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Small Business Intermediaries (Scenario)

Question 7

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Small Business Intermediaries (Scenario)
Mary's Mosaics is a small business in California that creates custom-designed decorative items from mosaic tiles and glass. The international e-commerce created for Mary's Mosaics generates the majority of the firm's business, although the firm also sells items to U.S. retailers for domestic sale. Mary Boyd, the CEO of Mary's Mosaics, recently received an order from a Spanish retailer for $20,000 worth of mosaic items. Similar orders have been placed from importers in Australia, England, and Canada. Mary needs to identify appropriate foreign intermediaries for each market.
-Which of the following should be established by Mary's Mosaics to avoid intermediary difficulties?


A) It should seek a long-term joint venture partnership.
B) It should use countertrade as the method of payment when doing business with foreign intermediaries.
C) It should seek permanent employment with the foreign intermediary.
D) It should establish a contractual clarification of responsibilities.

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