You need to be aware of the issues with checks and credit cards (processing fee, delay in collection, fraud etc.)Ī letter of credit is issued by a bank on behalf of the buyer in favor of the seller. Your choices include cash, letter of credit, open account etc.Ĭash payments can be in the form of wire transfer, check or credit card, wire transfer is the safest option. Develop working knowledge of export payment mechanisms If you have simple and infrequent shipments with no personalized service required, an integrator such as UPS may be a good choice.Ĥ. Alternately you can use an international freight forwarder or an integrator for this purpose.Ī friendly and experienced freight forwarder can be a very valuable partner that can take care of numerous export issues, reduce your shipping costs and free you to attend to what you know best: producing and marketing your product. A thorough knowledge of export paper requirements for your product is a must. You can do it yourself but it will not be easy. Make sure to frequently visit the market, distributors, and prospects. Make sure both sides have a skin in the game, gain more or less equally from the terms and conditions because either both succeed or neither does. You need to pay special attention to training, promotional material, customer support, performance tracking, delivery schedules, quality inspections, frequency and means of communications, etc. For instance, does it cover who is responsible for and will pay for local product registrations? Keep the agreement concise, cover all aspects of business operations, responsibilities and money flow in advance. Prior to committing anything in writing, conduct a thorough due diligence on potential distributors such as, checking on their track record, verifying their commitment to your product, etc. If you intend to use a distributor for selling your product, you first have to select a distributor and create a legally binding agreement with the distributor. It is also a good place to gauge customer interest, their ability to pay, getting feed back in modifying your product, checking what your competition is offering, what channels they are using etc. You can exhibit at the show, take a speaking role in a business forum, and hold meetings with the perspective buyers and distributors. It is priceless, however to attend a trade show that attracts foreign customers and distributors. for your product taking into account export/import regulations and cultural preferences.Ī lot can be gleaned from the trade magazines and the research reports available on the Internet. With the help of your local partner and potential customers, you will need to understand the selected market's requirements for price, style, packaging, labeling, etc. The objective is to choose an initial target market in a well-defined geographic territory and a local sales channel appropriate for your product. You can do it yourself or hire a consultant to do all or part of the research. Here are some of the important items you need to do: There is of course a lot more to know and do before you are really ready to jump in the International arena, but all of it is rather straightforward and an extensive Eco system exists to support you to do it successfully. If the answer to each of these questions is an unqualified yes, you are way ahead of the game. ![]() Are you ready to commit dedicated resources (financial, manufacturing capacity, staff, time.) to support marketing abroad?.Is your product or service reasonably attractive for the foreign markets? (To answer this, you may consider unique features of the product, not too easy to copy, attractive for foreign customers & their ability to pay for it, export and import regulations, etc.).Do you currently have a successful product or service in the domestic market?. ![]() To assess whether you are ready for exporting, first ask yourself the following three questions: Selling your products or services internationally is the key to your business growth.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |