Differentiate between export, import and entrepot. - SS1 Commerce Lesson Note

Export

Export refers to the sale of domestically produced goods and services to foreign countries. It involves shipping products or services to other countries and receiving payment in return. Exporting is an essential component of international trade, as it allows countries to earn revenue by selling their goods and services to other markets.

Import

Import refers to the purchase of goods and services produced in foreign countries for use in the domestic market. It involves bringing in goods or services from other countries and paying for them. Importing allows countries to access goods and services that may not be available domestically, or that can be produced more efficiently or cost-effectively in other countries.

Entrepot

Entrepot, also known as re-export, refers to the process of importing goods from one country and then exporting them to another country without significant modification. An entrepot trade involves using a third country as a hub for receiving and shipping goods between different regions. The entrepot country acts as a transit point, facilitating the movement of goods between countries.