AN Introduction to Barriers, Motivators Challenges of Export/Import - Free Essay Example

Sample details Pages: 8 Words: 2484 Downloads: 1 Date added: 2017/06/26 Category Economics Essay Type Analytical essay Level High school Did you like this example? Introduction to Barriers, Motivators Challenges of export/import Contents:- Motivation and barriers Sunk Cost of firm Overall Exports sales by extending into new market Improved performance through learning from international competitors Learning by-exporting by spreading export activities across several market then focusing on a single product-market relationship Market specific knowledge and networks Does an existing trade relationship with a given country tent to increase the probability that new product will be exported to that country Whether helping one firm to reach a new export market will tend to create spill-over benefits to other firms by providing an example which they can follow Receipt of export development assistance Whether government programmers are successful in promoting new trade relationships Motivators Don’t waste time! Our writers will create an original "AN Introduction to Barriers, Motivators Challenges of Export/Import" essay for you Create order Increased growth Greater profit potential Increase stability Large market share Excess capacity Barriers Too much red tape Trade barriers Conditions overseas Lack of incentives Cross border security Currency fluctuation Political climate Lack of competitive products Payment default Language barrier Slow payments Lack of assistance Transportation Protectionism Challenges High entry barrier to venture in certain countries Export/import licenses and documentation Government regulations Tension between the two countries Extra costs Product modification Financial risk Market information References Motivation Barriers Sunk Cost of firm:-Sunk cost is that which has already invest and we cannot receive it again or refund it. Sometime sunk cost are different prospective cost and if we are taken an action So that cost are future costs and that may invest or changed. Example: There are ABC wood ltd. Company in new Zealand and that company wants to sell their product in India. It does market research and it invest some amount of money on market research after this market research they find that their product is not suitable for selling in India and they decide that they will not sell their product in India and money which is incurred for market research that is sunk cost. Overall Exports sales by extending into new market:- When a business exporter wants to enter into new market then they expected more sales which can be beneficial to ex point their business. Example: Ram is an exporter now he export the wood in India only but in future he is planning to export wood in Australia and he wants expand his business. So he will export wood in two countries, one is old market for him and another is new market for him. So he can earn more profit by selling his product into two countries. Improved performance through learning from international competitors: When an exporter enter into new international market there would be existing competitor who would be ruling in the market with their same tactics which can be adopted by exporter and brought that tactics to compete in the local market. Example: There are two exporters. One is in New Zealand and one is in Australia. New Zealand exporters has their own tactics to doing business in New Zealand but he wants to enter into Australian market and for this New Zealand exporter should be adopt new techniques of business from exporter who is in Australia and New Zealand exporter can improve his performance for business by adopting new techniques . Learning à ¢Ã¢â€š ¬Ã¢â‚¬Å"by-exporting by spreading export activities across several markets then focusing on a single product-market relationship: It is beneficial to business in various markets rather than focusing on single market. Because if one market fails so there are other market for survival Example: ABD ltd. Company in New Zealand. That company exports their product in many countries like: Japan, Australia, India etc. If India refuses for importing goods from ABC ltd. Company which located in New Zealand then ABC ltd. Company have other choices for export their product. They can export their product in Australia and Japan. ABC ltd. Company cannot fail because they have many choices for export. Market specific knowledge and networks: Exporter should have specific knowledge of market and contacts in the market which can be helpful for doing business before entering into the new market. Example: There are so many departmental stores in the market. They buy goods from the local wholesaler or export the good from the exporter who is in other state or countries. Exporter should have contact with that owner of departmental stores and knowledge of the market that means he knows that the demand of the product in the market. Does an existing trade relationship with a given country tent to increase the probability that new product will be exported to that country? Countries trade relationship plays a vital role in doing business to other nations. It would be a free trade agreement with another nation it will tend to do business in that nation because no duties will be charged and it will be easily imported in another nation which is beneficial for the both parties to do business. Example: We are assuming that there are two countries Australia and New Zealand which export/import the goods from each other because of free trade agreement. When they will export or import the goods from each other, no duties will be charged on it. They can easily export or import the goods from each other and it is beneficial for both the countries to do business. Whether helping one firm to reach a new export market will tend to create spill-over benefits to other firms by providing an example which they can follow: When one firm try to enter new market it will beneficial from the experience of the existing or past competitor which can help in improving us from their experience to put a step in new market. Receipt of export development assistance: Some bodies of New Zealand existing in India that helping business. These bodies give information about business. Example :- When a local business man plan to expand the business in other country he would need assistance to develop knowledge about the market customers, competitors and local helper of that nation over which he can be benefited by the list of bodies present in that country for this help. Whether government programmers are successful in promoting new trade relationships: Government can help for the establishing new business and it also improve trade relationships through various programmers. Example :- We are assuming that In India congress government are ruling at this time. Leaders of that party organize various programs in which they say that all business should start from India only and all outside importers should maximum exports from India. Main agenda of this government programs are to do business in India only. MOTIVATORS Increased growth:- Increase growth means increase the demand of product among importers or customers. Example:- Cadbury company make various types of chocolates and advertise it in different ways for promoting the product. Firstly they attracted youngsters and childrens and then they attracted old peoples by various advertisement and they replaced all sweets by chocolate on occasions like Diwali etc. From all these they enhanced the demand of chocolate and attract more customers towards the Cadbury chocolate and it also increase growth. Greater profit potential:- It is the maximum profit that company/exporter/importer could make potentially. Example:- Lets assume ABC limited company sold $1000 of widgets last year and made of profit of $500 widget. Technology is changing rapidly and company ABC limited has the brightest mind in the industry to take an advantage of this technology. It also expects to be the first. Company on the industry to implement the technology which roughly halves certain product expenses. This analyst estimate that company ABC limited has another say $480 of earning potential. Increase stability:- Increase stability means more profit and more sales and it also creates the right environment for the balance of payments and it creates certainity and confidence and this enhance investment in busines Example: Large market share:- Markets total sales which is earned by a exporter or particular company in a specified time period. Example:- If importer as a whole import hundred quantity of product and forty of which are from one exporter and that exporter holds forty percent market share and other exporter holds sixty percent. Excess capacity:- It is increase in supply because of increasing price and population. Example:- We are assuming that there are large number of population in New Zealand , so that demand of particular product will be more and it enhance the sales and profit also. BARRIERS Too much red tape:- Export or import business requires so many formalities and documents. Example:- In export or import business we requires various types of documents for the export and import of goods, like bill of lading , insurances , airway bill certificate of inspection etc. and when we export or import the goods from the other country there are so many restrictions on particular product like bullets, cigarettes, alcohol, etc. It affects the business and it is red tape for the business. Trade barriers:- Trade barriers are restrictions which Is forced on movement of goods between two countries, it is applied not on imports but also on exports, it can be divided into two parts: Tariff barriers and non tariff barriers. Example:- when a businessman exports or imports the goods they pay some taxes on particular product. Like specific duty, Ad valoren duty, revenue tariff, custom quota, multi-lateral quota etc. These taxes create a barrier for the export or import of goods. Conditions overseas: It means condition in the exporting or importing country at the time of export or import of goods. Example: If we export or import the goods from the other country and political condition are bad or war is going on at the time of export and import or weather is not good so it creates problem in the exporting and importing of goods from the overseas and it is barrier for the business. Lack of incentives: It means no government support and benefits are provided by the government in the business. Example: When a businessman do export and import business and government do not provide the incentives for the business like rewards for the increasing business. Cross border security: Cross border security means security on the border of different country. Example: there are two businessmen in two different countries one is in New Zealand and other is in Australia. Businessman who is in New Zealand export the goods to Australia and he pay the taxes and he show the documents related to the goods which he export to the Australia to the cross border security which is in Australia. Currency fluctuation: It means increase and decrease the currency. Example: We are assuming that exporter who is in USA, he exports the goods to the importer who is in Japan, they final the deal and everything like price of the product at the time of dealing price of the dollar is sixty and Japanese importer ready to buy goods on that price after sometime price of the currency decrease and exporter may bears losses in the exporting of goods and it is barrier for the business Political climate: Political climate is the current mood and opinions of populace about political issues that also affects the business. Example: The governments have to seek re-election every few years and every government makes the different rules and regulations for the business in the every few years or after the elections. It is hard for the businessman to adopt the different rules and regulations because of changing government. And it is barrier for the export and import business. Lack of competitive products: In economics, one way that two or more goods can be classified is by examining the relationship of the demand schedules when the price of one good changes. This relationship between demand schedules leads to classification of goods as either substitutes or complements. Substitute goods are goods which, as a result of changed conditions, may replace each other in use (or consumption).A substitute good, in contrast to a complementary good is a good with a positive cross elasticity of demand this means a goods demand is increased when the price of another good is increased. Conversely, the demand for a good is decreased when the price of another good is decreased. Language barrier:- Different languages are barriers in business. Example; We are assuming that exporter from India and importer from China and importer imports some products from India ,both countries have their own languages, the both may not understand languages of each other, so language problem may create barriers in business. Payment default: It means payment not done by importer or buyer in business. Example: When a importer imports some goods from exporter and he says to make a payment of goods which he imported from exporter Slow payments: Slow payments means when a importer pay amount of money later than the due date. Payment reaching a certain no.of days late will appear. Example: When a buyer buy the goods from seller and he pay amount of money after the due date, so it creates problem or barrier in business for expand the business. Lack of assistance: It means no help or support provided by anyone in the business. Example: When a exporter or businessmen plan to start the business or expand the business in another country he would need assistance to develop knowledge about the market, customer and competitors. Helping bodies are not present in that country for his help, so it creates barrier in the business. Transportation: high transport costs push down profits and wages .the efficiency of transport service greatly determines the ability of firms to complete in foreign markets. For a small economy for which world prices of traded goods are largely given higher costs of transportation feed into import and export prices. To remain competitive exporting firms that face higher shipping costs must pay lower wages to workers accept lower returns on capital or be more productive. Protectionism: It is the economic policy of restraining trade between states or country through methods such as tariff on imported goods, restrictive quotas and a variety of other government regulations. Example: EU common agriculture policy, banana wars, Argentina food tariff, escalated tariff, anti-dumping tariff, and illegal subsidies. All these examples of protectionism are barrier in business. References:- https://www.gov.uk/government/news/government-welcomes-business-led- plan-to-cut-eu-red-tape https://www.gov.nl.ca/redtape/taskforcereport.pdf https://www.rep-am.com/articles/2014/06/11/commentary/809083.txt https://www.consumerpsychologist.com/international_marketing.html https://www.teara.govt.nz/en/1966/trade-external/page-2 https://en.wikipedia.org/wiki/Default_(finance) https://www.teara.govt.nz/en/overseas-trade-policy www.expertbase.org https://www.investopedia.com/terms/e/excesscapacity.asp

Literary Analysis Emily, Wuthering Heights, And Jane Eyre

Literary Analysis The novels Emma, Wuthering Heights, and Jane Eyre were written by women in the 1800’s. The three writers chose to write and publish their novels under a different name from their own. Emma was written by Jane Austen, and published anonymously in 1815 (Behrens and Rosen 361). Emily Brontà « wrote Wuthering Heights, and was published in 1847 under the name Ellis Bell (Behrens and Rosen 368). The author of Jane Eyre, who was also the sister of Emily Brontà «, was Charlotte Brontà «. This novel was published in 1847 under the name Currer Bell (Behrens and Rosen 372). The first chapters of these novels captivate their readers. By introducing the relationships of the characters and conflicts within the first chapters, the authors leave their audience wanting more. In the first chapter of Emma, the main character Emma Woodhouse, plays matchmaker for her in-home caregiver. Miss Taylor, the caregiver, benefited from being at the center of Emma’s matchmaking, but at the expense of Emma. â€Å"The want of Miss Taylor would be felt every hour of every day. She recalled her past kindness—the kindness, the affection of sixteen years—how she had devoted all her powers to attach and amuse her in health—and how nursed her through the various illnesses of childhood† (Austen 362). As stated in the beginning of the chapter, Emma’s mother had passed away long ago. Jane Austen describes and establishes the impact that Miss Taylor had on Emma’s life and the love they shared. Emma’s fatherShow MoreRelatedUse of Gothic Elements in Charlotte Brontes Jane Eyre1729 Words   |  7 PagesUSE OF GOTHIC ELEMENTS IN CHARLOTTE BRONTES ‘JANE EYRE Charlotte Brontes Jane Eyre was published in the middle of the nineteenth century. Bronte was greatly influenced by the Gothic novels that were in fashion before the time of Jane Eyre. The Gothic novel was popularised in the late eighteenth and early nineteenth centuries, and was defined by its use of suspense, supernatural elements, and desolate locations to generate a gloomy or chilling mood. The protagonist of the novel would generallyRead MoreUse of Gothic Elements in Charlotte Brontes Jane Eyre1740 Words   |  7 PagesUSE OF GOTHIC ELEMENTS IN CHARLOTTE BRONTES ‘JANE EYRE Charlotte Brontes Jane Eyre was published in the middle of the nineteenth century. Bronte was greatly influenced by the Gothic novels that were in fashion before the time of Jane Eyre. The Gothic novel was popularised in the late eighteenth and early nineteenth centuries, and was defined by its use of suspense, supernatural elements, and desolate locations to generate a gloomy or chilling mood. The protagonist of the novel would generallyRead MoreCause and Impact Analysis on the Main Character’s Suffering in Elizabeth Gilbert’s Novel Eat, Pray, Love7348 Words   |  30 Pageswere included on the chapter one as fulfilled of the study. 1. Background of The Study Literature did not take itself to a single definition because the achieving of it over century has been as complex and natural as the life itself. Many literary experts had different opinion about literature. In this case, it was related with the time and social condition. Literature itself was correlated with human’s expression. Identical with life, it could be seen that literature was a true picture or

Positive Relationship Among Two Components †Myassignmenthelp.Com

Question: Discuss About The Positive Relationship Among Two Components? Answer Introduction: Demand and price has a direct relationship with each other. If the price of a product enhances than directly the demand of the product get affected whereas if the prices of a product falls down than the customers shows more interest in buying the more quantity of the product. Demand and price relationship have a negative relationship with each other in normal scenario but the further analysis over both the components depict that there are various factors which affects the demand and price relationship and sets a positive relationship among both the two components. For instance, if the price of any luxurious product would enhance than the people will get more attract towards that product and would buy it such as diamond and antique pieces. In this study, it has been analyzed that if the price of a product would fall down than will the demand of the product would enhance or the company would be able to earn more revenue and profit through that product. For this study, various journal a rticles and books have been studied. Literature reviews interpretation and analysis: It is a general saying that the demand and price of a specific product has a direct and negative relationship accounting other such as if the price of potato would enhance than the people would stop buying the potato and thus the demand of potato would decrease. Thus these components directly make an impact over other and thus according to the general saying, if the business would decreased the price of their product than the demand of the product would enhance and hence, the company would be able to make more profits. But many economists have argued that this does not take place in every situation and even this law of demand and price is based upon various other factors. Through this report, it has been found that the various factors are available in the marketplace where the law of price and demand does not apply (Mapleton, 2017). Income effect over the price, demand and the profit: It has been observed through a study that the income of the customer makes an impact over the law of price and demand such as if the income of the consumer would be high than the factor of price would not matter for him or her and they would not leave a product just because of his price. Consequently, with the increment in the price the individual would surely switch to a superior product such as an individual is like to carry watch. With the low income, he was happy with a local brand but after a period of time, when the price of that product get reduce and similarly, the income of the individual would enhance than rather than going for the local brand, individual would like to buy more expensive car as the price is not at all an important factor for him. So, in that case how much a business tries to make profits through reducing the price of the product, but the business wont be able to earn profits (Baumol, and Blinder, 2015). The below graphs describe the income effect over the l aw of price and demand perfectly. This graph lines depict that the due to the income factor, the demand of the product increases with the increment into the price and the fall into the price of the product also makes the demand of the product less in the market. Giffin goods effect over the price, demand and the profit: Consequently, it has been observed that various other factors are also available in the market which also makes an impact over the law of price and demand. Further, giffin goods are the goods which do not have any substitute goods. These goods are unique in nature and there are not any product like that products into the market. However few operations have argued that such products do not exist in actual. The below graph depict that the slope line of Giffen goods is in d format. The upward sloping curve of Giffen goods depict that the demand of a product increases with the increment into the price of the product (Canto, Joines and Laffer, 2014). This case depict that the price and demand of a product has a positive relationship and thus it has been found that how much a business tries to make profits through reducing the price of the product, but the business wont be able to earn profits. The below graphs describe the Giffen goods effect over the law of price and demand perfectly. Th is graph express that due to the giffin goods factor, the demand of the product increases with the increment into the price and at the same time, the fall into the price of the product also makes the demand of the product less in the market (Freeman, Herriges and Kling, 2014). Inferior goods effect over the price, demand and the profit: In addition, various other factors have also been investigated which depicts a positive relationship among the two complements of economics which are price and demand. Inferior goods have been investigated next to reach over a conclusion that if the price of a product would fall down than will the demand of the product would enhance or the company would be able to earn more revenue and profit through that product (Gopinath et al, 2014). Inferior goods are those goods which are different from normal goods and the decrement into these price of product enhances the purchasing power of the company and thus the individual buys less unit of such product to buy a superiors quality product. These inferior products are average or even bad in quality and poor people bought these products as they do not have enough money to buy the superior products. But if the price of these products get less than the buyer becomes able to save money and from that saving amount, a good quality product is bought by the buyer (Rios, McConnell, and Brue, 2013). For instance, an individual has an income of AUD 100. The price of the bread in the market is $ 2 and the price of a superior bread is $ 3. The individual bought 10 breads a day for himself and the family. A decrement has been observed into the price of inferior bread. It has became AUD 1.5 now. So in that case, the individual would try to buy 2 or 3 breads of superior quality as now he has enough money to buy the same quantity of products and good quality product in the same amount. Thus it has been found that in the case of the inferior products, there is an positive relations between both the components (Nicholson and Snyder, 2014). This study depicts that with an increment in the price, the demand of the product would be high and with the decrement into the price of the product, the demand of the product would also be less. Thus it has been observed that the price and demand of a product has a positive relationship and thus it has been found that how much a business tries to make profits through reducing the price of the product, but the business wont be able to earn profits (Newbery, 2016). Thus through interpretation and analysis over the literature review, it has been found that various factors are there to make an impact over the relationship of price and demand. As it is generally saying that the demand and price of a specific product has a direct and negative relationship with each other (Moon, 2013). Further, it has been argued that this relationship does not take place in every situation and even this law of demand and price is based upon various other factors. Through this report, it has been found that the various factors are available in the marketplace where the law of price and demand does not apply. Conclusion Through the above study, it has been found that various factors are available in the market to affect the relationship of the price and demand factor such as income effect, giffin goods, inferior goods, nature of the customer, fashion, likes and dislikes of the customer, loyalty for a brand etc. in this study, the main question was if the price of a product would fall down than will the demand of the product would enhance or the company would be able to earn more revenue and profit through that product. Through the literature review, it has been found that the price is not a single factor to manage the demand of the product in the market, there are various other factors are also available in the market to affect the relationship of the price and demand factor. so it could be said that the decrement in the price do not always enhances the demand of the product and helps the business to earn more profits References: Baumol, W.J. and Blinder, A.S., 2015.Microeconomics: Principles and policy. Cengage Learning. Blair, R.D. and Kaserman, D.L., 2014.Law and economics of vertical integration and control. Academic Press. Canto, V.A., Joines, D.H. and Laffer, A.B., 2014.Foundations of supply-side economics: Theory and evidence. Academic Press. Freeman III, A.M., Herriges, J.A. and Kling, C.L., 2014.The measurement of environmental and resource values: theory and methods. Routledge. Gopinath, G., Helpman, E. and Rogoff, K. eds., 2014.Handbook of international economics(Vol. 4). Elsevier. Mapleton, C.2017. Demand and Supply: 500 Practice Problems Solving for Equilibrium. Lulu.com Moon, M.A., 2013.Demand and supply integration: the key to world-class demand forecasting. management. Newbery, D.G., 2016. A simple introduction to the economics of storage: shifting demand and supply over time and space. Nicholson, W. and Snyder, C.M., 2014.Intermediate microeconomics and its application. Cengage Learning. Rios, M.C., McConnell, C.R. and Brue, S.L., 2013.Economics: Principles, problems, and policies. McGraw-Hill.

What Is Wisdom Essays - Virtue, Aristotle, Knowledge, Spirituality

What Is Wisdom What Is Wisdom? Is it knowledge, science or just common sense? I think it is a mixture of all these things and more. If you look in the thesaurus these words would just be a few that you come up with. How old do you have to be to obtain this wisdom that so many people seek? How do you know when you got it? There are many books written on this subject; from the dictionary, which defines it, to the Bible and to Socrates. It seems to me that you gain or learn about wisdom through your life experiences. How you deal with a situation now will help you understand it better later on in life. You have help along the way to gaining your wisdom. The first contact we get is from our parents. They help feed our thirst for knowledge. Depending how they help mold us will determine how receptacle we are to others who will enter our lives. The next contact we have that can affect us are teachers. If they would take the time to see what children can do instead of what they can't would really help them blossom. A child who knows that someone believes in them will do more than a child who has no one. You have different paths that you can choose to take to help you attain your knowledge. It could be spiritual and you learn by faith. It could be science and your are constantly reading books to learn more about why for every action there is a reaction. Last is could just be common sense, you just learn from trial and error. Wisdom might mean having a wise attitude and good sense but how someone response to different situation might not reflect wisdom. Not every person responds to every situation the same so is that to say that one has wisdom and the other does not. I think you know you are on the right path to gaining wisdom when you learn from your past experiences. You can also learn a lot by observing, listening and being open-minded. If you are constantly talking, being ignorant or doing something you might miss an opportunity to learn. You are never too old to learn and there is always someone out there that knows more than you. No matter what path we choose to go down we are constantly learning from it and slowing gaining wisdom in different areas of life. Philosophy Essays