GMS723: Module 3.1 Flashcards
What is INCO terms?
The relationship between seller and buyer and ultimately who takes ownership/who is responsible for the product at a given point in delivery process
What is the seller perspective of INCO terms?
Buyer is responsible for picking up the product and is responsible for it afterward
What is the INCO terms perspective?
Buyer wants seller to be responsible for the product before it gets to the dock
When looking at growth strategies tied to profit, what do you need to ask yourself?
- Does it have market knowledge and research in the foreign market?
- Does it have established links to customers/governments/agents?
- Does it have Match Strengths?
- Does it create the organization to eliminate weaknesses in Exporting?
- Does it acquire Expertise in Exporting?
What are the duties and overall responsibilities of an export manager?
- Planning and Organizing Resources for Export
- Gaining Commitment from Senior Management for Export
- Develop and Execute Export Marketing Plan
- Define and Determine levels of Control
- Direct Promotion and Sales Activities for Export
- Select Distribution Partners
- Negotiate Distribution Contracts
- Implement Procedures for Product
- Re-Design and Verification of foreign packaging and labeling requirements
- Implement Documentation and Quality checks on accuracy
- Partner with Customs Brokers and Government officials in - Home and Host Countries
- Shipping country and import country
- Staffing Resources
- Language Requirements
- 24 hour service/technical support
- Internet/email skills
- Automatic reordering capabilities
When assessing export markets, consider:
- Market Size
- Market ability to pay
- Infrastructure
- Advertising
- ## Customs and Practices
- Trade barriers
- Currency Risks
- Custom Rules and Practices
- ## Transportation Modes and Costs
- Product Suitability
- Competition in the Host Country
- ## Limited Purchasing Power Currency of the Business
- Canada’s trade performance with other countries
- Assessing surplus and deficit trade flows
What are recent negative impacts on Canadian trade?
- COVID-19 induced supply chain interruptions
- “Trucking for Freedom” event
- US politics
- Border Closures
- Pipeline Cancellations
- European Regulations on Climate
- Relations with China
What specific goods have experienced supply disruptions?
- Microchips – Automobile Industry
- Furniture and Appliances
- Construction Materials
- Toys and Video Game consoles
What was negatively impacted on Canadian trade regarding the recent Federal election?
- Liberal - NDP connection
- Conservative Leadership Race
- Debt and Deficit
What is the Export Process?
- Assess your export potential
- Linking to global value chains
- Develop your export plan
- Identify target market and strategy
- Identify finance requirements (best, most likely, and worse case scenario)
- Understand the legal side of international trade
- Get paid
