Answer to Question #228598 in Macroeconomics for Fortune

Question

How imports and exports benefit a company like Volkswagen in relation to resources,Capital

Answer 1

Volkswagen benefits from imports because some products that are used in their manufacturing process are imported, that is, some of their raw materials are imported because they may not be present locally and the only option of acquiring them is by buying from other countries.

After coming up with their finished products, the company, Volkswagen benefits from other countries through exportation of these products. They earn revenue and profits through these exports.

The company can also import skills from other countries by hiring foreign personnel with the expertise in their manufacturing field. These personnel can be used to train the employees who are locally employed in the company. This greatly helps in the improvement of their rate of production and quality of products.