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International Trade in Fashion

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Exchange Rates

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Fluctuations in currency valuation affect the cost of importing and price competitiveness of fashion goods in different markets.

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Logistics

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Covers the management of the movement of fashion goods, influencing speed to market and inventory levels.

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Trade Embargoes

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Prohibits trade with specific countries, disrupting the supply chain and market entry for fashion companies.

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Market Diversification

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Entering new international markets to reduce risk and increase opportunities for fashion brands.

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Protectionism

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Economic policies that protect domestic industries can influence the import of foreign fashion goods, affecting market competition.

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Incoterms

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Defines delivery terms and responsibilities between buyer and seller, crucial for international fashion logistics.

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Intellectual Property (IP) Rights

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Essential for protecting fashion designs, trademarks, and patents internationally to ensure brand uniqueness and value.

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Trade Agreements

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Bilateral or multilateral agreements that shape fashion trade by reducing tariffs and easing market access.

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Sustainability

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Adopting eco-friendly practices in the fashion trade to mitigate environmental impact and cater to consumer demands.

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Customs Clearance

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The process of passing goods through customs before they can enter or leave a country, essential for fashion items to be sold globally.

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Supply Chain Management

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The oversight of all steps in the fashion product journey, from material sourcing to delivery to the end consumer.

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Compliance and Regulation

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Adhering to international laws and regulations is crucial for fashion brands to operate legally across borders.

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Counterfeit Goods

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Fake fashion merchandise harms brand reputation and reduces profits for legitimate businesses.

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Foreign Direct Investment (FDI)

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Investment by a fashion retail company in another country, which can affect market expansion and cost-efficiency of production.

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Brand Licensing

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Allows fashion companies to internationally expand their brand without direct investment, influencing market presence and product range.

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Tariffs

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Custom duties imposed on imported garments affecting the cost and pricing strategy in global fashion retail.

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Quotas

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Limits the quantity of goods that can be imported, impacting the availability and variety of international fashion brands in a market.

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Grey Market

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Unofficial importation of fashion goods through channels which, while legal, are unofficial, unauthorized, or unintended by the original manufacturer.

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Economic Sanctions

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Restrictive measures that can limit trade in the fashion industry with certain countries and impact sourcing strategy.

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Sourcing

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The process of finding and acquiring raw materials or finished fashion products internationally, which affects cost and quality.

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