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15 February 2018Jurisdiction reportsChin Khang Juin

Malaysia jurisdiction report: The pros and cons of parallel imports

Usually, parallel importers purchase goods that are being sold at a relatively lower price intended for and from country A and subsequently sell them in country B. The goods are being sold at a price that is higher than in country A but lower than the price fixed by the authorised distributor or licensee in country B due to factors such as fluctuations in currencies, different market strategy, trade policy and distribution costs. Consumers benefit from parallel imports as they are able to purchase genuine goods at a lower price and have more choice where a different version or variant of a product can be obtained in the local market.

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