Which of the following is a common difficulty that traders face when exporting goods or services to other countries?

• A. Excess supply in the local market
• B. Lack of domestic competition
• C. Navigating complex customs regulations
• D. Low transportation costs

Answer: (C)

Verified step by step guidance

1. Understand the context of exporting goods or services internationally, which involves moving products across borders to foreign markets.
2. Identify common challenges faced by traders in international trade, such as regulatory barriers, logistics, and market conditions.
3. Recognize that 'excess supply in the local market' and 'lack of domestic competition' are more related to domestic market conditions rather than international trade difficulties.
4. Consider that 'low transportation costs' would generally be a benefit rather than a difficulty when exporting.
5. Conclude that 'navigating complex customs regulations' is a typical and significant challenge for exporters, as it involves understanding and complying with different countries' import/export rules, tariffs, and paperwork.