basic-guide-to-exporting_Latest_eg_main_086196

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Table of ContentsChapter 1: IntroductionThe World Is Open for Your Business.......... 1Success Story: DeFeet International..................................8Chapter 2Developing an Export Strategy............... 11Sample Outline of an Export Plan................................... 22Sample Elements of an Export Plan............................... 23Success Story: Urban Planet Mobile............................... 28Chapter 3Developing a Marketing Plan................. 31Success Story: Zeigler Brothers........................................ 42Chapter 4Export Advice........................................ 45Success Story: Advanced Superabrasives..................... 56Chapter 5Methods and Channels........................... 59Choosing a Foreign Representative or Distributor.... 70Success Story: Infinity Air................................................... 72Chapter 6Finding Qualified Buyers........................ 75Who Is the “Ideal” International Buyer?......................... 83Chapter 7Tech Licensing and Joint Ventures........... 85Success Story: Spancrete Machinery Corporation..... 88Chapter 8Preparing Your Product for Export.......... 91Success Story: Avazzia........................................................ 96Chapter 9Exporting Services................................. 99Success Story: Home Instead Senior Care..................104Chapter 10International Legal Considerations........107Intellectual Property.........................................................116Chapter 11Going Online: E-Exporting Tools forSmall Businesses..................................121Success Story: NuStep......................................................132Chapter 12Shipping Your Product..........................135Success Story: Bassetts Ice Cream Company.............144Chapter 13Pricing, Quotations, and Terms..............147Success Story: Alignment Simple Solutions..............154Chapter 14Methods of Payment.............................157Success Story: Giant Loop...............................................166Chapter 15Financing Export Transactions...............169Success Story: Patton Electronics Company..............180Chapter 16Business Travel Abroad..........................183Business Culture Tips........................................................187Success Story: Lightning Eliminators...........................190Chapter 17Selling Overseas and After-Sales Service...193Chapter 18Rules of Origin for FTAs.........................201Example Rules of Origin...................................................207Success Story: Jet Incorporated.....................................214Chapter 19Conclusion...........................................217AppendicesA: Glossary of Terms..............................218B: Definitions of Abbreviations..............224C: Free Trade Agreements Chart.............225D: Forms...............................................226Index...................................................244About the U.S. Commercial Service........249U.S. Commercial Service • A Basic Guide to Exportingv
Chapter 1: IntroductionThe World Is Openfor Your BusinessIn this chapter . . .• Selling globally is easier than ever.• More help than ever is available.• Your assumptions may not be accurate.• Transform your business—and yourself.The World Is Open for Business—Your BusinessToday, it’s easier than ever for a company like yours, regardless of size, to sell goods and servicesacross the globe. Small and medium-sized companies in the United States are exporting morethan ever before. In 2013, more than 300,000 small and medium-sized U.S. companies exported toat least one international market—nearly 28 percent more than in 2005, the year in which the10th Edition of this book was first published. In 2013, the value of goods and services exports wasan impressive $2.28 trillion, nearly a 25 percent increase since 2010. And 2014 topped theprevious year, with exports valued at $2.34 trillion.Additional Reasons to Explore or Expand ExportingGlobal trade in goods and services is likely to grow in the future.The new World Trade Agreement on trade facilitation that wasintroduced at the end of 2013 and renegotiated in 2014 willreportedly add $1 trillion to the global gross domestic product (GDP)once it is fully implemented. This agreement compels the WorldTrade Organization (WTO) members to improve customs proceduresand cut regulatory red tape, speeding the flow of goods and servicesacross borders and reducing the costs involved. The U.S. governmentwill create a “single window” system that has some of the samebenefits and efficiencies as the WTO effort.U.S. Total Annual Exports(USD Trillions, 2010–14)Year Value Increase (%)2009 1.5702010 1.831 16.622011 2.103 14.862012 2.216 5.372013 2.280 2.892014 2.345 2.85Source: U.S. Census Bureau.When this edition of A Basic Guide to Exporting went to press, the United States was in anadvanced stage of negotiating trade agreements with the European Union and countries inAsia, including the large market of Japan. Together, these markets represent 50 percent of totalU.S. Commercial Service • A Basic Guide to Exporting1
Page 1 and 2: A BASIC GUIDE TOEXPORTINGThe Offici
Page 3: export.gov/basicguideLibrary of Con
Page 8: global GDP and 30 percent of global
Page 11: A GEE might consist, for example, o
Page 14 and 15: Success StoryPedaling Through Trial
Page 16 and 17: Chapter 2Developing anExport Strate
Page 18 and 19: specified in the EAR under a specif
Page 20 and 21: All U.S. businesses have many ways
Page 23 and 24: Answer these 11 questions:1. Which
Page 25 and 26: Product or Service• What need doe
Page 27 and 28: Sample Outline of anExport PlanTabl
Page 29 and 30: 5. Current Trends and Practices•
Page 31 and 32: 16. My Product’s Harmonized Code
Page 33: Success StoryDownloading NewInterna
Page 36 and 37: This last advantage is especially i
Page 38 and 39: Gathering and evaluating secondary
Page 40 and 41: Drawing ConclusionsAfter analyzing
Page 42 and 43: United Nations Statistical Yearbook
Page 44 and 45: Private-Sector Product and Industry
Page 46 and 47: Success StoryHelping Feed the World
Page 48 and 49: Chapter 4Export AdviceIn this chapt
Page 50 and 51: Some of the more important services
Page 52 and 53: the important difference that the b
Page 54 and 55: at no cost to the small business ex
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A commercial bank can perform many
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location and construction of manufa
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To prevent reverse engineering in C
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We are agnostic on the question of
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Distribution ConsiderationsHere are
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Often, the first company does not p
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your ability to terminate agreement
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Once your company has prequalified
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Choosing a ForeignRepresentative or
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Success StoryDon’t Wait—Innovat
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Chapter 6Finding QualifiedBuyersIn
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companies are available from many p
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Trade Fair Certification Program (e
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Millennium Development CorporationT
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Who Is the “Ideal”International
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Scores of new franchising concepts
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Success StoryCast a Wide Net to Cat
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Chapter 8Preparing YourProduct for
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You can also contact the Office of
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training seminars, or DVDs. Zeigler
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The ChallengeSmith first looked tow
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encompasses services in transportat
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give U.S. companies a competitive e
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Success StoryRecruiting New Franchi
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Chapter 10International LegalConsid
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For more information from the U.S.
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When goods enter a bonded warehouse
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under the UCC. Older works may also
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Trade names are also protected on a
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knowledge, in turn, promotes furthe
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prevent him or her from obtaining a
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Business-to-Consumer E-Commerce Wor
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Because such a website is often sta
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An online exporter may choose to pu
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important to identify and incorpora
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other business contacts) options re
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Success StoryGrowing Strong withInt
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Chapter 12Shipping YourProductIn th
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One popular method of shipment is t
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Certificate of ConformityRequired b
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The cost of the shipment, delivery
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To learn more about comprehensive r
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China but needed to do a lot of hom
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price is too high, the product or s
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CompetitionIn the domestic market,
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Commonly Used TermsIt is important
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Success StoryAligning Innovationwit
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Chapter 14Methods ofPaymentIn this
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Letters of Credit and Documentary C
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You must provide documentation show
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associated with open-account trade
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payment. This is because the export
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ut they were willing to make the sm
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• The need for preshipment financ
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Thus it is in your best interest to
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to support ongoing export sales or
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To be eligible, a business must hav
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Medium Enterprise Department and OP
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Success StoryManufacturingInternati
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Chapter 16Business TravelAbroadIn t
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Planning an ItineraryTravel agents
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Business Culture TipsAlways answer
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Gift giving is an important part of
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particularly intense issue. So the
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Here are a few suggestions.• Expe
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Building a Working RelationshipOnce
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negotiations and agreements with it
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Chapter 18Rules of Originfor FTAsIn
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5. Determine if the foreign content
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The original ROOs are listed in an
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Example Rules of OriginCombining Mu
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Israel, Jordan, Morocco, Bahrain, a
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The importer may ask the exporter w
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Generic CertificatesIf a good does
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Architectural Association of Kenya
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Appendix A: Glossary of TermsAdvanc
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Export-Import Bank of the United St
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Market SurveyReport that provides a
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Appendix B: Definitions of Abbrevia
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Appendix D: FormsHere, you will fin
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228U.S. Commercial Service • A Ba
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Tech International1000 J Street, N.
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COMMERCIAL INVOICESELLER: INVOICE N
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Copyright © 1998 UNZ & CO.SHIPPER/
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DEPARTMENT OF HOMELAND SECURITYU.S.
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PACKING LIST© Copyright 2001 Unz &
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1a. U.S. PRINCIPAL PARTY IN INTERES
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U.S. $13220of this FIRST of Exchang
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IndexAA2ASee account-to-account (A2
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Global Entrepreneurship Ecosystem (
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Swinko, RonSee Jet IncorporatedSzuc
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International OfficesAfghanistanKab
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