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Homework answers / question archive / The most attractive way to reduce or eliminate the impact of paying tariffs on pairs imported to a company's distribution warehouse in Europe-Africa is to simply stop selling footwear in Europe-Africa
The most attractive way to reduce or eliminate the impact of paying tariffs on pairs imported to a company's distribution warehouse in Europe-Africa is to
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simply stop selling footwear in Europe-Africa. | |
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build a plant in Europe-Africa and then expand it as may be needed so that the company has sufficient capacity to supply all (or at least most) of the pairs the company intends to try to sell in that geographic region. |
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lower the S/Q rating on all pairs sold in Europe-Africa to 1 star or 2 stars--no tariffs have to be paid on imported branded footwear having an S/Q rating of 2-stars or below. |
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only sell the company's branded footwear at its Internet site for Europe-Africa; no import tariffs have to be paid on Internet sales--import tariffs only have to be paid on footwear shipped from the company's Europe-Africa warehouse to footwear retailers in Europe-Africa. |
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pursue a strategy of selling fewer pairs in Europe-Africa than rival companies, which will then keep the company's costs for import tariffs in Europe-Africa lower than those of rivals and give the company a low tariff-cost advantage on its sales in Europe-Africa. |
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