incremental business? ibc 101: international …...2014/06/26 · 6/26/2014 6 ibc 101 export...
TRANSCRIPT
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IBC 101
IBC 101: International
Essentials
IBC 101
Why Export?Incremental Business?Out to Conquer the World?Corporate Goals?Vision?__________________________________________
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IBC 101
Customer ReviewWho & where are your current customers?What channels are they in?How large or small are they?
Mass Merchants,Department Stores or Independent Specialty?
Take care of what you’ve got!__________________________________________
IBC 101
Customer ReviewPrepare and Prioritize:
Descending country list withDescending account list
__________________________________________
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IBC 101
Product ReviewWhat do you have to sell?Why would it sell (or not) in a foreign market?What needs to be modified?
Product?Color, design, features, etc.Material Compliance (plastics, silicone, electrical)
Packaging?Language, metrics, etc.
Instructions?Warranty?
__________________________________________IBC 101
Product ReviewPrepare and Prioritize:
Descending Product list (by sales or units)
__________________________________________
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IBC 101
How to go to MarketChannels:
RetailerDistributorExport Management Company (EMC)
Supply Chain:Ex US Warehouse FOB Foreign Factory PortBranch Office – WarehouseAll of the above
__________________________________________
IBC 101
PricingStart with DomesticModify as appropriate for international
Review International Pricing Strategies Presentation__________________________________________
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IBC 101
Develop Pricing Grid
Variables:Local Market PricingCountry CompetitivenessRetailer or Distributor ModelOrder SizeShipping PointCredit TermsMulti-National Issues (Walmart)
__________________________________________
Pricing
IBC 101
Payment Terms& Conditions
Cash in AdvanceNet 30/60/90/…Letters of Credit
Credit Checks__________________________________________
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IBC 101
Export MechanicsINCO Terms – updated in 2010
International rules accepted by governments, legal authorities and practitioners worldwide for the interpretation of the most commonly used international trading terms.
Reduce or remove uncertainties arising from differing interpretations of such terms in different countries.
www.iccwbo.org/incoterms__________________________________________
IBC 101
Export Mechanics
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IBC 101
Export MechanicsFreight Forwarder
Arrange international shipmentsPrepare and process documentation
Commercial InvoiceShipper’s Export DeclarationAutomated Export SystemBill of Lading
__________________________________________
IBC 101
Export MechanicsInternational Quotations
Quotation FormProforma Invoice
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IBC 101
Export MechanicsProduct Returns / Warranty
% allowance% discountSettle when requiredLocal Service Center
__________________________________________
IBC 101
CompanyInfrastructure
Senior Management (Corporate “buy-in”)Category ManagementInternational Sales Team / RepsOrder DepartmentCredit DepartmentExport LogisticsWarehousing & Distribution__________________________________________
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IBC 101
Sales ChannelsSales Representatives
Exclusive? What is the territory?What are the terms?
% commission, samples, expensesDistributors
Exclusive? What is the territory?What are the terms?
% markup, samples, expensesDirect to Retail
What service is needed? Merchandising?
Who provides? Who pays?__________________________________________
IBC 101
Budget:Unique Export CostsProduct:
Patent & Trade MarksProduct Testing & ComplianceCertifications (CE Mark, etc.)Packaging – Market Specific_________________________________
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IBC 101
Sales:TravelTrade ShowsTrade MissionsCollateral Material
_________________________________
Budget:Unique Export Costs
IBC 101
Market SelectionIHA Membership Export Survey
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IBC 101
Market SelectionFor whom are your products best suited?What are your best opportunities?Where should you focus?
Pick three marketsDon’t try to tackle the globe…
What are your budgets?What are your travel plans?
How often can you return to the market?__________________________________________
IBC 101
Market Selection
TARGET MARKET=Market SizexMarket AttractivenessxSuitability of Products to Market__________________________________
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IBC 101
Market SelectionMARKET Product / Category 1 Product / Category 2
U.K.
Pan Europe
Japan Immediate Markets
Mexico
Australia
Brazil
CIS (former Sovietstates)
South Korea Mid‐Term Markets
ASEAN (SE Asia)
Argentina
GCC (Middle East)
C. America Longer Term Markets
S. Africa
China
India
Example Only – Adapt chart to your specific products & situation
IBC 101
Business PlanWhat are your objectives…
…for each market?
How will you enter the market?Trade MissionsTrade Shows – Prepare Lead SheetIHA Retailer ReportsDistributor Search
__________________________________________
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IBC 101
Pavilions & Trade Missions
Pavilion & Retail TourChina – Sept 18 - 20
Trade MissionSouth Africa – Sept 28 - Oct 3
Trade MissionUnited Kingdom – Nov 9 - 14
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IBC 101
Trade Shows
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IBC 101
Distributor SearchIBC – NetworkingTrade MissionsTrade ShowsRetailer recommendationUS Department of Commerce
Gold Key Programwww.export.gov/salesandmarketing
______________________________________
IBC 101
Business PlanWhat budget is available?
Trade Missions / Trade ShowsWhich?
TravelHow often?
In-house supportOrder entry, customer service, etc.
In-country supportMerchandising, marketing, etc.
Samples / Collateral Material__________________________________________
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IBC 101
Export ComplianceProduct Compliance
Materials UsedPlasticsSiliconeElectrical
PackagingLanguageMetricsImport Labels
IBC 101
Export ComplianceShipping Compliance
Dangerous GoodsAerosolsPressurized productsAlcoholChemicals – cleaning solventsGlues
Effects on Packaging & Labeling
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IBC 101
Export ComplianceCustomer Compliance
Lists to Check – Denied, Debarred, etc…www.bis.doc.gov/complianceandenforcementliststocheck.htm
IBC 101
Customer Compliance:
Restricted Country ListRestrictions vary from country to countrywww.bis.doc.gov/exportlicensingqanda.htm
Some restricted destinations are embargoed countries:
Cuba, Iran, North Korea, Sudan, Syria__________________________________________
Export Compliance
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IBC 101
Questions?
IBC 101