In: Economics
A firm based in
California wants to export a shipload of finished lumber to the
Philippines....
A firm based in
California wants to export a shipload of finished lumber to the
Philippines. The would-be importer cannot get enough credit from
domestic sources to pay for the shipment but insists that the
finished lumber can quickly be resold in the Philippines for a
profit. Outline the steps the exporter should take to successfully
export this product to the Philippines and make a profit?
How might a company
make strategic use of countertrade schemes as a marketing weapon to
generate export revenues? What are the risks associated with
pursuing such a strategy?