Question

explain how a U.S. exporter could lower distribution costs using FTZs (foreign trade zones)

explain how a U.S. exporter could lower distribution costs using FTZs (foreign trade zones)

Homework Answers

Answer #1

Answer: A special economic Zone (SEZ) offer a number of benefits that can be utilized effectively by the exporters from U.S. The SEZ’s offer tax benefits to the companies that can enable the U.S exporters to reduce the costs of distribution of their products. These SEZ’s have number of relaxations in terms of taxes and these can help in reducing the costs of the companies if they chose to distribute their products from these SEZ’s. Apart from this the SEZ also offers a number of infrastructural supports that can help in reducing the costs of distribution for the exporting firms.   

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Which of the following is true regarding foreign trade zones? a.Goods that enter a foreign trade...
Which of the following is true regarding foreign trade zones? a.Goods that enter a foreign trade zone are not subject to tariff until they leave the zone for destinations in the United States. b.They are pieces of land physically located in foreign countries that are subject to the laws of the United States. c.They must be located near seaports. d.Goods sold in a foreign trade zone are not subject to U.S. income taxes. e.All of these.
Banker’s Acceptances Describe how foreign trade would be affected if banks did not provide trade-related services....
Banker’s Acceptances Describe how foreign trade would be affected if banks did not provide trade-related services. How can a banker’s acceptance be beneficial to an exporter, an importer, and a bank?
Suppose a reduction in trade costs raises Canadian imports of cars from the U.S. as well...
Suppose a reduction in trade costs raises Canadian imports of cars from the U.S. as well as exports of agricultural goods to the U.S. Explain how this reduction in trade costs will a¤ect auto industry workers in Canada.
Explain How the U.S. firms doing Foreign Derect Investment abroad would cause job loss in the...
Explain How the U.S. firms doing Foreign Derect Investment abroad would cause job loss in the United States? How could it save jobs in the United States?
How does the foreign price effect(or foreign purchases effect) explain increased U.S. exports to the rest...
How does the foreign price effect(or foreign purchases effect) explain increased U.S. exports to the rest of the world?
For the publicly traded U.S. company Apple (AAPL), explain how things such as free trade, trade...
For the publicly traded U.S. company Apple (AAPL), explain how things such as free trade, trade barriers, Basel III, and/or NAFTA have affected the company's economic decisions.
In recent years the U.S. dollar has weakened against the Euro in the foreign exchange market....
In recent years the U.S. dollar has weakened against the Euro in the foreign exchange market. a) Explain how this effects trade between the two countries. b) Explain how such a situation can have a positive effect on the U.S. economy.
Explain how a U.S. corporation could hedge net receivables in Malaysian ringgit with a forward contract....
Explain how a U.S. corporation could hedge net receivables in Malaysian ringgit with a forward contract. Explain how a U.S. corporation could hedge payables in Canadian dollars with a forward contract.
How could a U.S. firm with revenue related to sales to U.K. customers, and denominated in...
How could a U.S. firm with revenue related to sales to U.K. customers, and denominated in British pounds, use a foreign currency swap to reduce their foreign exchange risk?
Question 3: The Specic Factors Model a.) How does international trade aect the income distribution in...
Question 3: The Specic Factors Model a.) How does international trade aect the income distribution in Ricardo's model? b.) Via which channel could international trade in uence the income-distribution in the short-run? A small open economy produces cheese using land and labor and cars using capital and labor. Land and capital are specic factors of production, labor can move freely between both industries. The economy initially exports cheese and imports cars. The price of cheese on world markets increases suddenly...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT