What is the main difference between offset and counterpurchase? O A. O B. O C. O

Question

What is the main difference between offset and counterpurchase? O A. O B. O C. O D. O E. Offset requires a seller of equipment to buy products made with that equipment; counterpurchase does not. Counterpurchase is product-specific, offset is not. Counterpurchase requires that one company sells to another its obligation to make a purchase in a given country, offset does not. Counterpurchase identifies the amount of a future purchase; offset does not. Offset requires an exchange of goods to reduce the transfer of hard currency, counterpurchase does not.

Explanation / Answer

The main difference between offset and counter purchase is:

C. counter purchase requires that one company sells to another its obligation to make a purchase in a given country, offset does not.

If we look at both counter purchase and offset we will observe that logically both are quite similar except in few aspects and the primary difference is that in offset the seller is free to purchase from any industry or business but in counter purchase the rules and law are more stringent and they limit the firms or industries from which the firm can purchase or be involved in any business transaction. On a whole the concept is logically the same.

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