Unit TwoUnit Two

Establishing Business Establishing Business RelationsRelations

Learning Objectives

To know about major sources about a new market and a potential customer

To learn usual steps for writing a business letter on Establishing Business Relations

General ViewGeneral View

The major sources where information about The major sources where information about potential customers is available.potential customers is available.

＊ Exhibition and Trade fair ＊ Website

＊ Trade directory ＊ Banks

＊ Advertisements ＊ Market survey

＊ Chambers of Commerce ＊ Trade press

＊ Trade delegation and group

＊ Commercial Counselor’s Office

In choosing a customer or partner in foreign countries, some research is often needed to have a better knowledge about the country or region in such aspects as:

– Business policy and customs practice– Political and economic stability– Diplomatic relation with your own country– Culture and interests of potential buyers– Geographic conditions (such as ports, shipping

lines)– Natural environment (such as climate)

General ViewGeneral View

Guidelines for Writing

Usual steps for writing a business letter on Establishing Usual steps for writing a business letter on Establishing Business RelationsBusiness Relations

(1) State the source of information (how you learned of this company)

(2) Briefly introduce your own company ( the scope of your business, little advertising” on your products or service)

(3) State your purpose in writing (what kind of business you want to do with them, e.g. to purchase their products, to sell your own products, etc)

(4) Express the intention of cooperation and early reply.

Guidelines for Writing

In replying to such letters, you should:• Mention the date in which you have received the

letter. • Express thanks to your reader for the proposal.• Provide information requested.• State clearly if you accept the proposal or not.• Give a reason if you decline it, and end your letter

with a positive note for further business.

Specimen Letter-1 (Self–introduction by an Exporter) New Times Installations Ltd.

2 Binhai Road, Xiamen, Fujian, China Tel (0592) 5600213

E-mail: nti@alibaba. com

April 5, 2011

H. Woods & Co. Ltd.

Nelson House, Newell Street

Birmingham B3 3EL United Kingdom

Dear Sirs,

We have learned from our Commercial Counselor’s office in London that

you are interested in importing Chinese Cotton Piece Goods. As this item

falls within the scope of our business activities, we shall be pleased to enter

into direct business relations with you at an early date.

In order to give you a general idea of the products now available for export, we send you a copy of our latest catalogue and a pricelist. Quotations and sample books will be airmailed to you upon receipt of your specific enquiry.

We look forward to your early reply.

Yours sincerely,

Zhou Dai Chuan Zhou Dai Chuan

--2--H. Woods & Co. Ltd. April 5, 2011 Nelson House, Newell StreetBirmingham B3 3EL United Kingdom

Specimen Letters-2 (Exporter writes to Importer)Trademax Chemical Co., Ltd.

No.433, Changshou Road, Shanghai, China Zip: 200060

May 9, 2011

Aldrich Chemical Company 1001 West St. Paul Ave. Milwaukee WI 53233 USA

Dear Sirs, Your firm has been recommended to us by John Morris & Co., with whom we have done business for many years. We specialize in the exportation of Chemicals and Pharmaceuticals, which have enjoyed great popularity in

world market. We enclose a copy of our catalogue for your reference and hope that you would contact us if any item is interesting to you.

We hope you will give us an early reply.

Yours faithfully, Wang Fang

Specimen Letter- 3 (Self Introduction by Manufacturer)Make-Up Leather Industry

Main Street New Hamza Ghouse P. O. Box-2142, Sialkot-51310, Pakistan.

Tel: 92-432-541767 Fax: 92-432-5428488

E-mail: makeup@msn.com Web Site: www. Makeupleather.com

November 3, 2012

Nanjing Leather Co., Ltd.

No. 118 Jiefang Road,

Nanjing, China

Gentlemen:

We are manufacturers and exporters of all sorts of leather gloves, shooting gloves, fishing gloves and leather jackets, and riding suits. We are already exporting these articles to American, European, African, an Italian markets. We want to establish business relations with your esteemed company. Therefore, we intend to submit some samples of the above-said kinds FREEE OF COST. Please let us know what is your interest.

Yours sincerely,

Nissin Picker

Sales Manager

Specimen Letter-4 (Manufacturer Writes to Importer)Global Trading, Inc

2856 Oak Street, San Francisco CA94105, U.S.ATel: (415) 543-0021 Fax: (415) 543-0022 E-mail: alan@hotmail.com

January 29, 2013Sunlight Company25 Oxford St.London SE 6JD

Dear Sirs,We owe your name and address to Messrs. Anderson & Co., Rotterdam who informed us that you are in the market for Personal Computers.We are one of the leading computer manufacturers in our country and have handled with the products for about 10 years. We approach you today in the hope of establishing business relations with you and expect, by our joint efforts, to enlarge our business scope.

In order to acquaint you with our business lines, we enclose a copy of our illustrated catalogue covering the main item available at present. If you are interested in any of the items, please tell us by fax. We’ll give you our lowest quotations and try our best to comply with your requirement.Our customers are always satisfied with our products and the service after selling. And we believe that you will be satisfied too, after we do business together.As to our standing, we are to mention that our bankers are Citibank, N.A. They can provide you information about our business and finances.We are looking forward to your early reply.

Yours faithfully, Nancy Yang

Specimen Letter-5 （ Importer writes to Exporter）Galaxy Enterprises Australia Pty. Ltd.

West St, Hurstville, NSW 2220 Australia Tel: 61-2-9586 0658 E-mail:fengsir@163.com

16 August 2012Ganjiang Arts and Grafts Ltd.83 Ciqi Street Jingdezhen, Jiangxi, ChinaDear Sirs,

Your name and address have been given to us by the Chamber of Commerce in our City as a well-established exporter of Chinese Arts and Crafts Goods. We have been importers in this line for many years. At present, we are interested in straw and willow products, porcelain wares and various kinds of toys and gifts. We shall be glad if you will send us you catalogue and pricelist, together with samples with charges on our own.If your prices are competitive, we would expect to transact a significant volume of business.We look forward to hearing from you soon.Yours sincerely,Lee Bon

Specimen Letter-6 （ A reply to the above importerGanjiang Arts and Crafts Ltd.

83 Ciqi Street Jindezhen, Jiangxi, ChinaFax: 0796-7000000 Tel: 0796-7000008

E-mail: gac@163.com August18, 2012

Galaxy Enterprises Australia Pty. Ltd.West St, Hurstville, NSW 2220AustraliaDear Sirs,

Thank you for your letter of the 16th of this month. We shall be very glad to establish business relations with your company.In compliance with your request, we are sending you, under separate cover, our latest catalogue and price list covering our export range. We have also sent you some samples for your reference.Payment should be made by an irrevocable and confirmed letter of credit.If you find business possible, Please fax or e-mail us for offers.Yours sincerely,Zhou Dai-chuan

Further Refinement Called the “Seven Cs” , the principles for

business communication put forward by professor Emeritus Herta A. Murphy, University of Washington, and her two colleagues in University of Michigan are completeness, correctness, clarity, conciseness, concreteness, courtesy, consideration. “Seven Cs” refer to the evaluation of foreign letters in the word choice, sentence structure, content, tone, attitudes and other aspects of business letter writing. Effective application of the “Seven Cs” principles can create a miracle in business communication.

Further Refinement

The following section will help learners to see how to apply the “Seven Cs” principles to refine the writing so as to achieve the best effects.  

Further Refinement

★One of the most important functions of commercial correspondence is to create goodwill and leave a good impression on the reader, especially in establishing business relations. To achieve this, correctness of grammar, punctuation, and spelling of words are the basic elements. To guarantee the correctness, the writer should always bear in mind the frequently-used phrases and expressions.

Further Refinement The following example letters illustrate

the common mistakes that some writer may have ignored.

The original version

Dear Sirs,

We have obtained your name and address to Singapore Chamber of Commerce who have informed us that you are the largest importer of light industrial products in your country. We are a state-operated corporation trading with both the import and export of various light industrial products. It is on the basis of equality and mutual benefit what we have established good business relations with foreign businessmen all over the world. We wish to enter business relations with your corporation for the supply of light industrial products.

Please let us have all necessary information regarding your products for export.

Yours faithfully,

…

Further RefinementThe revised version Dear Sirs, We have obtained your name and address from Singapore

Chamber of Commerce who have informed us that you are the largest importer of light industrial products in your country. We are a state-operated corporation handling both the import and export of various light industrial products. It is on the basis of equality and mutual benefit that we have established good business relations with foreign businessmen all over the world. We wish to enter into business relations with your corporation for the supply of light industrial products.

Please let us have all necessary information regarding your products for export.

Yours faithfully, …

Further Refinement

★ Impressions, valuations and decisions are made within seconds, based on the sum of the little details. As a business writer, you can never be too careful in checking your writing in order to leave a good impression and win the favor of your clients.

KEY TO UNIT TWO

KEY TO UNIT TWOI. Translate the following sentences into English.

1. We owe your name and address to your Chamber of Commerce which has informed us that you are the largest importer of minerals in your country.

2. On the recommendation of Messrs Smith & Co., we have learned the name of your firm and shall be glad to enter into business relations with you.

3. Having had your name and address from the Commercial Councilor’s Office of the Swedish Embassy in Beijing, we now avail ourselves of this opportunity to write to you and see if we can enter into business relations with your company.

4. We avail ourselves of this opportunity to express our thanks to you for your close operation.

5. Enclosed pleased find a copy of our catalogue. (Please find enclose a copy of our catalogue.)

II. Correct one mistake in each of the following sentences.

Omitted.

III. Refine the following business letter to achieve better effect.　

Dear Sir,

Through the courtesy of Mr. Wang, we have obtained your address and take the pleasure of addressing this letter to you with the hope of establishing business relations with us.

We specialize in the exportation of Chinese light industrial products which have enjoyed great popularity in world markets. We enclose a copy of our catalogue for your reference and hope that you would contact us if any item is of interest to you.

Yours faithfully, …

Ⅳ.Compose an English letter according to the given details. October 25, 2008 Dear Sirs, We obtained your name and address from the Chinese Commercial

Counsellor’s Office in Moscow, and now are writing you for the establishment of business relations between us.

We hope for many years been importers of stainless steel and aluminum products. We are now interested in various kinds of metal restaurant and bar supplies and should be glad you would kindly send us a copy of your latest price list and a catalogue.

We are looking forward to receiving your early reply. Yours faithfully ， David Amelia