Sales Representative in Thailand
Using a Commercial Agent
- The Advantages
- Obtaining a local partner, such as an agent or distributor, is still the preferred means of entering the Thailand market for the first time as it is one of the most efficient and effective ways to reach Thai buyers. The agent or distributor can facilitate and expedite the market entry with their market knowledge and established networks. With the business culture of Thailand, interpersonal relationships are a vital factor for successful business transactions. Although Thai law does not require use of local agents and distributors, it is one of the most efficient and effective ways to enter the market in Thailand. The agent and distributor facilitate and expedite the market entry with their market knowledge and established network. Local agents and distributors are accustomed to local business practices and requirements. They are in the market and can deliver what is required for a successful business arrangement that companies cannot conveniently provide from afar. In addition, local agents and distributors will take care of regulatory affairs and acquire import permits for exporters.
- Where to Be Vigilant
Exporters must invest sufficient time and attention in selecting a qualified agent and provide training for marketing and technical support staff. Frequent contact with local representatives is essential in order to build a good relationship. Using an agent is in a way loosing contact with your clients / end-users: your agent is the owner of the contacts and you can’t have a real management of your pool of clients and prospects.
- The Average Amount of Commission
- A commission of around 10 to 25% usually apply with agent, depending on the sector.
- Finding a Commercial Agent
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