Agro corp., based in the country of arahonia, is a company that produces agricultural products. the domestic market of arahonia is not sufficient to support agro corp.'s large-scale level of production because arahonia is a small but highly industrialized country. thus, agro corp. decides to sell its products to the agriculture-based country of petinberg at less than their production cost. this process is termed as

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Business

Katelyn Rivas

3 June, 10:42

Agro corp., based in the country of arahonia, is a company that produces agricultural products. the domestic market of arahonia is not sufficient to support agro corp.'s large-scale level of production because arahonia is a small but highly industrialized country. thus, agro corp. decides to sell its products to the agriculture-based country of petinberg at less than their production cost. this process is termed as

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Anne Hanna · Answer 1

Based on the scenario above, this process is being termed as dumping. Dumping is a term used in the international trade’s context where in the export of a company or a country in regards with their product is being priced lower when they are in the foreign importing market than of the domestic market.