domingo, 10 de octubre de 2010

1. CONCEPTS
Incentives:  "A payment or concession to stimulate greater output or investment: tax incentives for investing in depressed areas" (Oxford dictionary, 2010)

Exportation: "Sales of goods or services to other countries, or the revenue from such sales" (Oxford dictionary, 2010)

Proexport: "Institution in charge of promoting Colombian non-traditional exports, international tourism and foreign investment to Colombia" (proexport, 2010)

2. Which Incentives offers Colombia to their exporters and why are they important?

As people know, both organizations and their employees need motivation to ensure that the actions and activities are productive and efficient. Consequently, exporters
As people know, both organizations and their employees need motivation to ensure that the actions and activities are productive and efficient. Consequently, exporters need also motivation through incentives to promote the efficiency of its exports. When the government provides incentives to exporters in their export efficiency, they are not doing a favor,  this is because the country and its economy also benefits. For this reason, Colombia offers to colombian exporters the following most important incentives:

FREE TRADE ZONE: "Areas bounded national territory where industrial activities of goods and services and commercial activities for the foreign market." (Proexport, 2010)

A free trade zone is important because guarantee faster process by removing obstacles like customs regulations. "FTZs prove to be beneficial both for the importers and exporters, as these zones are designed to reduce labor cost and tax related expenditures." (Economy Watch, 2010). 

The benefit offered by a free trade zone is not unique to the exporter, it also gives to the country advantages, because it helps countries to reduce serious problems such as unemployment to be able to reduce labor costs. Besides that, I think the most important thing is not just having these benefits of the free zone, but the most important thing is to have enough strategies to harness these opportunities.
"Free trade zones help the traders to utilize the available business opportunities in the best possible way" (Economy Watch, 2010).







Economy Watch (2010) International free trade zone. [Online]:
http://www.economywatch.com/international-trade/free-trade-zone.html







Oxford Dictionary (2010)
http://oxforddictionaries.com/view/entry/m_en_us1245671#m_en_us1245671.014

Oxford Dictionary (2010). available on: http://oxforddictionaries.com/view/entry/m_en_us1257487#m_en_us1257487

Invest In Colombia Corporation (2004). Colombia: Businness Overview. [On line]:
http://www.sice.oas.org/investment/NatLeg/COL/Comp_Advant.pdf