Question

Assume US firm doing business overseas.

What does tariffs mean for a firm engaging in or wishing to engage in international business in terms of its policies, operations, decision-making, strategy,?

Answer 1

Tarriffs implied on firms means a tax applicable on particular goods exported which leads to lowering the exports to curb tax outgo and subsequently import in equivalent quantity to get tariff breather from opposite nations. Firms thus have to revise strategy of exports to newer nations where tarriffs are not applicable, the operations have to be redefined using Justin time manufacturing to avoid inventory losses and overstocking and similarly, decisions making process has to be amplified for closing deals with newer nations to eliminate tarriffs and taxes.

PLEASE UPVOTE INCASE YOU LIKED THE ANSWER WILL BE ENCOURAGING FOR US THANKYOU VERY MUCH ALL THE BEST IN FUTURE