Import/Export: Exporting/ Importing
can be defined as the selling / buying of goods produced in one country into
another. Exporting / Importing does not require any manufacturing by the
company. However, the organization is required to make major investments in
marketing of the product.
Some forms of exporting are:
- Indirect Exporting (Export management
companies).
- Cooperative Exporting (Piggyback
Exporting).
- Direct Exporting (Firms set up their own
exporting departments).
The advantages of exporting/importing are:
- Companies can get an opportunity to study
the market before investing in brick & mortar.
- Reduces the probable risk of operating
abroad as manufacturing is done locally in case of exporting.
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