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Further, pricing is influenced indirectly by laws and regulations which necessitate product modifications, in compliance with different technical specifications, health and safety standards, environment-protection acts, electric, weight, and measure systems, and such like, that may prevail in foreign markets.
Consider where the negotiation will take place an important part of the structural context of the negotiation along with social factors and the issue agenda and what sort of power imbalances and sources there might be, what negotiation tactics might be adopted and what signals may be given — and how you will respond in each situation.
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On the cost side, the economic environment of the host country determines the cost of raw materials, labor, energy, and other resources which a firm needs to purchase or hire in order to be able to carry out its every day operations.
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The capital asset pricing model (CAPM) is an idealized portrayal of how financial markets price securities and thereby determine expected returns on capital investments.
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