The main disadvantages/deterrents to exporting are

  • Financial management effort: To minimize the risk of exchange rate, fluctuation and transactions processes of export activity the financial management needs more capacity to cope the major effort
  • Customer demand: International customers demand more services from their vendor like installation and startup of equipment, maintenance or more delivery services
  • Communication technologies improvement: The improvement of communication technologies in recent years enable the customer to interact with more suppliers while receiving more information and cheaper communications cost at the same time like 20 years ago. This leads to more transparency. The vendor is in duty to follow the real-time demand and to submit all transaction details
  • Management mistakes: The management might tap in some of the organizational pitfalls, like poor selection of oversea agents or distributors or chaotic global organization