Price This type of dumping involves setting a lower price for foreign customers compare to the domestic market. However, the price cannot fall below the cost of production. Often use in export markets. Cost Similar to price dumping, but more aggressive because prices are set below the cost of production. monopoly of business within the country, the possibility of exporting at low prices and state support, which excludes re-import. Social It assumes the possibility of containing cost growth through the use of cheap labor, which provides a competitive advantage. Foreign exchange Occurs when a currency depreciates significantly outside the country, giving the exporter an advantage due to a lower foreign exchange rate.
Chiptrip ("cheap trip") The cost reuction is achieve by reucing the cost of delivery of goods. Hidden Certain regions or industries receive additional tax breaks or Uruguay Phone Number List subsidies, which reuces the cost of goods. Technological The company uses high technology to provide itself with an advantage over other business participants and set lower prices. Non-market Use in developing countries where the laws of market economy are not effective and low prices do not necessarily lead to losses due to social, political and economic factors. Forms of dumping Forms of dumping are a variety of strategies use by entrepreneurs to set lower prices for their goods or services.
These customer acquisition strategies cover a wide range of scenarios and conditions. Let's look at several forms of dumping that are currently widespread in the market. Constant In this tactic, the product is always offere at a price kept at the cost level. It is use to stimulate sales of relate items and achieve other marketing objectives. Mutual (counter) Involves a mutual agreement between two countries to sell goods at a reuce price. This type of dumping is base on mutual interest and consent of the parties. Back Products intende for the domestic market are sold at a lower cost than in foreign markets. Use to support the country's economy and regulate the domestic market. Sporadic (episodic) In this strategy, the cost of goods is reuce for a short time in order to eliminate stock and sell illiquid goods. Deliberate When a firm acts with the goal of deliberately displacing a specific opponent and increasing its share.