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here: Step
8: Preparing your export plan > Preparing an export
marketing strategy for your firm > The export product >Product
modification > Mandatory
product modifications |
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Mandatory
product modifications
In certain areas, exporters are not free to
decide whether or not a product should undergo modification,
e.g. where government regulations or technical requirements
are of overriding importance. Such modifications fall into
three categories:
- Legal requirements: Minimum or special standards are
often imposed by law. In addition, government regulations
relating to product packaging and labelling, particularly
in the case of food and drugs, can influence product
modifications. For example, the mandatory declaration
of certain food preservatives on the containers of food
products could have a detrimental effect on consumer
acceptance of the product.
- Nationalism: Governments may require that a certain
proportion of components be of local manufacture. South
Africa, for example, at one time required that a minimum
percentage of the components of motor vehicles be manufactured
locally. They may even forbid the importation of certain
goods; however, this form of restriction is now discouraged.
- Technical requirements: Certain technical changes,
e.g. in voltage or in the calibration of measuring instruments,
may be necessary.
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