Business: Export Assistance, Purpose of Counter-trade
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1. Compare and contrast the export assistance provided to German and Japanese companies with that given to American companies. What about other countries? Discuss the implications of the differences between the countries. What information sources are available to American companies seeking information about export opportunities? Offer examples and site cases or research where you can.
2. Explain what is meant by counter-trade. What is the purpose of counter-trade? Where is it most common? What is the simplest form of counter-trade? Why are firms reluctant to engage in this type of arrangement? What is the main attraction of counter-trade? Why might a firm avoid counter-trade? What type of firm is most likely to engage in counter-trade? Why? Offer examples and site cases or research where you can
3. Does the issue of healthcare play a part in IB? How? Why not?
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Solution Summary
This solution provides a detailed discussion of counter-trade and export assistance.
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Similarities in Export Assistances
There are some similarities in export assistance in terms of rules, regulations and programs that are provided by America, Germany, and Japan to their domestic export companies. All three countries have signed free trade agreements between each other as well as with other countries that helps American, Garman, and Japanese companies to increase their exports in various countries. In addition, export programs, effective export process, sources of information, and basic export counseling are offered to exporters by export policy and government of all three countries (U.S. Commerce Service, 2011). In this context, all three countries establish number of sources including state department of commerce and export promoters to provide information about export programs, export opportunities, and international markets.
Differences in Export Assistances
At the same time, there are some differences between export policies and laws of government of America, Germany, and Japan for their local exporters. For example, the United States provides large subsidies to exporters of agriculture products as compared to Germany and Japan and it makes difference between export assistance (Philips, 1998). On the other hand, U.S. government has signed free trade agreements with large number of countries as compared to rest of the two countries to provide more export opportunities to their local export companies. Similarly, export policies of some other countries such as China, Russia, UK, France etc. have similarities as well as differences between each other in terms of subsidies, export programs, export assistance etc.
Implications of Differences
Difference between export programs and export assistance of America, Germany, and Japan is significant for reform and growth of international trade, and develop export opportunities for local companies. At the same time, these differences can force government of all three countries to make effective export programs, guidelines, free trade agreement by analyzing trade policy of each country.
Information Sources
Several information sources are available for American companies ...
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