« previous next »

Author Question: What conditions favor the use of each form of payment? What will be an ideal ... (Read 53 times)

cdr_15

  • Hero Member
  • *****
  • Posts: 546
on: Jul 7, 2018
What conditions favor the use of each form of payment?
 
  What will be an ideal response?

Question 2

Martin, a manager at an international firm located in China, is required to monitor political risks for his employer. Which of the following would least likely provide Martin with useful information?
 
  A) consulting firms
  B) embassy officials
  C) telecommunication firms
  D) home country employees
International Business: A Managerial Perspective ¦ Griffin, Pustay ¦ 9th Edition
Buy Test-Bank


akemokai

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jul 7, 2018
Answer to Question 1

Payment in advance is favored when the exporter has strong bargaining power and the importer is unknown to the exporter. An open account is favored when the exporter has complete trust in the importer and/or the exporter and importer are part of the same corporate family. Documentary collection is favored when the exporter trusts the importer to pay as specified and/or when the risk of default is low. A letter of credit is favored when the exporter lacks knowledge of the importer and/or when the importer has good credit with a local bank. Credit cards are favored when the transaction size is small. Countertrade is favored when the importer lacks convertible currency and/or the importer or exporter wants access to foreign distribution network.

Answer to Question 2

C


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

Did you know?

Medication errors are three times higher among children and infants than with adults.

Did you know?

The highest suicide rate in the United States is among people ages 65 years and older. Almost 15% of people in this age group commit suicide every year.

Unique communities may result from distinct environmental conditions. Unique communities may result from distinct environmental conditions.
Instructions for Completing the CMS-1500 (02/12) Claim Form Continued Instructions for Completing the CMS-1500 (02/12) Claim Form Continued
Patient health history form. Patient health history form.
The perception of motion under four different conditions. The perception of motion under four different conditions.
Write the equation in general form of the line passing through the point Write the equation in general form of the line passing through the point
6. Nitric oxide reacts with oxygen to form nitrogen dioxide: 2 NO(g) + O2(g) ⇌ 2 NO2(g) What ... 6. Nitric oxide reacts with oxygen to form nitrogen dioxide: 2 NO(g) + O2(g) ⇌ 2 NO2(g) What ...
Video: Introduction to Diabetes

For a complete list of videos, visit our video library