When a specialized third-party trading house is used in a countertrade arrangement,it is called:
A) counter-purchase
B) offset
C) managed barter
D) buyback
E) switch trading

Question

Quizplus · Accepted Answer

Switch trading involves using a third-party trading house to facilitate the exchange of goods between two parties in a countertrade arrangement. The trading house acts as a middleman, buying goods from one party and selling them to the other, often at a profit. This allows the parties involved to obtain the goods they need without having to deal directly with each other or worry about issues like currency exchange or shipping logistics.

When a Specialized Third-Party Trading House Is Used in a Countertrade