Question 1

How do tariffs affect ecommerce sellers?

Accepted Answer

Tariffs are taxes on imported goods, which are paid by the importer, not the foreign country. For ecommerce sellers who import products, this means a direct increase in their cost of goods sold, which can shrink profit margins if not managed through pricing or sourcing adjustments.

Question 2

What is scenario planning for a business?

Accepted Answer

Scenario planning is a strategic tool where business owners create multiple potential future situations (scenarios) to understand how different economic or political changes could impact their operations. Instead of reacting to events, operators can proactively build strategies for best-case, worst-case, and most-likely scenarios to ensure their business remains resilient.