国际贸易缺点.doc

Impediments to Trade贸易障碍While free trade is generally thought of as a positive, countries will periodically put up barriers to trade. Tariffs are taxes on imports that make imported goods more expensive and less competitive relative to domestically-produced goods. While national governments used to obtain a significant percentage of their receipts from tariffs (in the days before income taxes were common), tariffs today are more commonly used to protect domestic industries and/or to punish other countries for perceived wrongdoing (typically subsidizing local industries to the detriment of the importing countrys industries).Subsidies are transfer payments given by governments to domestic suppliers of goods or services. The motivation to provide subsidies is to increase production and/or lower prices for a countrys consumers and/or to make domestically-produced goods more competitive with imports.Quotas are limits on the amount of a good that can be imported in a given period. Quotas serve a similar purpose to tariffs in that the increase the price of imported goods, but quotas can be even more severe as no additional goods are available once the quota level is reached.Free trade is a double-edged sword. On the surface it appears as equal opportunity for everyone in the pact. While it has some advantages, it also carries some disadvantages. The extent of disadvantages for any country in the free trade zone is directly related to the attained level of technology for that country. This means that less industrialized members of a free trade region may be at a disadvantage until such countries overcome their technological obstacles.Increased CompetitionWhen countries open their international borders to member nations in the same free trade zone, they also open themselves up to the possibility of fierce competition which may come from other nations in the same free trade zone. All countries within the zone would be competing with one another for the same consumers.Increased UnemploymentBecause of the increased competition, some countries may appear to have gained some degree of competitive advantage against others. One way of attaining such advantage could be related to advanced technology. For instance, the North American Free Trade Zone includes United States, Canada and Mexico. Because of the technological superiority of the United States over a country like Mexico, unemployment levels in Mexico might be higher than that of the United States because of fewer employment opportunities in Mexico compared to those in the United States.Corporate RestructuringCompanies in free trade zones are always in competition with one another. This competition can also lead to another issue: restructuring. Unless companies that are at a competitive disadvantage restructure their operations, they may not be in a position to catch up with their competitors. Restructuring is an expensive endeavor; it may involve the corporate management team, ownership, or the operational aspects of the firm.Economic UnderdevelopmentFree trade regions may also impact some regions more than others in terms of the level of economic development. Some areas of the region may attract a greater level of economic development than others, resulting in the economic underdevelopment of some areas within the free trade zone. Underdevelopment could also impact the countrys gross domestic product and depress the countrys total exports as a result.THE TOP FIVE RISKS:1 Not spending enough time defining the risks of international tradeAre you clear why you want to trade internationally? Are you aware of its risks? What are the reasons you want to sell or buy from overseas? It is crucial that you have a clear understanding of what international trade involves. It is easy to become engulfed in the excitement of its benefits and marginalise the risks to your detriment.2 Misunderstanding the local legal frameworkIt is dangerous to assume that laws in other countries are similar to that of the UK. The reality is laws differ in every country which means it is essential you spend sufficient time educating your company about the legal framework of the country you are doing business with. Identifying a local lawyer is a good idea so that you can get a full picture of the laws that will apply and which ones will affect your business. Doing something legally right the first time can save you a lot of time, money and possible future heartache.3 Not communicating effectively with your business partnersRelationships have to be worked at as there are always problems and emails can be very easily misunderstood. Time spent on the telephone and visiting will make life so much easier in the long term as you are likely to develop a rapport and gain a firmer understanding of how your partner works and thinks. Invaluable.4 Not spending enough time with your potential business partnersLong distant relationships leave a lot to be desired. Two good friends of mine who have been buying goods from China and selling to a number of countries for more years than any of us wish to remember, spend even now, a huge amount of time up front with new potential partners. This is time very well spent as it has meant they have developed some very good partners and avoided some very dodgy characters along the way.5 Unstable profitsWith so many aspects to consider when trading at an international level, it is easy to leave currency exchange to the last minute. Unfortunately, in doing this, there is a risk of not getting the best exchange rate which in turn could have a negative impact on your business profit. As we live in the UK, anything we export or import will have to be exchanged into sterling. This means that between setting your budget, buying the goods and then paying for them, if you do not plan ahead, the markets volatility could always change the worth of the sterling and not always for the best.Many of my clients international trade has brought them huge benefits but not without additional risk. International trade has to be approached sensibly and with a clear thought process so as to maximise the benefits and minimise the risks.Free Trade Vs. ProtectionismAs with other theories, there are opposing views. International trade has two contrasting views regarding the level of control placed on trade: free trade and protectionism. Free trade is the simpler of the two theories: a laissez-faire approach, with no restrictions on trade. The main idea is that supply and demand factors, operating on a global scale, will ensure that production happens efficiently. Therefore, nothing needs to be done to protect or promote trade and growth, because market forces will do so automatically.In contrast, protectionism holds that regulation of international trade is important to ensure that markets function properly. Advocates of this theory believe that market inefficiencies may hamp