Today’s business activities are no longer confined to an office room where a clerk sits with a big account book. Business activities today are carried out internationally at global levels. The scenario is very competitive where the survival of the fittest is the rule. No matter how rich a country is, it does depend on other countries for certain products. In other words, there exists some degree of insufficiency.
Here comes the importance of exports and imports. Different countries of the world produce large quantities of goods and services. These bulk quantities do not find consumers in the home country at all times. However these are at times demanded by people from other countries. They then import the goods from the producer country. The producer country exports the goods in the appropriate quantities. Therefore there exist international business relations. There are many countries which have completely focused their attention on imports and exports for their businesses to flourish. China and USA for example are two important countries which have recently become the centre for international trade. China has dominated the markets of many countries of the world with its amazing products.
Certain products like machinery, equipment, iron and steel, garments, footwear and other accessories which are produced in China are greatly demanded by USA. Therefore these products form a major part of Chinese exports and USA imports. Today the internet has become a great medium for importing products from China to USA. The two countries maintain trade relations through the internet facilities.
However while carrying out the international trade, it becomes important for the business organisation of both countries to respect the norms and regulations of trade prevailing in both the countries. While importing goods to USA, it is important for the Chinese traders to comply with the regulations of the USA Tariff Act for Customs, 1995. The exchange rate prevailing in both the countries should also be confirmed so that the transaction becomes very profitable. Both the countries should get the required permits to carry out trade between the two countries. All other requirements like insurance coverage, taxes and fees, etc. should be carefully considered so that no regulation is violated. Such violation causes complications and may lead to heavy losses.
The internet has not only facilitated businesses to carry out imports and exports but has also provided business personnel effective training regarding the concept. They can get a clear understanding about all the aspects of imports and exports. Acknowledging the benefits derived from international trade, many universities have included these courses in their teaching program.