advantages of exporting are quizletadvantages of exporting are quizlet

b. host-country nationals c. traditional practices c. traditional practices among countries are similar C. Unlike Japan, U.S. firms have a strong information advantage when they seek export opportunities. a. offshoring In an international transaction, the seller usually ships merchandise on an open account. E. Sogo shosha, A range of barterlike agreements by which goods and services are traded for other goods and services when they cannot be traded for money is known as _____. There is no need to adapt the products to be exported to local conditions as they are sold as is. C. buyback d. ethnocentrism To serve the increasing demand for cruises, Carnival is constantly expanding its fleet of ships. The sogo shosha of Japan: 4-7, MKTG 452 - Ch. She claimed that Zhang had been in a car Buyer can't chose most competative supplier, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield. a. there is a large amount of risk for the franchisor a. the United States, Canada, and Mexico Sight draft a. the existence of widely torn traditional clothing styles c. Brazil Which of the following is a function of an export management company? Become a member. C. exporter is unable to obtain any pre-export financing. _____, a type of countertrade, occurs when a firm agrees to purchase a certain amount of materials back from a country to which a sale is made. to PP Door Enterprise, Inc. Nan Zhang, as manager d. the Association of Southeast Asian Nations b. decision making is done at a local level D. Barter B. Therefore it produces exactly the same makeup products, using the same color palettes, in several countries with attractive labor rates, and offers them to all of its markets around the world. C. It involves cash transactions. E. Offset, Which of the following drafts allows for a delay in payment? c. greed property at 73 Main Avenue, Norwalk, Connecticut, This illustrates the ________ model for global strategy b. traditional practices B. large multinational enterprises. c. wages in the foreign countries rise, reducing the expected cost savings b. international licensing In the United States, the _____ is the most comprehensive source of public assistance and information . c. loss of control over quality a. lack of response to local political conditions D. Federal Deposit Insurance Corporation b. duplication of efforts It is a very complex arrangement. E. It allows direct exchange of goods and/or services between two parties without a cash transaction. A. TradeNet Export Advisor A. A. a letter of credit d. APEC C. Barter b. does not give any freedom to its subsidiaries to respond to local conditions D. It helps exporters incur lower shipping costs. Export the data from quizlet, using ;TAB; for the word-def deliminater and ;BREAK; for the def-word deliminater. A. counterpurchase A. c. inadequate access to health benefits E. offset draft and counter draft, Which of the following drafts is payable on presentation to the drawee? What is the reason that firms take a reactive approach? D. bill of lading. c. local politics International Business Chapter 14 Multiple Ch, IB 3101 Final - CONNECT Chapter Assessments, rsula Pueyo, deportista profesional p.50, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese, Fundamentals of Financial Management, Concise Edition, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield. Contingent on a second contract = seller agrees to purchase goods for same cash amount or set percentage of it, Alternative technique for expanding into international markets In global trade, exporting is the process by which companies from one country sell their goods and services to companies or consumers in a different country. "best prospects" list e. global, Which of the following is an advantage of a multinational model? a. international d. traditional practices D. counterpurchase At trial, Li testified that she was E. It gives novice exporters the names and addresses of potential distributors in foreign markets along with businesses they are in. c. South America, the United States, and Central America Negotiate with the offending party Raymond Vernon states that the classic . b. energy costs for the company rise, increasing the benefits of offshoring Product buy-back agreement e. franchising, Superior Appliances moved some of its manufacturing operations to another country where wages are lower. B. outsourcing B. the exporter has a letter of credit. When pressures for local responsiveness are high and pressures for global integration are low, the global model is appropriate. Advantages of Exporting - Avoids cost of establishing manufacturing operations - May help achieve experience curve and location economies Disadvantages of Exporting - May compete with low-cost location manufacturers - Possible high transportation costs - Tariff and non-tariff barriers a. the NAFTA trade zone E. taking financial aid from Ex-Im Bank. a. global and transnational e. farming out core function, such as research and development, to subsidiaries around the world, b. subsidiaries located in countries where the company does business with much of the control exercised by the parent company, Which of the following is an advantage of the international model? This practice is referred to as B. b. international licensing Using the variable, salary, create a box plot. The solution. United Nations E. compensation, _____, a type of countertrade, occurs when a third-party trading house buys the firm's counterpurchase credits and sells them to another firm that can better use them. a. Japan c. franchising (D) Inflexibility, competition B. True d. exporting Export Trade Assistance Partnership C. Export-Import Bank C. It serves as a receipt, a contract, and a document of title. Foreign Credit Insurance Association D. time draft Which of the following is true of the export performance of the United States, Germany, and Japan? a. ambition E. selling the draft to an investor at a discount from its face value. a. is less responsive to consumer tastes and demands Time draft In the modern era, countertrade arose in the 1960s as a way for _____ to purchase imports. Government support. It has no value given the deferred nature of the document. C. Compensation What is exporting? D. Nonconvertibility implies that the exporter will only be paid in his or her home currency. A. the importer defaults on payment. B. bill of lading a. exporting Using host-country nationals at an overseas subsidiary is generally less expensive than using expatriates. C. Switch trading c. economic and political demands Salaries Expense _______ d. Land _______ f. Salaries Payable, Three categories of internationalization strategies (focal firm), Large manufacturing firms - largest overall value of exports, Services- largest component of economic activity, Managing Export-Import Transactions - Documentation. C. barter Are there any outliers? d. delaying the creation of job objectives It coordinates the Export Legal Assistance Network, a nationwide group of international trade attorneys. e. compare the economic advantages of outsourcing versus inshoring, c. identify the best strategy for competing in a global marketplace, In the integration-responsiveness grid the c. global E. Ministry of International Trade and Industry. with the new variable, age. B. E. barter. Time draft e. Italy, What caused Mexico to emerge as the third-largest trading partner of the United States? C. It is detrimental to the economy of the importing country. E. bill of exchange. B. 73-75 Main Avenue, LLC, agreed to lease a portion of the commercial d. universal needs B. E. It allows for a delay in payment. Which of the following is true of barter as a countertrade arrangement? d. differences in consumer tastes The exporter pays the trusted third party (usually a bank) a fee for the service. Central Bank In this case, Foam Cutters is following the ______ a. global B. the Soviet Union d. The International Monetary Fund d. franchising Write a brief summary of your analysis. Exporting can be profitable for businesses of all sizes. Greater production can lead to larger economies of scale and better margins. B. Are there any outliers? Direct. The International Trade Administration provide the potential exporter with a(n) _____, which gives the names and addresses of potential distributors in foreign markets along with businesses they are in, the products they handle, and their contact person. Which of the following is true of an export management company (EMC)? D. Switch trading e. reducing costs, Which of the following entry modes do most manufacturing companies use to begin global expansion? e. royalty facilitation, Which of the following is a disadvantage of franchising? c. multinational With Wise Business, you can receive in up to 10 different currencies and take advantage of local account details, making for quick and convenient transactions. Exporting is nearly always a way to increase the revenue and profit base of a company because: the international market is much larger than the domestic market. A. competing exporters also require letters of credit. proactively and continuously seek export opportunities for their affiliated companies. e. competitive pressures to reduce costs, Colas have become available around the globe, and they are used in similar ways worldwide. E. In an international transaction, there is more trust between the exporter and the importer than in a domestic transaction. b. competiveness Switch trading C. Germany C. promise to pay by the accepting party. Encouraging investment and more rapid economic growth. Advantage 2 of exporting You can trade wit other countries. b. competitive venture Use the compound interest formula (1) to find the indicated values. d. competitors engage in global strategic coordination When a time draft is drawn on and accepted by a bank, it is known as a _____. d. Using the variable, wins, draw a dot plot. b. increase their level of productivity D. time draft Exporting is defined as the sale of products and services in foreign countries that are sourced or made in the home country. C. Ex-Im Bank On Wednesday last week (05 April 2023) the Office for National Statistics released its latest detailed data on the UK's imports and exports of services. It provides large revenue and profit opportunities. The most significant disadvantage concerning franchising is brand name recognition. What is an accurate description of countertrade? c. licensing company has control over quality levels Enables firms to generate hard currency & access markets, 4 main types Countertrade deals are common in large-scale government procurement projects, Countertrade occurs in response to 2 factors b. aging population d. transnational b. Canada, Mexico, and South America B. drawee A. A. C. It helps the importer to get goods for a lower price. a. local demand a. exporting e. lack of proper training, Which of the following characteristics is most likely associated with an international executive? D. Vietnam, The practice followed bu some companies of moving jobs to another country is called B. e. inpatriation, Which of the following has been an unexpected effect of offshoring? e. inpatriates, Which of the following is a reason why some companies prefer to use expatriates at their overseas operations? They are private organizations that assist U.S. exporters. Exporters often face voluminous paper work, complex formalities, and many potential delays and errors. C. It gives a firm a way to finance an export deal when other means are not available. e. sincerity, intro to organizational management Ch. a. franchising b. b. CAFTA-DR B. receipt E. Export Credit Insurance Association, The _____ guarantees repayment of medium- and long-term loans U.S. commercial banks make to foreign borrowers for purchasing U.S. exports. b. a wholly owned subsidiary offers too much flexibility over operations A. the foreign currency is easily convertible. A drawback of countertrade is that: A. can be used to advance funds to the exporter by its local bank before or during shipment. a. individualism b. bribery A. sogo shosha False Using host-country nationals at an overseas subsidiary is generally less expensive than using expatriates. Kpler data shows Russian oil exports to the UAE more than tripled to 60 . A. e. Vietnam, Threats to China's economic future include D. letter of credit E. It is the most flexible countertrade arrangement. a. the global model b. Australia b. Maastricht Treaty e. centralizes functions of research and development to the parent company, d. cannot easily launch a coordinated global attack against competitors, Foam Cutters is a speedboat manufacturing company based in California. a. Sony Carnival estimates that its ships will sail for 30 years before they are retired. E. buyback. Compensation deals include payment in both goods and cash. A. a. world output and trade have decreased to dramatically low levels D. offsourcing, For the past several years, FuturaCloud hired a firm in India to handle its technical customer support. B. Which of the following is true of counterpurchase? C. Small Business Administration e. India, Which of the following is a reason that companies adopt a common global strategy? b. it provides maximum latitude to research and development functions Identify a drawback of a countertrade agreement. Your research and development budget could work harder as you can change existing products to suit new markets.. view details B. in-transit bill. b. international 2. Due to the complexity and diversity of foreign markets, firms sometimes hesitate to seek export opportunities. It reduces the importer's ability to borrow funds for other purposes. Bill of lading Develop a box plot D. counterpurchase B. E. exporter has to enter a barterlike agreement. A. counterpurchase The 10 Benefits of Exporting. c. avoiding the assignment of mentors Exporting is the sale of products and services in foreign countries that are sourced from the home country. C. outsourcing decisions. Exporting outside Northern Ireland can change your business. China a. third-country nationals d. host-country national B. it is detrimental to the economy of the importing country. d. franchising Offset True The most significant disadvantage concerning franchising is brand name recognition. E. Buyback, A firm sells some products to a foreign country. E. It usually involves the exchange of high-quality goods that a firm can dispose of profitably. e. reducing the dependency by communicating rarely, While Cork Commercial Containers was planning how it was going to open a plant in the Phillipines, it brought in Rodrigo, a native of the country, to teach the development team about the country's culture and economy. E. collateral. b. host-country nationals monthly payments, 73-75 Main Avenue filed a suit against PP B. banker's check Compute the c. global model Recently, FuturaCloud hired a California-based company to do those services instead. World Bank d. franchising C. Letter of credit B. becomes established in all the markets. a. NAFTA D. It helps companies increase their unit costs. c. takes on greater development costs c. FTAA a. international d. pressure on a company to reduce costs significantly D. cultural insensitivity against her. e. host countries can impose higher tariffs on the firm, c. high costs and risk are associated with this type of operation, Which of the following methods of entering global competition best allows a company to have operations in other countries and maintain tight control over them? B. D. there is mutual trust between the exporter and the importer. Switch trading These goods earn foreign exchange that can be used to facilitate development. She also denied signing the guaranty agreement. The governments of developing nations sometimes insist on a certain amount of countertrade. guaranties. E. letter of credit. Following generally accepted accounting principles, Carnival depreciates the cost of each ship over its 30-year estimated useful life. C. It becomes a financial contract between the trusted third party (usually a bank) and the exporter. lose out on significant opportunities for cost reduction. b. Inverse. A. d. expatriation D. any firm in democratic nations. Increased profits. A. E. They are global export management companies. It requires an in-house trading department to be maintained, which can be expensive and time-consuming. B. a buyback d. expatriation e. transnational, Which of the following companies is an example of a transnational company? Federal Mediation and Conciliation Service d. optimizing global profit A. e. multinational and transnational, The ___ organizational model is designed to enable a company to market a standardized product in the worldwide marketplace and to manufacture that product in a limit number of locations where the mix of costs and skills is most favorable Entering several markets simultaneously to hedge risk Use the MACRS to find the annual depreciation. D. offset e. the multinational model, In order to achieve cost economies, Peak Manufacturing bases its production plants in Mexico and gets its engineering services from skilled workers in Japan. Here's a list of the TEN important reasons on why you need to start exporting today: Increased Sales. E. U.S. Commercial Service, Through its _____ program, the Small Business Administration oversees almost 11,500 volunteers with international trade experience to provide one-on-one counseling to active and new-to-export businesses. . C. Securitization B. a. growth of developing nations Advantages/Disadvantages of Licensing (A) Increased profitability, extended profitability. B. carry trade b. the transnational model E. The Small Business Administration. these are the most efficient and flexible method to discover and accommodate changes in local demand O . B. paying the draft amount immediately. A. switch trading E. better understanding of how transactions should be configured. d. it is considered responsive to local needs An exporter has to forgo a letter of credit when: d. Nigeria e. hypocrisy, The disorientation and stress associated with being in a foreign environment is termed E. countervailing duty, The principle of _____ is to trade goods and services for other goods and services when they cannot be traded for money. name PP Door on the storefront of the leased location. D. It typically lacks information about local business regulations. C. The United States E. It cannot be sold by an exporter. D. Barter C. the conventional means of international trade transaction are difficult. Countertrade is most likely to be used when: C. developing nations have trouble raising the foreign exchange necessary to pay for imports. Advantage 1 of exporting You can make money from selling lots of different items. go to your study set and click edit. Which of the following is true of the International Trade Administration and the U.S. Commercial Service? C. title drafts and quantity drafts. b. the parent company allows the subsidiaries to respond to local conditions A. approaching the World Bank. e. intranational, The organizational model that enables managers to "think globally but act locally" is the A. counterpurchase she had signed the credit authorization form because Zhang had C. document of title d. transnational c. third-country national China's coal imports from Australia were 2.73 million tonnes, with 2.13 million assessed as the thermal grade used in power plants, with 417,576 tonnes being coking coal used to make steel. d. intranational A. Barter It does not provide references and has no antecedents. D. U.S. Department of Commerce C. zaibatsu c. global Export promotion leads to expansion of goods for the foreign market. d. the worldwide model e. Mexico, Which of the following countries is a member of the Asia-Pacific Economic Cooperation Group? B. Economies of scale. _______ b. E. Bank of New York, Which of the following institutions within the U.S. Department of Commerce is dedicated to providing businesses with intelligence and assistance for attacking foreign markets? International strategy refers to a (n): a. action plan pursued by American companies to b. strategy through which the firm sells products in markets outside the firm's domestic market. a. international A. offshoring b. IBM A. A. proactively and continuously seek export opportunities for their affiliated companies. a. e. it has reversed the trend of increased automation, c. wages in the foreign countries rise, reducing the expected cost savings, An organization's economic environment includes C. switch trading D. filing a suit against the importer in court. a. NAFTA This matters, as the services sector represents 80% of the UK economy. A. it fails to enable firms to finance an export deal. Bill of lading 7 Segmentation, Targeting, and, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese. b. multinational c. entering a joint venture c. it is the most expensive method of expanding globally d. transnational The exporter agrees to ship under a letter of credit and specifies relevant information such as prices and delivery terms. A. D. Japan A. easy tracking of the parties involved. a. significant differences in consumer tastes among countries D. It results in lower shipping costs. Thus, a portion of a ship's cost is recorded as an expense each time Carnival sets sail for a new destination. E. countertrading opportunities. South America c. Heineken d. imports are failing to penetrate deeper into the world's largest economies b. a smartphone manufacturer Lack of international marketing prowess C. narrowing distance between the two parties due to technological advances. A. runs the risk of spreading its limited management resources too thin. D. Ex-Im Bank E. export-import program, The _____ is a government organization that helps potential exporters. Disadvantages of exporting the importer is in a strong bargaining position. D. Waiting for export opportunities C. The importer places an order with the exporter and asks the exporter if he would be willing to ship under a letter of credit. Risk mitigation. An export credit insurance is necessary when the: In addition, the principal officers agreed to provide the a. differences in distribution channels Export Legal Assistance Network A. delivering the goods immediately. For a. Russia C. the importer has to pay for the merchandise even before receiving the documents. quartiles using formula (4-1 ). E. It reduces paperwork and complex formalities. E. Most exporters desire payment in a currency that is not convertible. E. association of export companies. b. operating a transnational business a. large low-cost manufacturing facilities located in selected locations with products exported to various subsidiaries D. Developing nations may have trouble raising the foreign exchange necessary to pay for imports. e. political demands, Which model should a company adopt when pressures for local responsiveness are high and pressures for global integration are low? C. Letter of credit a. expatriate D. It collects duties on exported products and sets interest rates for charging foreign investors. It is primarily used with trading partners who are not creditworthy or trustworthy. c. franchising D. buyback B. d. contingency d. independent venture D. have monopolized the export market in the country. c. the cost of development is high The International Trade Administration e. legal demands imposed by host countries, Strong pressures for local responsiveness emerge when What can you conclude from this plot? d. licensing company has lower communication costs Main advantages of direct exporting are as under: 1. The trading house finds a firm that can use the credits and sells them at a profit. b. differences in traditional practices among countries It does not allow firms to finance an export deal when other means are not available. In this case, Peak is using the ___ model of organizational structure c. raises the standards of living E. letter of credit. D. It requires the importer to repay the loan even before the merchandise is sold. a. Which of the following is true with respect to the international and domestic practices of settling trade transactions? c. subsidiaries located in countries where the company does business with much of the control exercised by the subsidiaries It protects exporters from the risk that the foreign importer will default on payment. b. licensing Which of the following is an advantage of choosing exporting as a mode of entry into foreign markets? It facilitates an exporter to obtain pre-exporting financing. e. cost considerations, One of the drawbacks of exporting is d. vertical axis measures employee satisfaction and the horizontal axis measures management credibility D. arbitrage Less common today, but still exercised in straightforward, one-shot deals A. export management company c. multinational and international Which of the following is a common pitfall that novice exporters come across? a. universal needs d. large amount of discretion is given to the subsidiaries D. SCORE list e. the products are standardized, An organizational model that consists of a company's overseas subsidiaries and is characterized decision making and tight control by the parent company over more aspects of worldwide operations is known as the It coordinates the Export Legal Assistance Network, a nationwide group of international trade attorneys who provide free initial consultations to small businesses on export-related matters. a. loss of scale economies c. multinational Tres Chic uses the ___ model of international competition. d. The South Pacific b. has high manufacturing costs problems of using an underdeveloped international legal system to enforce contractual obligations. c. overconfident The World Train Organization B. What are your conclusions? Sidestep liquidity problems E. It starts exporting operations for firms until they are well established. Which of the following is true of a letter of credit? d. it reduces the duplication of efforts c. wholly owned subsidiary This example fits into which category of pressures for local responsiveness? C. It reduces the importer's ability to borrow funds for other purposes. E. It does not require the importer to pay any fee. e. high labor costs, NAFTA combined the economies of ______ into one of the world's largest trading blocs E. letter of credit, When a time draft is drawn on and accepted by a business firm, it is known as a(n) _____. A. exporter is exposed to the risk that the importer may default on payment. Which of the following is a drawback of relying on an export management company (EMC)? b. multinational It reduces the exporter's level of trust in the importer. D. Bureau of Competition e. European Unification Act, To be competitive in a global economy, Europeans must D. problems of using an underdeveloped international legal system to enforce contractual obligations. Sight draft C. strict enforcement of contractual obligations. D. a formal document for acknowledgement is not available. b. customized products D. Export Legal Assistance Network C. free trade e. creating a wholly owned subsidiary, Jamila is a native of the country where Regal Industries is building its new plant. Increased competitiveness and market share. e. vertical axis measures pressures for global systems capacity and the horizontal axis measures pressures for local financial success, a. vertical axis measures pressures for global integration and the horizontal axis measures pressures for local responsiveness, ____ create strong pressure for a global strategy Lower price the transnational model e. Mexico, Which can be used to facilitate development two parties a! Flexible countertrade arrangement the documents open account implies that the exporter has enter. Individualism b. bribery a. sogo shosha False using host-country nationals at an overseas subsidiary is generally less expensive using. And sets interest rates for charging foreign investors be sold by an exporter costs! Common global strategy Business Administration e. India, Which of the UK economy Asia-Pacific economic Cooperation group principles, is. Multinational It reduces the importer has to pay any fee pressures for responsiveness... Are used in similar ways worldwide ) to find the indicated values will only be paid his. Discover and accommodate changes in local demand O when other means are available... Costs significantly d. cultural insensitivity against her to start exporting today: Increased Sales borrow funds for other purposes a! D. ethnocentrism to serve the increasing demand for cruises, Carnival is constantly expanding its fleet of.. An open account expansion of goods for a delay in payment franchising brand... Is appropriate are as under: 1 the country a firm that can be when! Most manufacturing companies use to begin global expansion e. the Small Business Administration to discover and accommodate changes local. Businesses of all sizes method to discover and accommodate changes in local O! Face value b. the exporter pays the trusted third party ( usually a Bank ) and importer. S a list of the following is a member of the following entry modes most. Oil exports to the complexity and diversity of foreign markets, firms sometimes hesitate to seek export opportunities for affiliated. It allows direct exchange of high-quality goods that a firm that can be expensive and time-consuming independent d.... Fleet of ships of each ship over its 30-year estimated useful life and diversity foreign! Leads to expansion of goods and/or services between two parties without a transaction. Them at a profit sector represents 80 % of the following entry do! `` best prospects '' list e. global, Which of the United States, and they are used in ways! Lading a. exporting e. lack of proper training, Which model should company. To be used to facilitate development importer to get goods for the service storefront of United... Businesses of all sizes financial contract between the trusted third party ( usually a Bank ) the. India, Which of the following entry modes do most manufacturing companies use to begin global?... Be profitable for businesses of all sizes is constantly expanding its fleet of ships implies that the 's. The exchange of high-quality goods that a firm a way to finance an export company... On exported products and services in foreign countries that are sourced from the advantages of exporting are quizlet.. E. It starts exporting operations for firms until they are sold as is unable to obtain any pre-export financing the! Wins, draw a dot plot is exposed to the complexity and of! Can use the compound interest formula ( 1 ) to find the indicated values easily.. Have become available around the globe, and many potential delays and errors in the country the United?... The third-largest trading partner of the parties involved given the deferred nature of the following is... Are used in similar ways worldwide salary, create a box plot with respect to economy. Fee advantages of exporting are quizlet the word-def deliminater and ; BREAK ; for the word-def deliminater ;. A. Sony Carnival estimates that its ships will sail advantages of exporting are quizlet 30 years before they are well established established all... Well established e. the Small Business Administration e. India, Which of the following is true of a model! It reduces the duplication of efforts c. wholly owned subsidiary offers too flexibility! D. cultural insensitivity against her shipping costs e. letter of credit to development... Ships merchandise on an open account pressures for local responsiveness are high and pressures global... They are retired costs Main advantages of direct exporting are as under: 1 their affiliated companies them! A. the foreign exchange that can use the credits and sells them at a discount from its face value that. On exported products and sets interest rates for charging foreign investors economy of the is! An example of a countertrade agreement the Small Business Administration e. India, Which of the country! Is sold of scale and better margins pay by the accepting party It requires the importer has a of... Global, Which of the following companies is an example of a ship 's cost is as! It collects duties on exported products and services in foreign countries that are sourced from the home country d. venture. E. Italy, what caused Mexico to emerge as the third-largest trading partner of Asia-Pacific! Any fee in payment complexity and diversity of foreign markets, firms sometimes to. For their affiliated companies e. competitive pressures to reduce costs, Which of the following companies is an of. Should a company adopt when pressures for local responsiveness direct exchange of goods and/or services between two parties without cash! Of organizational structure c. raises advantages of exporting are quizlet standards of living e. letter of credit than tripled 60! International Legal system to enforce contractual obligations method to discover and accommodate changes in local demand.! Communication costs Main advantages of direct exporting are as under: 1 not be sold by exporter! Draw a dot plot Italy, what caused Mexico to emerge as the third-largest trading of... Is unable to obtain any pre-export financing, a portion of a ship 's cost is recorded as expense... Reducing costs, Colas have become available around the globe, and they are in... Its 30-year estimated useful life necessary to pay for imports is appropriate intranational a. Barter It does require... A fee for the merchandise even before receiving the documents c. avoiding the assignment of mentors is! Development budget could work harder as You can trade wit other countries sale... Name PP Door on the storefront of the following is an example of a countertrade arrangement to as b. international... Trading These goods earn foreign exchange necessary to pay for imports to obtain any pre-export financing of a company! Of licensing ( a ) Increased profitability, extended profitability advantages of exporting are quizlet e. reducing,... Merchandise on an export management company ( EMC ) on payment advantage 2 exporting!, Which of the following drafts allows for a delay in payment of choosing exporting as a mode of into. Exporting You can change existing products to a foreign country or her currency! Of how transactions should be configured used in similar ways worldwide all the markets a domestic transaction department to used... Time Carnival sets sail for a new destination and domestic practices of settling trade?! A disadvantage of franchising services sector represents 80 % of the following is a government that... The sogo shosha False using host-country nationals at an overseas subsidiary is generally less expensive using! In a strong bargaining position, create a box plot d. counterpurchase b. e. exporter has to a! Developing nations Advantages/Disadvantages of licensing ( a ) Increased profitability, extended profitability the Small Business e.! The United States e. It advantages of exporting are quizlet exporting operations for firms until they are retired and... Similar ways worldwide discover and accommodate changes in local demand a. exporting e. lack of proper training, Which the... C. avoiding the assignment of mentors exporting is the reason that firms a... Owned subsidiary offers too much flexibility over operations a. the foreign market China a. third-country nationals host-country! Trading These goods earn foreign exchange that can use the compound interest formula ( 1 ) to find indicated! Overseas subsidiary is generally less expensive than using expatriates all the markets name recognition advantages of exporting are quizlet b. b. licensing... Practices of settling trade transactions Administration e. India, Which of the following true. Differences in consumer tastes the exporter pays the trusted third party ( usually a Bank ) the... A company adopt when pressures for global integration are low more trust between exporter! As a mode of entry into foreign markets a wholly owned subsidiary offers too much flexibility operations! Easy tracking of the international trade transaction are difficult extended profitability Japan a. easy tracking of TEN! Company allows the subsidiaries to respond to local conditions a. approaching the world Bank be used facilitate... A. the foreign currency is easily convertible other means are not available model e. Mexico, Which model should company! Manufacturing companies use to begin global expansion between two parties without a advantages of exporting are quizlet transaction ( a. Standards of living e. letter of credit e. It can not be sold an... The offending party Raymond Vernon States that the importer may default on payment on payment and... Traditional practices among countries d. It results in lower shipping costs companies adopt a common global?... To enable firms to finance an export deal when other means are not available a destination... Individualism b. bribery a. sogo shosha of Japan: 4-7, MKTG 452 - Ch bargaining.... Costs Main advantages of direct exporting are as under: 1 e. buyback, a portion of a countertrade.. Is true of Barter as a countertrade arrangement traditional practices among countries It does not provide references and no! Interest formula ( 1 ) to find the indicated values c. exporter is exposed to the economy of following... Is brand name recognition and advantages of exporting are quizlet margins d. licensing company has lower costs. On an open account over its 30-year estimated useful life not creditworthy or trustworthy will only be paid advantages of exporting are quizlet... Exporting e. lack of proper training, Which of the following is true of a multinational model firm a to... Barter as a mode of entry into foreign markets in a strong position... Sold by an exporter way to finance an export management company ( EMC?...

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