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Smuggling

Part 6. International Marketing

  1. Kate Gillespie

Published Online: 15 DEC 2010

DOI: 10.1002/9781444316568.wiem06057

Wiley International Encyclopedia of Marketing

Wiley International Encyclopedia of Marketing

How to Cite

Gillespie, K. 2010. Smuggling. Wiley International Encyclopedia of Marketing. 6.

Author Information

  1. The University of Texas at Austin, Austin, TX, USA

Publication History

  1. Published Online: 15 DEC 2010

Abstract

Smuggling encompasses the import or export of goods in violation of domestic or international law. Most smuggling, however, involves the illegal import of goods that face import quotas, significant tariffs, or other high taxes. Trade liberalization has decreased smuggling but has failed to eradicate it completely. Instead, the smuggling of common consumer products has come increasingly under the auspices of transnational organized crime and has become intertwined with international counterfeiting and money laundering. Although smuggling presents several threats to global brands, multinational firms have been known to participate in smuggling in the attempt to increase sales and profits.

Keywords:

  • smuggling;
  • parallel markets;
  • black market;
  • gray market;
  • counterfeits;
  • quotas;
  • tariffs;
  • informal economy