The term export means the delivery of goods or services produced in one country to another. The seller of such goods and services is referred to as an exporter ; foreign buyers are referred to as importers .
Export of goods often requires the involvement of the customs. The export partner is imported.
Video Export
Exporting
Many manufacturing companies start their global expansion as exporters and then move on to other modes to serve overseas markets.
Maps Export
Process
Methods of exporting products or goods or information including letters, hand deliveries, air shipments, ship shipments, uploading to internet sites, or downloading from internet sites. Exports also include the distribution of information sent as emails, email attachments, faxes or in a telephone conversation.
Obstacle
Trade barriers are laws, regulations, policies or government practices that protect domestic products from foreign competition or artificially stimulate the export of certain domestic products. Although strict business practices sometimes have similar effects, the practice is usually not considered a trade barrier. The most common foreign trade barrier is government measures and policies that restrict, prevent, or impede the exchange of international goods and services.
Strategic
International agreements restrict trade and transfers, certain types of goods and information, e.g. items related to weapons of mass destruction, advanced telecommunications, weapons and torture, as well as some artificial art and artifacts. As an example:
- The Nuclear Suppliers Group limited the trade in nuclear weapons and related goods (45 participating countries).
- The Australian group restricts chemical trade & amp; biological weapons and related goods (39 countries).
- Missile Technology Control The regime restricts the trading of weapons of weapons of mass destruction (35 countries)
- Wassenaar's arrangements limit the conventional arms trade and technological developments (40 countries).
Rates
Tariffs are taxes placed on goods or clusters of certain goods that are exported from or imported to a country, creating an economic barrier to trade.
Usually this tactic is used when a country's domestic output of goods falls and imports from foreign competitors increases, especially if the state has a strategic reason to maintain domestic production capability. Some industries fail to receive protection with effects similar to subsidies; tariffs reduce industry incentives to produce goods faster, cheaper, and more efficiently. The third reason for tariffs involves addressing dumping issues. Dumping involves countries that produce excessive goods and throw goods in other countries at "too low" prices, for example, setting lower prices on export markets rather than in the domestic market. country of origin. In disposing of producers selling products at prices that do not generate profits, or even the amount of loss. The objectives and expected outcomes of tariffs are to encourage the expenditure of domestic goods and services rather than imports.
Rates can create tensions between countries. Examples include US steel tariffs in 2002 and when China charges a 14% tariff on imported auto parts. Such tariffs usually cause complaints with the World Trade Organization (WTO). If that fails, the state may set its own tariffs against other countries in retaliation, and to increase pressure to eliminate tariffs.
Overview
The benefits of exporting
- Exporting has two distinct advantages. First, avoid the often large costs of building manufacturing operations in the host country.
- Secondly, exporting can help companies achieve the effect of the experience and economic curve of the location.
Ownership gains are company-specific assets, international experience, and the ability to develop low-cost or differentiated products in their value chain contacts. The locational advantage of a particular market is a combination of market potential and investment risk. The advantages of internationalization are the benefits of maintaining core competencies within the company and testing them through the value chain rather than licensing, outsourcing, or selling them.
In relation to the eclectic paradigm, firms with low ownership gains do not enter overseas markets. If the company and its products are equipped with ownership advantages and internalization advantages , they enter through low-risk modes such as exporting. Exporting requires a much lower investment rate than other international expansion modes, such as FDI. Lower export risk usually results in lower sales returns than is possible despite other international business modes. In other words, the return on export sales may not be extraordinary, but also not the risk. Exporting allows managers to perform operations controls but does not give them the option to do a lot of marketing control. Exporters are usually far away from the end consumer and often bring up various intermediaries to manage marketing activities. After two consecutive months of contraction, exports from India rose 11.64% to $ 25.83 billion in July 2013 against $ 23.14 billion in the same month a year earlier.
Export loss
Exporting has a number of disadvantages:
- Exporting from a company base may not be appropriate if low-cost locations for product creation can be found overseas. It might be better to produce where conditions are most favorable for value creation, and to export to the rest of the world from that location.
- The second downside to exporting, is that high transport costs can make exports uneconomical, especially for bulk products. One way to improve it is to create a mass product regionally. Another downside, is that high tariff barriers can make exports uneconomical and highly risky.
For small and medium enterprises (SMEs) with fewer than 250 employees, selling goods and services to overseas markets can be more difficult than serving the domestic market. Lack of knowledge about trade rules, cultural differences, different languages ​​and foreign exchange situations, as well as tensions of resources and staff, interact like a bloc for exports. Indeed, there are some SMEs exporting, but almost two thirds of them sell only to one foreign market.
Export motivation and perception
The motivation factor is "all the factors that trigger the company's decision to start and develop export activities". In the literature, export barriers are divided into four broad categories: motivation, information, operations/resource-based, and knowledge. In addition, export motivators are divided into five dimensions; reactive, marketing, export, technology, external. Research shows that exporters prefer motivators rather than non-exporters.
See also
References
External links
- Import and Export in Curlie (based on DMOZ)
- The British Export Agency
- World Bank Top Exporters
Source of the article : Wikipedia
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