(In what ways might political and technological factors affect the marketing of product or services in an overseas market?)
Political and technological factors may affect the marketing of products or services in an overseas market. * Political factors
* Minimum wages legislation affects the international competitiveness of a firm using production processes that are highly labour intensive. (Czinkota and Ronkainen, 2010). For example, the minimum wages in Hong Kong is around US$ 29 per day while in China is US$ 4-8 per day (National Wages and Productivity Commission, 2013). * Import tariffs which impose a percentage duty on the cost of landed products pose a negative factor to exporting as do import quotas which impose a numerical value on the numbers of products that can be imported (Hollensen, 2011). According to MATRADE (2013), there is news state that China lower import tariff of 784 products effective from 1st January 2013. * Import restrictions which mean selective restriction on the import on raw materials, machines and spare parts are fairly common strategies to force foreign industry to purchase more supplies within the host country and thereby create markets for local industry (Pervez Ghauri and Philip Cateora, 2005). * Import license – a license that’s may be required by certain countries for particular type of amounts of imported goods (Czinkota and Ronkainen 2007). * Tax rate – the pricing of product is subjected to different corporate tax rate in each country (Justin Paul and Ramneek Kapoor, 2008). For example, the minium corporate tax in Malaysia is 20% while the minimum corporate tax in Hong Kong is 16.5% (TaxRate, 2012) * Political stability – political ideologies bring out the vulnerability of internation firms. It is not possible for a firm to take sides with any political pole yet (Justin Paul and Ramneek Kapoor,2008). * Brandley. F (1999) states that Greece is a country that...
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