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(e.g., music, videos, games, or software) that are downloaded from a website. See Chapter 12 forinformation about shipping and Chapter 13 for information about pricing, quotations, and terms.Customer ServiceLike offline exporters, online exporters must have an effective customer service program to buildand maintain a customer base. Online business poses unique challenges and opportunities forcustomer service. Customer service should be integral to website design and overall businessstrategy. Online exporters should consider providing:• A list of frequently asked questions (FAQs)• An online interface enabling customers totrack orders• Clearly posted contact information (e.g.,address, phone number, and e-mail)• Delivery of timely, quick, personalizedresponses to customer inquiriesTaxation• Customer testimonials• Contact information fields to collect foreignaddress contact information• Toll-free phone numbers that can be usedin Canada• Information presented in languages otherthan EnglishTaxation is as relevant to online merchants as to brick-and-mortar businesses. In general, for mostoverseas markets, a company must have a permanent establishment in a foreign country beforethat country can subject the company to its general tax jurisdiction. Thus, an American onlinevendor of digitally or physically delivered goods that does not haveequipment or personnel in Japan would not be subject to Japanesetaxation. However, there are important exceptions to this generalrule. On July 1, 2003, the European Union (EU) member states began Tax collection can seemtaxing sales of electronically supplied goods and services from non- daunting, but remember thatEU companies to customers located in the European Union. Non-your e-commerce provider andEU providers of electronic goods and services are now required tothe U.S. Commercial Serviceregister with a tax authority in the member state of their choosingmay know about tools andand to collect and remit value-added tax (VAT) at the VAT rate ofassistance to help streamlinethe member state in which their customer is located. Although thecollection and disbursement.EU countries have been the first to move toward a system of taxingelectronic sales according to customer location (regardless of wherethe vendor is established), other countries may soon follow suit.Therefore, if your company exports online, you must know about the tax requirements of yourtarget market. You can find more information about online taxation at 1.usa.gov/1saBEoF.Other Important Sales ConsiderationsEstablishing an international website calls for the consideration of a number of additional factors,particularly as they relate to foreign legal and regulatory requirements.PrivacyU.S. organizations that collect personally identifiable information online should display theirprivacy policies prominently and offer their data subjects (e.g., customers, employees, andChapter 11: Going Online—E-Exporting Tools for Small Businesses129