. They do not have the resources to set up their own sales units in individual markets, but also they can see that, even if they did, it would not make commercial sense with the level of sales they hope to achieve in the first three years of their plan. They decide not to use agents because of the high level of technical expertise required to sell their products and the level of after-sales support