Effects of Import.
- Lower domestic costs of productions.
- Enable production of goods that depends exclusively on non-domestic source of supply.
- Acquisition of technologies.
- Labor force as major driven factor for resorting to imports.
Effects of export.
- Boostering economic of scale for producing in home country.
- Shortages of goods may exist, leading to higher prices for domestic consumers.
- Major role in providing jobs and expansion of useful sources such as raw materials and information.
- Proactive -> strategy or plan to endorse before problematic issues occur.
- Reactive -> plan commencing right after problem occur and to deploy corrective action.