New role of Greece in Food & Beverage trade field confronting new labour, production and supply conditions in Europe with COVID-19 underneath. It provides large revenue and profit opportunities. MITI Switch trading, _____ is viewed as the most restrictive countertrade arrangement and is primarily used for one-time-only deals in transactions with trading partners who are not creditworthy or trustworthy. The exporter cannot avail pre-export financing when using a L/C. Navigate to Digital > Exports in the left navigation bar. PLEASE READ LAST PARAGRAPH (1) Export Selling requires the use of marketing research and identification of market potential. Countertrade is: Countertrade uses instruments such as time draft and sight draft. These skill sets are where the common ground ends though. A letter of credit does not give protection to the importer. A. The platform the agent is installed on. It does not involve the physical handling and distribution of goods. Instead, she's traditionally hired to bring together one-of-a-kind or nonrecurring deals.

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For example, a broker is contacted and advised that Company A in New York has an excess inventory of a soon-to-be-discontinued product. Some companies may employ an agent for very specific tasks such as undertaking marketing research or handling the export administration and logistics only. Draft Whereas a freight forwarder requires skills like "supply chain," "freight carriers," "freight rates," and "pod." Processed overnight international shipments for various accounts. provides a written promise of payment before releasing the merchandise. Using an agent is a relatively easy and painless way for a local company to enter the export market, as they generally have to do very little the agent does all (or at least some) of the export marketing on the firms behalf. C. A. D. Coordinated all aspects of air/ocean freight, abiding by export customs regulations and demonstrating knowledge in a team-oriented, deadline-driven environment. See Page 1. Ensured accuracy of direct mail processing and preparation operations in accordance with DHL requirements, customer requests, and established procedures. C. It reduces the administrative costs incurred by a company. On the other hand, if you're representing the buyer, you have an obligation to secure the products for the buyer at the lowest possible price. is an international financial institution that provides loans for capital programs. exporter's creditworthiness. In addition, criminal violators may be sentenced to prison time up to 20 years and administrative penalties may include the denial of export privileges. Offset You'll get a detailed solution from a subject matter expert that helps you learn core concepts. The following figure illustrates the relationship among the agent, the supplier, and the buyer.

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For example, suppose CADE International is an import/export agent headquartered in New York. Show transcribed image text Expert Answer 100% (1 rating) Answer Option 3 is correct. So the broker brings Company A and Singapore Electronics together for this one-time deal, and in return, the broker receives a commission from Company A. Offset Such agreements are aimed at stimulating trade and supporting economic growth for both countries involved. Offset Obviously, drawing a commission from both parties would create an ethical dilemma. Exports are goods and services that are produced domestically, but then sold to customers residing in other countries. D. Bank charges on letters of credit will depend on the: Facilitate training for CSR & shippers on export documentation and incoterms. Which of the following is a disadvantage of using a letter of credit (L/C)? receiving a cleared payment through bank. B. However, an agent does not take title to the goods and provides fewer services than a distributor","noIndex":0,"noFollow":0},"content":"

An agent is similar to a distributor in that he's a middleman. Specialize - choose your sector and products 4. C. A common pitfall of exporting is trying too hard to customize a product offering rather than "sticking with what you know." D. A. Maintaining a high level of exports is also very important to the economies of the U.K. and Australia. C. ", While some skills are similar in these professions, other skills aren't so similar. EMCs are export-import banks that manage foreign exchanges. _____ is an alternative means of structuring an international sale when conventional means of payment are difficult, costly, or nonexistent. In essence the export agent becomes the exporters export department. Choose 2 options. Countertrade requires employing lawyers who specialize in these unique types of contracts. Resolve customer complaints via phone, email, mail, or social media. The great promise of exporting is that: Full responsibility for financial statements and other financial reports. A trade surplus or trade deficit reflects a countrys balance of trade (which is, essentially, whether a country is a net exporter or importer, and to what extent). C. While the salary may be different for these job positions, there is one similarity and that's a few of the skills needed to perform certain duties. An export agent is a firm (or individual) that undertakes most of the exporting activities on behalf of an exporter usually for a commission. B. An import-export agent responsibility is more likely to require skills like "data entry," "export," "international shipments," and "air freight." In fact, freight forwarders are 1.1% more likely to graduate with a Master's Degree and 0.0% less likely to have a Doctoral Degree. Answer phones, giving different customers quotes on what there shipment would cost if they move with DHL. Which of the following statements is true of exporting? The names of any groups the agent belongs to. B. & 1,500 & 4,000 \\ a)They usually produce goods themselves. B. C) It operates on a contractual basis for a manufacturer by helping obtain orders for . Kim Kwon Digital Components Company assembles circuit boards by using a manually operated machine to insert electronic components. counterpurchase It provides exporters and opportunity to obtain direct revenue. D. An EMC is an intermediary that facilitates talks between two nations. A broker differs from the traditional import/export agent in that she doesn't usually represent a company. To allow U.S. companies to bypass tax laws with respect to international trading. If you represent the seller, you have an obligation to sell that company's products at the highest possible price. C. B. The inflow and outflow of goods and services from one country to the rest of the world. An example of the quality issue is illustrated by Sony televisions, which are perceived by many consumers as being of notably superior quality to other brands. Cross-selling Among the matters they negotiate include tracking of shipments, keeping delivery and pickup tracks, and shipping rates. D. Only the specified Agent Data Groups are included in the output file. The key is to develop a sound relationship with your connection and continually work toward increasing sales and improving the relationship.

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Representing clients and getting commissions

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The rate of commission when working as an agent depends on the nature and type of product, the nature of the market you're selling to, and the level of competition.

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If you bring a buyer from one country together with a seller from another country, can you earn a commission from both parties? drawee These agents must possess a variety of export documentation to facilitate domestic and international shipments of products to ensure timely delivery. C. Among the necessary skills for this job include customer service, negotiation, communication, and marketing. Which of the following statements is true of countertrade? We found that at C.H. He is president of CADE International, which provides consulting and training in international business including importing, exporting, licensing, and foreign investment. Offset View more details on import-export agent salaries across the United States. To minimize the risk of being eliminated from future transactions, remember that an agent is not someone who makes a call and brings people together just to earn a commission. C. Glencore. In an international transaction involving a bank as a third party, the exporter ships the product after: A good example of quality perception affecting imports/exports can be drawn from the wine industry. bill of lading A letter of credit does not give protection to the exporter. draft These skills include "customer service," "third-party logistics," and "as400. Service reservations and answer questions pertaining to air cost, documentation, flight policies and procedures. They should provide shipment status notification to answer inquiries from exporters and consignees. _____ is the direct exchange of goods and/or services between two parties without a cash transaction and is the simplest arrangement. the export firm) and the firms products. C. The IPv4 or IPv6 address of the agent. A ____ is the instrument normally used in international commerce to effect payment. For the most part, brokers work for sellers, although some brokers do represent buyers. letter of credit To remove antitrust disincentives to export activities. A key feature of the traditional export agent is that they never really take ownership of the goods, which always remain under the control of the exporter. Exporting leads to diseconomies of scope. Buyback, In the modern era, the concept of countertrade arose as a way for the _____ to purchase imports. Switch trading, A(n) _____ occurs when a firm builds a plant in a country and agrees to take a certain percentage of the plant's output as partial payment for the contract. Or you may work as an import agent based in the country where the product will be sold, in which case you represent the buyers. \text { Selling and administrative expenses } & 45,000 & 45,000 \\ Securing financing is rarely a problem for exporters. B. d) They are responsible for storage and transportation of a product they sell. A. Place new order for internet service (sales). According to resumes from both import-export agents and transportation brokers, some of the skills necessary to complete the responsibilities of each role are similar. Most firms are familiar with the foreign market opportunities and therefore do not need to utilize proactive approaches. Steps to getting started as an export-import agent 1. A. Description : Used to specify a mapping from host names or IP addresses to peer services, as a comma-separated list of <host_or_ip>=<user_assigned_name> pairs. 2003-2023 Chegg Inc. All rights reserved. \hline \text { Sales } & \$ 205,000 & \$ 205,000 \\ C. The exporter normally pays the agent for the expenses they have incurred marketing the firms products and handling the export administration, and will generally earn a commission on any sales generated. Governments decrease excessive import activity by imposing tariffs and quotas on imports. D. bill of lading To keep advancing your career, the additional CFI resources below will be useful: A free, comprehensive best practices guide to advance your financial modeling skills, Financial Modeling & Valuation Analyst (FMVA), Commercial Banking & Credit Analyst (CBCA), Capital Markets & Securities Analyst (CMSA), Certified Business Intelligence & Data Analyst (BIDA), Financial Planning & Wealth Management (FPWM). Which of the following is a major advantage of using a letter of credit? B. draft, _____ can be used when a government restricts the convertibility of its currency to preserve its foreign exchange reserves so they can be used to service international debt commitments and purchase crucial imports. C. They rarely offer warehousing facilities. Exporting unsealed management packs Setting a windows computer into maintenance mode Retrieve the maintenance mode history for a windows computer Enable the proxy for all SCOM agents Retrieve all SCOM agents that are grayed out or unavailable Retrieve all the SCOM alerts within the last day (highest priority first) D. D. _____ is an alternative means of structuring an international sale when conventional means of payment are difficult, costly, or nonexistent. gives a bank guarantee to an exporter. Counterpurchase If you bring a buyer from one country together with a seller from another country, can you earn a commission from both parties? against commercial risks and political risks faced by exporters. A. C. to Lockheeds suit? On average, the import-export agent annual salary is $47,326 per year, which translates to $22.75 an hour. Export selling does not modify the product pricing or promotional material to mee. Does Alcoa have to indemnify Glencore for costs related So the broker brings Company A and Singapore Electronics together for this one-time deal, and in return, the broker receives a commission from Company A.

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Looking at the benefits and challenges of being an agent

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Some of the benefits of the agent option are the reduced start-up costs and the limited working capital you need.