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Export definition : by rtlx web





Article Author Biography
Export definition : by
Article Posted: 11/01/2012
Article Views: 34
Articles Written: 27
Word Count: 294
Article Votes: 0
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Export definition :


 
Business
Materials available in a country sold to other countries which are in need of the material and by which earning foreign money to the respective country is called Export. In otherwords, an export is any good or commodity for use in trade transported from one country to another country in a legitimate way, for sale or exchange is called export. Any exporter can decide to export directly or indirectly to a foreign country. Sales representatives, distributors, or retailers who are located outside the exporter's native country involved in selling goods means direct exports,by which goods and services that are sold to an independent party outside the exporters country. Selling goods to an independent domestic mediator in their own home county and they export the goods to buyers in the foreign market is indirect export. To make decision for export, the exporter has to consider certain factors, such as what will be the profit by exporting and the aim of the company, what will be the demands of the buyer and its resources such as production capacity,the strength of the management and monetary capacity etc., These are the basic factors which decide one to make export.

IMPORTANT RULES FOR SETTING UP OF AN EXPORT BUSINESS: 1. Selecting a most suitable type of business organisation viz, Proprietorship,Partnership, others etc. 2. Open a current account with a bank and Register with the Regional Licensing Authority to get IE Code No. and other Export Promotion Councils, ECGC, Sales Tax Authorities, Excise Authorities etc., 3. Export business correspondence. 4. Forwarding export samples and exhibits. 5. Negotiating with Prospective Buyers and entering into Export Contracts directly, or if necessary, appoint overseas agents. 6. Understanding new Export Policy and Procedures. 7. Obtaining Credit limit for the Buyer/Buyers's country from E.C.G.C.

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