Starting an Export Business
Venturing into export business requires a well thought plan because it is more complex and involves a lot policies and regulations. It also important to understand that, the export business involves going beyond the national borders, hence, it is important for an entrepreneur to understand the dynamics of the policies in the countries in which he/she intends to export in.
One of the major advantages of starting an export business is the guaranteed increase of market share due to the increased market access outside the traditional US markets. The major disadvantage lies in the fact that, starting an export business is so complex and requires a long legal procedure in ensuring that the business in carried out in a more acceptable route.
The US has established business relations with most nations across the world. In addition, the US business policy is slightly stronger because of its stronger economic terms. The continued diplomatic associations between the country and her partners across the world provide a good market place for the US-made products and services.
The association and the foreign policies are therefore, very important for the growth of the US economy. High volumes of export are directed to the European, Asian and some parts of African markets because of the strengthened relations between the nation and most the countries within those regions.
According to the U.S. Department of the Treasury(n.d.), economic policy is an important determinant of prospective economic developments and ensures arriving at the appropriate economic policies. In that regard, foreign policies are also important factor affecting export business. They are needed for clarity and extent to which the relations between the trading countries stretch. They determine the dos and the don’ts of the foreign business operation.
References
U.S. Department of the Treasury. (n.d.). Economic Policy. Retrieved February 7, 2018, from U.S. Department of the Treasury: https://www.treasury.gov/about/organizational-structure/offices/Pages/Economic-Policy.aspx
