International Marketing Environment - Essay Example

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International Marketing Environment

19). In order favorable balance of payment to be achieved, governments do subsidize the exports and impose quotas and high tariffs on imports. Though different countries adopt different strategies to increase the inflow of foreign currency through exporting, most countries facilitate shipping through forwarding agents and provide loans and other facilities as well. Some countries impose navigation policies as well to maximize the inflow of foreign currency and to add up to favorable balance of payment. Trade bloc member countries often enjoy free-trade so that each country can export and import to each other without any barrier to trade like quota, tariff and embargoes. As economist viewed, there can be several levels of economic integration within the free-trade area such as least integrated to most integrated (Hill, 2004, p. 270). Some times, member countries in a free trade area are allowed to determine its own trade policies since all the barriers to trade of goods and services are removed. The major four levels of economic integration are – 1) Free-trade area, 2) Customs Union, 3) Common market and 4) Complete economic integration. 1-Free trade area, Tariffs are fully removed from the members of the free-trade area and each member country maintains its own external tariffs. ...Show more

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INTERNATIONAL MARKETING ENVIRONMENT Your name …………………. …………. 1. Explain the role of government in international trade, the various levels of economic integration, and the impact on international marketing…
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