A Free Zone (FZ) is an area enclosed by a fence with Customs supervised entry and exit
Question:
A Free Zone (FZ) is an area enclosed by a fence with Customs’ supervised entry and exit points, that is not considered to be within the host country. It is where certain economic or fiscal advantages are granted to facilitate manufacturing and world market trade. While no two Free Zones are precisely the same, the host economy gains foreign exchange earnings; employment growth; foreign capital; advanced technology; labor management skills, and linkages between Zone industries and the domestic economy. The resident zone companies gain proximity to important international markets; generally lower costs, skilled labor; no duties or tariffs; rich financial incentives; and one-stop support services. All contributing to a significant reduction in the risks and costs of doing business.
Step by Step Answer:
International Marketing
ISBN: 978-0077842161
17th edition
Authors: Philip R. Cateora, John L. Graham, Mary C. Gilly, R. Bruce Money