Which of the following is true of countertrading?

Which of the following is true of countertrading?



A. Frequently there is inadequate time to conduct a market analysis in a countertrade negotiation.

B. Identifying countries that have a history of countertrading is one of the major problems with countertrades.

C. The use of countertrading to sell a good implies that the demand for the good is highly elastic.

D. Countertrading does not benefit countries that face a shortage of hard currencies with which to trade.

E. The U.S. dollar is the reserve currency that is used in countertrades.


Answer: Frequently there is inadequate time to conduct a market analysis in a countertrade negotiation.


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