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CIPS L4M4 Exam - Topic 1 Question 42 Discussion

Actual exam question for CIPS's L4M4 exam
Question #: 42
Topic #: 1
[All L4M4 Questions]

What might a buyer encounter if the supplier's government has introduced a protectionist measure?

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Suggested Answer: C

Protectionist measures are policies implemented by governments to protect domestic industries from foreign competition. One common protectionist measure is the imposition of import duties, which are taxes levied on imported goods. These duties make imported products more expensive, encouraging consumers to buy domestic products instead. Buyers sourcing internationally must be aware of such duties as they directly impact the total cost of procurement.

Exact Extract from Study Guide:

'Furthermore, there are many potential cost considerations when importing goods which can include taxes & duties or storage costs. By understanding all key legal, regulatory and organizational requirements prior to sourcing from international suppliers, businesses can ensure compliance while also maximizing cost savings.'


by Melissa at Nov 24, 2025, 03:09 AM

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Izetta
15 hours ago
Wait, are carnets really a thing in this context?
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Sheldon
6 days ago
I thought inward processing relief was more common?
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Skye
11 days ago
C) Import duties. The only thing a buyer will encounter is a bigger hole in their wallet.
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Malcolm
16 days ago
Haha, the answer is clearly C. Governments love slapping on those import duties, don't they?
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Mireya
21 days ago
I agree, C is the right choice. Protectionism is all about those pesky import duties.
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Malissa
26 days ago
Definitely C. Governments use import duties to protect domestic industries from foreign competition.
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Giovanna
1 month ago
C) Import duties is the correct answer. Protectionist measures often involve imposing import duties to restrict foreign goods.
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Emiko
1 month ago
I remember a practice question that mentioned import duties as a barrier to trade, so I’m leaning towards that being the right answer here.
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Melita
1 month ago
I feel like we discussed inward processing relief in class, but I can't recall how it specifically relates to protectionism.
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Nilsa
2 months ago
Hmm, I'm not totally sure about this one. Protectionism could potentially involve any of these options, so I'll need to think it through carefully. Maybe I can eliminate a few choices and then make an educated guess.
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Linwood
2 months ago
Protectionist measures usually involve things like tariffs or quotas, so I'm pretty confident the answer is import duties. I'll mark that one down and move on.
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Fletcher
2 months ago
Ugh, I'm so confused by this question. I know protectionism has to do with trade barriers, but I'm not sure which of these options is the right one. I'll have to guess and hope for the best.
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Theron
2 months ago
Import duties are a big one!
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Jutta
2 months ago
I think I remember something about import duties being a common protectionist measure, but I'm not entirely sure if that's the only option.
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Oretha
3 months ago
Definitely, C is the most likely outcome.
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Garry
3 months ago
I might be confusing this with another topic, but I think arbitration is more about resolving disputes rather than a direct effect of protectionist measures.
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Dorthy
3 months ago
Okay, I've got this. If the supplier's government introduces a protectionist measure, the buyer would likely encounter import duties. That's got to be the right answer.
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Truman
3 months ago
Hmm, this one seems tricky. I think it might have to do with import duties, but I'm not totally sure. I'll need to think it through carefully.
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Brandee
2 months ago
I agree, import duties sound right.
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