Exporting and importing Essay Example | Topics and Well Written Essays - 2500 words

Exporting and importing - Essay Example Table of Contents Abstract 2 Table of Contents 3 Introduction 4 Government’s role for firms in gaining international competitiveness 4 Goods being damaged or lost in an export and import transaction 8 Managing the losses and risk 9 Challenges faced by exporters & importers by E-commerce and Internet Marketing 10 Conclusion 12 References 14 Exporting and Importing Introduction Globalization is a very important element for consideration by majority of the organizations. In the present era all firms are striving for becoming a global firm so that they can gain a maximum level of competitive advantage and allow their firm to gain more success and profitability. International trade is a common practice by organizations so that they can gain their status of having a global presence. Export and import therefore is becoming common in the organizations, organizations go for export activities to explore new markets and gain more profits. Organizations also go for import activities to be come a cost effective business and also provide consumers with high quality products (Zhu and Trefler 2005). The following discussion focuses on the role that governments play in making their organizations competitive in the international market. The advantages that are pertaining with the import and export transactions are also discussed. ... The laws and regulatory framework of any country is extremely important for any organization so that they can successfully conduct their export and import business. Governments need to protect the domestic interest of their country as well as give consideration to the international competitive market. It is usually an argument that is imposed by the governments of any country that they have to give protection to the organizations that have recently established in the country from the foreign competition and that are why they restrict the import of some products in the country for certain time duration. In these cases, the government tends to prohibit or reduce the level of imported products so that protection can be given to the new emerging industries. Also the governments at times tend to introduce quotas or allow the imported products to become more expensive and the tariffs must be imposed as well (Zhu and Trefler 2005). This policy of protecting the new industries in the country can be a danger to the economic level because the domestic products may not be having that quality and the consumers of the society may not be benefitted by this. There are chances of economic stagnation being observed in the country. It is the utmost responsibility of the government of any country to make sure that their economy is running efficiently and competitive level products are being provided to their society. The government therefore also a bear in mind that international competitiveness needs to be enhanced for their industries and therefore this alternative is kept available apart from the protection policies being implemented by the government. The governments of any country are highly concerned about