Which of the Following Is Not True of Exporting as a Market

question 39

Multiple Choice

Which of the following is not true of exporting as a market entry strategy?

• A) Exporting does not require the expense of establishing local operations
• B) Exporters do not need to establish some means of marketing and distributing their products at the local level
• C) Exporters incur high transportation costs
• D) Exporters may be adversely impacted by exchange rate fluctuations
• E) Exporters may be adversely impacted by tariffs placed on imports into the local country

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Definitions:

Price Recovery

The process of regaining the cost or value of something, often related to the selling price of goods or services after a period of lower prices or losses.

CISG

The Convention on Contracts for the International Sale of Goods by the United Nations, is a treaty establishing a standardized framework for global trade.

Contractual Obligations

Duties that a party is legally required to perform as specified in a contract, failure of which may lead to legal consequences.

Immediate Delivery

The rapid transfer of goods or securities from seller to buyer without delay.