Advantages of exporting include increased sales, gaining global market shares, diversification, lower cost per unit and expansion within the company. Disadvantages include extra costs, the possibility of needing to change products, payment collection complications and difficulties in getting reliable market information.Know More
One advantage of selling overseas is the possibility of increased sales because the company's target market is larger. In addition, by widening its market scope and reaching out to a wider customer base, a business can deal in international market shares as well as national ones. By selling to multiple countries, a business spreads its risk and is not tied to the seasonal or economic fluctuations of a single marketplace. Finally, a company must hire more people to handle overseas operations and order more product to sell to international markets. This means that the size of the company will expand, and it can order more units and cut production costs.
Although there are many benefits of exporting goods, there are also disadvantages. In setting up an international branch, a company may face costs in making promotional materials, traveling and handling administrative tasks. Companies that expand overseas may have to modify their products to make sure that safety codes and import restrictions are met. It is also more complicated to collect payments abroad, and it may be hard to get reliable market information on foreign countries in order to make good business decisions.Learn more about Economics
Monopolies are often better-equipped to serve the public interest and compete internationally. They also have advantages in research and development and economies of scale. The primary problem with a monopoly is that it gives one company control and power of the marketing, which may lead to high customer costs.Full Answer >
Some of the pros of capitalism include increased market efficiency and increased economic growth, while some of the cons include wealth inequality and lack of public services. Capitalism is an economic system in which the government exerts little influence, and private companies control the production of goods and services.Full Answer >
A pro of national debt is that it is a good way for countries to get extra funds in the short term to invest in economic growth, whereas a con is the risk of accumulating too much debt. The federal government borrows money from the public and from itself.Full Answer >
Advantages from building dams include delivering more water and energy to local populations, expanding surrounding riparian habitats and controlling floods, while disadvantages include harm to the plants and animals in local environments, decrease in natural diversity and structural instability of the nearby riverbed and riverbanks. Dam construction directly influences the surrounding environment, and impacts economies and societies too. Proponents support dam building on the basis that dams, large and small, bring jobs and revenue into local economies, and help societies modernize and develop greater complexity.Full Answer >