This is not an illegal practice because it isn’t illegal to import legal goods from one country to another. This creates demand for a gray market, or gray import vehicles. IN BRIEF. A situation that consists of unauthorized traders buying and selling a company´s product in different countries. This term is encouraged by producers who strongly want to discourage the practice by giving it a negative sounding name. By definition, a grey market is legal. The problem of gray markets has become one of the main concerns to many global marketing firms. Another thing management can do is reassess its marketing priorities in light of the gray market question. Or, you can listen to our webinar on rogue marketplace sellers. These tips and tricks could be exactly what you need to snuff out any grey market products. But, if you want some more information, check out our Skullcandy case study for an example of how the headphone manufacturer dealt with unauthorized grey-market sellers. Products sold here are priced lower than what a consumer pays at a genuine outlet. Grey/Gray market is where sales of legal goods take place via a distribution system not intended by the manufacturer. Gray market – vehicles. Given a proper understanding of gray-market challenges faced by American manufacturers and their distributors, the ITC has shown itself to be an eager partner. Gray-market importers see these price differentials as an opportunity to make some money reselling the less-expensive international versions of products into the domestic market. The International Trade Commission has emerged as the go-to venue in the fight against the importation of gray-market goods. A less negative term is "direct import." How to Stop Grey Market Sellers. Manufacturers of cars and other vehicles segment the global market according to territory and price. Home The Grey Market . While gray marketing is not illegal in the United States and Canada, the European Union (EU) has banned gray market goods, or parallel imports, into the EU from non-EU countries. Market comprising of consumer over the age of 60.” In marketing jargon, a gray market is one where most of the consumers are at list sixty years old. Small firms see grey marketing as a viable international strategy to compete against larger firms with the limited resources they have at their disposal. Companies confronted with a grey situation can react in many ways. Grey market. “2. In other words, this channel of distribution is not authorised by the distributor and is legal in the purview of the law. They may decide to ignore the problem, take legal action or modify elements of their marketing mix. The term grey market is an analogy to black market. Any sale that isn't legal is termed a black market. It also redesigned it marketing, promoting the new phones during bus tours for pensioners and providing classes in shops to explain the ins-and-outs of apps.