Exam 14: Exporting and Countertrade
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Lamp Shade Imports (Scenario)
The ABC Lamp Company is an SME that designs and manufactures high quality lamps that are sold in high-end furniture stores across Canada and the United States. ABC imports lamp shades from Asia where costs are lower than in North America. ABC has received a large order from a hotel chain that wants to purchase 5,000 lamps in the next three months, and ABC will need to import corresponding lamp shades. ABC recently ended a relationship with a Chinese supplier due to the poor quality of shades that were shipped. ABC managers are seeking a new Asian supplier that can fill the hotel lamp order.
-ABC managers have located a small Asian supplier that can fill the order, but the supplier will need to draw on a substantial amount of its working capital. From which of the following would the supplier most likely seek financial assistance?
(Multiple Choice)
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