tariff - international business
DESCRIPTION
TARIFF IN INTERNATIONAL BUSINESSTRANSCRIPT
![Page 1: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/1.jpg)
![Page 2: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/2.jpg)
![Page 3: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/3.jpg)
REASONS FOR PROTECTION
1. SAVING DOMESTIC INDUSTRIES
Lack of-Technological skill-capital-Wide markets-Advertisements-Marketing
![Page 4: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/4.jpg)
2.SAVING DOMESTIC EMPLOYMENT
-Labour intensive-(coir, cashwe, khadi, small
scale industries)
![Page 5: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/5.jpg)
3. DEVELOPING INFANT INDUSTRIES – RECENTLY ESTABLISHED INDUSTRIES
(IMPORT SUBSTITUTION INDUSTRIALISATION)
SHORT RUN RESTRICTIONS
MORE PROTECTIVE ACTIONS
![Page 6: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/6.jpg)
4. NATIONAL SECURITY –
STRATEGIC INDUSTRIES
DEFENCE INDUSTRIES
![Page 7: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/7.jpg)
5. PROTECTING OLD & IN-EFFICIENT INDUSTRIES
Chance of modernisation
![Page 8: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/8.jpg)
6. PRESERVING NATIONAL HERITAGE & CULTURE
Agriculturalcraft industries
![Page 9: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/9.jpg)
7. ATTRACTING FOREIGN INVESTMENT
-Avoiding high tariff-Set up production units inside
the country-More employment
![Page 10: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/10.jpg)
8. RETALIATING-Force the trading partner
to stick to the rules of the game
Eg: U.S.A to china - IPR
![Page 11: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/11.jpg)
INSTRUMENTS OF TRADE POLICY OR
INSTRUMENTS OF TRADE CONTROL
ORINSTRUMENTS OF INTERVENTION ORTECHNIQUES OF PROTECTION
![Page 12: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/12.jpg)
TARIFFS
![Page 13: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/13.jpg)
It is a tax which is levied on goods that move internationally. It refers to duties or taxes imposed by the government on commodities which are imported into a country from abroad.
![Page 14: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/14.jpg)
Classification of Tariffs
On the basis of the origin and destination of goods crossing the national boundary
![Page 15: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/15.jpg)
1. IMPORT TARIFFS
•One which is levied on imports•Increases the price•Revenue to government•Job security
![Page 16: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/16.jpg)
2.EXPORT TARIFFS
The tariff which is levied on exports
Domestic demand satisfaction
![Page 17: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/17.jpg)
3.TRANSIT TARIFF
Which is levied on goods that pass through a nation
![Page 18: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/18.jpg)
ON THE BASIS FOR QUANTIFICATION OF TARIFF
![Page 19: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/19.jpg)
•AD VALOREM IMPORT DUTYFixed percentage of the CIF value
![Page 20: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/20.jpg)
•SPECIFIC IMPORT DUTY
On the basis of number of units imported
![Page 21: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/21.jpg)
•COMPOUND IMPORT DUTY
Combination of both
![Page 22: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/22.jpg)
•SLIDING SCALE IMPORT DUTY
On the basis of scale
![Page 23: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/23.jpg)
WITH RESPECT TO ITS APPLICATION BETWEEN
COUNTRIES
![Page 24: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/24.jpg)
•SINGLE COLUMN TARIFF
Same rate to all countries
Determined by law
![Page 25: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/25.jpg)
DOUBLE COLUMN TARIFF
Different tariff to different nations
COMMON WEALTH PREFERENCE AGREEMENT in 1932
![Page 26: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/26.jpg)
WITH REFERENCE TO THE PURPOSE THEY SERVE
![Page 27: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/27.jpg)
REVENUE TARIFF
Revenue to Government
Low tariff
![Page 28: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/28.jpg)
PROTECTIVE TARIFF
Protection to domestic industries
High tariff
![Page 29: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/29.jpg)
DUTY DRAWBACKS
Reimbursement of tariff in case of re exporting
![Page 30: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/30.jpg)
TARIFF and ITS EFFECT
![Page 31: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/31.jpg)
PRICE EFFECT
DIRECT RELATIONSHIP
TARIFF INCRESAES PRICE WILL ALSO INCREASE
![Page 32: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/32.jpg)
PROTECTIVE EFFECT
For protecting domestic industries
Revenue is insignificant if the industry is fully protected
![Page 33: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/33.jpg)
CONSUMPTION EFFECT
For reducing the consumption
Reduce the net satisfaction
![Page 34: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/34.jpg)
REVENUE EFFECT
For increasing the revenue of the Govt.
Low tariff
![Page 35: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/35.jpg)
REDISTRIBUTIVE EFFECT
Distribution of income from consumers to producers
![Page 36: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/36.jpg)
COMPETITIVE EFFECT
Increasing the competitive power of the domestic industries
![Page 37: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/37.jpg)
INCOME EFFECT
Restriction of foreign goods
Import substitution industries
More employment
More income
![Page 38: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/38.jpg)
BALANCE OF PAYMENT EFFECT
Difference between export and import
At the time of imbalance in BOP
High tariff decrease the import
![Page 39: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/39.jpg)
![Page 40: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/40.jpg)
LIMITATIONS OF TARIFFS
•PROVOKE RETALIATION
•REDUCE THE OVERALL VOLUME OF WORLD TRADE
•UN EMPLOYMENT – IMPORT RELATED JOBS
![Page 41: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/41.jpg)
•INCREASE PRICE – SOUTH KOREA US RELATION(beef)
1989 japan $890
•OVER PROTECTION
•REDUCE VARIETY OF GOODS
![Page 42: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/42.jpg)
REFERENCES
1. INTERNATIONAL ECONOMICSDr.S.S.M.DESAIDr.Nirmala Bhalerao
2. INTERNATIONAL BUSINESSSanjay MisraP.K.Yadav
3. INTERNATIONAL BUSINESS Roger Bennet
4. NEWS PAPERS
![Page 43: TARIFF - INTERNATIONAL BUSINESS](https://reader038.vdocument.in/reader038/viewer/2022102716/5549b2bfb4c905bc6d8b4940/html5/thumbnails/43.jpg)