The Floral Group, an importing organization in New York, has just bought an excessive amount of perfume from perfume manufacturer in Paris. Unknown to the perfume manufacturer, the Floral Group has sold 25 percent of its order to distributors in France that have been unable to purchase any products from the perfume manufacturer. Which of the following best describes the transaction that has just taken place?

Question

Quizplus · Accepted Answer

Because of the different prices possible in different country markets, a product sold in one country may be exported to another and undercut the prices charged in that country, known as a parallel market.

The Floral Group, an Importing Organization in New York, Has