To enter a foreign market successfully, a company may have to modify its product to conform to government regulations, geographic and climatic conditions, buyer preferences or standard of living. It may also need to redesign product to facilitate shipment or to compensate for possible differences in engineering or design standards.
Foreign government product regulations are common in international trade. These regulations are imposed for a variety of reason such as to protect domestic industries, health of citizens, environmental considerations, meet local requirements for electrical or measurement systems, restrict the flow of goods from certain countries etc.
Buyer preferences in a foreign market may also lead an exporter to modify its products. Local customs, such as religion or the use of leisure time, often determine if a product will actually sell. Also an exporter of high technology products are inappropriate in some countries not only because of their cost but their function. An industrial washing machine in a country with high unemployment is not practical or good for such a market.