Tuesday, October 24, 2017

Export Process Evaluation

Successful exporting process embodies 7 main steps.

Step 1 – Product or Service

You have to evaluate yourself and your product/service. In order to select the right product or service, it is important to assess the export potential of it, the needs it will satisfy in the foreign market as well as any design modifications that may be required to make it suitable for the given market. You should answer yourself three main questions:

  1. Is my product/service exportable?
  2. Is my company capable of exporting?
  3. Which markets?

Step 2 – Canvassing & Promoting

  1. Market Research
  2. Visiting the Market
  3. Marketing Strategy & Representation
  4. Developing business relationships

Step 3 – Contract

  1. Incoterms
  2. Payment Method and Terms
  3. Product specifications
  4. Warranty, Service, Quality checks
  5. Legal considerations
  6. Company Policy and Responsibility

Step 4 – Prepare Goods or Services

  1. Financing
  2. Production Capacity
  3. Packaging
  4. Economies of Scale
  5. Duty drawback

Step 5 – Delivery

  1. Incoterms
  2. Freight: land, air or sea
  3. Transshipments
  4. Freight services
  5. Marine & Credit Insurance
  6. Documentation
  7. Timely Delivery

Step 6 – Payment

  1. Company Policy and Responsibility
  2. Risk management
  3. Credit Insurance
  4. Ownership Transfer 
  5. Payment Method and Terms
  6. Fees & Charges

Step 7 – Review and Recognition

  1. Maintain Relationships
  2. Continuous Improvement
  3. Client Service & Repeated Orders
  4. Market Surveillance and Monitoring Changes
  5. Acquire New Opportunities