Explain the methods a firm might use to enter into internati

Explain the methods a firm might use to enter into international trade.

Solution

First of all Demand supply pattern has to be understood for particular product and freight charges.Also relative advantage of product with respect to cost and freight and quality over other competitors.In india the information can be got from trade bodies regarding demand .Also cost of export finacing is also to be taken into consideration.

India has relative advantage in Diamonds as cost of production low and quality good and Software exports as good quality at a economical rate.