Does intermediary trade include entrepot trade? Come and find out!
Solved#Entrepot trade#
I've been learning about trade - related knowledge recently and I'm a bit confused about the relationship between intermediary trade and entrepot trade. I heard that intermediary trade acts as a bridge between buyers and sellers to facilitate transactions. Entrepot trade means that goods are transferred through a third place between the production place and the consumption place. So, does intermediary trade include entrepot trade? Can you explain the connection between them in detail?
Professional consultant answers
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Intermediary trade includes entrepot trade. Essentially, intermediary trade is a form of agency trade. Traders act as intermediaries to match buyers and sellers to reach a transaction and thus obtain commissions. In entrepot trade, the producing country and the consuming country of the goods do not trade directly. Instead, they trade through a third - country trader. This third - country trader plays an intermediary role in this process, so entrepot trade falls within the scope of intermediary trade.
For example, a Chinese company A produces clothing. A US company C wants to buy it, but A and C do not trade directly. Instead, a Singaporean company B acts as an intermediary, purchases clothing from A and then sells it to C. This is entrepot trade, and at the same time, B plays the role of an intermediary trader here.
However, intermediary trade has a broader scope and also includes forms such as general agency trade. Entrepot trade emphasizes the characteristic that goods transportation needs to pass through a third place.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Intermediary trade includes entrepot trade. When conducting entrepot trade, goods pass through a third place. The trader who operates in the middle actually plays an intermediary role, connecting the two sides. So from this perspective, it belongs to intermediary trade.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Yes, it does. In entrepot trade, the trader responsible for reselling goods is in the intermediary role, making a profit by facilitating the transaction, which conforms to the definition of intermediary trade. So it can be regarded as a type of intermediary trade.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
From the business model perspective, intermediary trade includes entrepot trade. The third - party trader in entrepot trade bridges the buyers and sellers, which is similar to the function of the middleman in intermediary trade. So it can be classified into intermediary trade.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Yes, intermediary trade includes entrepot trade. Entrepot trade involves the transfer of goods by a third party. This third party is like an intermediary, assisting in completing the trade and is part of intermediary trade.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Intermediary trade encompasses entrepot trade. The reseller in entrepot trade is like an intermediary, connecting the supply and demand sides to complete the goods transaction. Therefore, entrepot trade can be regarded as a type of intermediary trade.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
That's right, intermediary trade covers entrepot trade. The third - place trader in entrepot trade operates like an intermediary. So in terms of trade type classification, entrepot trade belongs to intermediary trade.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Intermediary trade does include entrepot trade. Entrepot trade is transferred through a third place, and the third - place trader plays an intermediary role, so it belongs to the category of intermediary trade.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Indeed, intermediary trade includes entrepot trade. The operation mode of entrepot trade conforms to the characteristics of intermediary trade, and the third - party trader assumes the role of an intermediary.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Intermediary trade does encompass entrepot trade. When conducting entrepot trade, the trader responsible for transferring the goods is like an intermediary, connecting the buyers and sellers, which is in line with intermediary trade.