International Trade Ph.D. Essay Example | Topics and Well Written Essays - 1250 words

International Trade Ph.D. - Essay Example Along with specificity, the transaction is time ordered. Each actor involved in the transaction must handle all matters within the time period stipulated within the content of the term or type of payment. In this particular instance, the negotiating process has commenced and the quantity and cost of the items have been identified, therefore the process of tinder of an offer has previously taken place. The process now proceeds to a formal finalization of quantity, type, cost, terms, marks, type of shipment; i.e., free on board, full container load, and whether the buyer will engage an agent; freight forwarder, etc. International transactions contain many pitfalls—make a mistake with customs clearance and the transaction can be subject to delays in payment or wastage of human or financial resources. Sustained international trading success calls for investment in the skills and expertise necessary to master international trade procedures and to get the documents right. (Sitpro).. . Thus, the volume of product marketed is not as important as the consistent product supply. Do not take your foreign responsibilities for granted; lack of service and attention to foreign accounts can cripple your efforts to export. (Exporting) Again, in-house matters must be clear and specific to achieve long-term success. Therefore, ample considerations must be focused on the following items: (1) Management and Personnel---who will be responsible for the exports department'sorganization and staff ---What are management's expectations for the effort ---whatorganizational structure is required to ensure export sales are adequately servicedWho will follow through (2) Production Capacity---how is the present capacity being used ---will filling exportorders hurt domestic sales ---what is the cost of additional production ---are therefluctuations in the annual workload When Where Why ---what minimum orderquantity is required ---what is required to design and package orders for export 3 (2) Financial Capacity---how much capital can be tied up in exports ---what exportoperating cost can be supported ---how will initial expenses of the export effort beallocated ---what other new development plans are in the works that may competewith export plans ---by what date must an effort pay for itself ---is outside capitalnecessary (Susta) Once there is a representative and positive response to the items mentioned above, you are then prepared to approach the specifics of exporting electronic widgets to the targeted company