global marketing online test 1 dr foxx

Xenophobia

"The Trojan Horse Effect" there's a rising chorus of cultures that wants access to the globe's goods and services while shunning the marketeers who accompany them. Most of this stems from the fact that marketeers also bring along ideas and lifestyles that, in the target market's view, may "contaminate" local values. When marketeers set up representative offices or settle in to oversee joint ventures, the possibilities of cultural crossover grow exponentially.

value added taxes

(VAT) revenue programs impose a tax on the value added at each stage of a product's journey from raw material to finished product, through each distribution channel, to the ultimate consumer.

how government trade barriers (formal restrictions)

- Import tariffs are the means by which a government, in the form of a customs office, controls the in-flow of foreign goods across its borders. It's a form of taxation and a source of revenue for the state - inspections are done by slowing down the import process, governments protect their home producers without actually having a formal trade restriction -import licensing is the product must be formally licensed by the importer's government and a fee paid by the importer -distribution is every aspect of the network that exists between the original seller and the end-user -environmental controls are Restrictions on packaging (amount, size, recyclability), product content labeling (chemical proportions), and pollution controls can be placed on foreign exporters before licensing will be granted technology transfers- A target company can insist that any joint venture, product importation or manufacture under license with a foreign marketeer must ultimately involve a transfer of technology (physical, process design, managerial, or otherwise). It's a way to "catch up" with competitors without expensive research or investment. custom delays - once a product is licensed it can be held at customs without a stated cause for extended periods local partnerships - not unusual for a government to require the use of a local partner to represent your product or to "invest" in your business local content requirements- include the construction or purchase of manufacturing plants overseas, you'll find that most governments require that you use some local companies as parts suppliers contract language- Contracts with foreign firms are typically binding in the dialect of the locality in which the contract will be executed.

What products are affected by standards and testing?

-Children's products (toys, cribs, car seats, etc.) -Consumer electronics (computers, radios, etc.) -Electrical equipment (light fixtures, power tools, etc.) -Food and beverages (canned foods, preserved foods, soft drinks, alcoholic beverages) -Household appliances (clothes washers, dryers, ovens, refrigerators, etc.) -Kitchenware (anything that comes in contact with food in the home) -Medical devices (catheters, surgical sutures, respirators, syringes, pacemakers, etc.) -Motor Vehicles (automobiles, trucks, motorcycles, ATVs, power boats, airplanes) -Pharmaceuticals (aspirin, statins, prescription drugs)

Types of Entities

-Individuals -Businesses -Research institutes -Non-profit organizations and associations -Foreign government agencies

Reasons Entities are Denied

-The entity has violated certain laws of the country of export. -The entity is believed to be involved in money laundering. -The entity is believed to be involved in the illicit drug trade. -The entity is believed to be involved in the production of weapons of mass destruction. -The entity is believed to be involved in acts of civil unrest, war, or genocide. -The entity is believed to be involved in acts of terrorism. -The entity is known to be a conduit for re-export or diversion to any of the above.

When is marking not required?

1. Articles that are incapable of being marked. 2. Articles than cannot be marked without injury to the article itself. 3. Crude substances.

customs classification

1. The dutiable status of the goods 2. Whether the imported goods are subject to restrictions or prohibitions 3. To aid in compiling statistical information about imports.

reasons to export

1. increase sales 2. increase market share 3. increase profits 4. economies of scale 5. use excess production capacity 6. market diversification 7. new ides 8. develop global and domestic competition 9. develop domestic resilience

reasons to import

1. source specialized products 2. source specialized raw material 3. expand your product line 4. go direct to the source of supplier 5. lower costs 6. special supplier connections 7. greater control of source of supplies 8. offshore contract manufacturing (for costs) 9. offshore contract manufacturing (for specialized labor or materials) 10. take advantage of foreign government subsidies 11. special supplier financing 12. start your own business

Customs Brokers and Freight Forwarders

A customs broker is an individual (or business) that is licensed by the customs authority of a country to assist importers and exporters in meeting government requirements governing imports and exports. A freight forwarder is an individual or company that helps organize shipments of goods from their source to the final point of distribution

market's quality requirements

A given product may have a number of different markets based upon the "quality" of what is being offered. Also, each of these markets has its own minimum standards of acceptability and maximum price, no matter what the quality.

uncertainty-avoidance

A national culture attribute that describes the extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them.

Introduction to Product Standards

All countries develop, maintain, and enforce standards for products that are domestically produced and consumed, as well as for imported products manufactured in other countries. Product and service standards are established for purposes of: Consumer safety Product durability Product quality Interoperability of components Conformity to accepted international standards

Due Diligence

As an exporter it is your responsibility to check potential sales against your country's denied persons list(s). If your buyer appears in any way to match such an entity it is best to exercise caution.

seasonality of merchandise

As importer you must get your merchandise to market at the appropriate time.

why go global?

Besides the increased ease in communication, the home and regional markets of multinational corporations are becoming ever more crowded. Fearing stagnation, these corporations look abroad for growth and opportunity. And as other companies do the same, the competition has forced even the most risk-adverse multinational corporation to seek alternate methods of growth. Relying solely on a domestic market can be a recipe for death for even mid-sized firms, let along larger companies.

competition profiles

Businesses that understand (and even respect) their competition, however, are much more likely to find a way to compete and win in the marketplace.

Product Composition

Certain products have special marking and labeling requirements related to product composition. This is particularly the case with such products as: 1. Articles of clothing 2. Packaged food 3. Alcoholic beverages

Country of origin marking

Country of origin marking is designed to inform the ultimate purchaser of the country in which the article was made

where is your market?

Define the geographic location of your market. This can mean a neighborhood, a city, a metropolitan area, a state, a region, or an entire country. A clear definition of your market area will keep your marketing efforts focused.

Taxes and Fees

Document Fees—Fees payable for the processing of import documentation. Harbor Maintenance Fees—Fees payable for the maintenance of ports of import. Inspection Fees—Fees payable for customs or other regulatory authority inspection(s) of an imported shipment. Merchandise Processing Fees—Fees payable for the physical processing of an imported shipment. VAT (Value-Added Tax)—A consumption tax paid on the value of each added stage from production to the point of sale in the supply chain.

Dual-use Products and Technology

Dual-use products are products (and technology) that can be used in both civilian as well as military applications. -Global positioning satellites and technology -Nuclear technology -Chemical and biological tools and technology -Night vision products and technology -Encryption software and technology -Thermal imaging technology -Some models of drones -Certain types of ball bearings -Certain lasers and sensors

complications

Each assumption is tied to a complication: -Right to Export (need for a general export license) -Business Registration (business formation) -Registration as an Exporter -Export Licenses (need for a product-specific export license) -Inspections -Payment Issues -Foreign Exchange Issues -Special Provisions

Effective marketing

Effective marketing is a detailed scheme of how a company will designate, access, sell to, and service a specific consumer group. When done properly, it will create the environment for transacting business in a way that is mutually "gainful" for both sides.

duties and fees

Export duties and taxes are payable when products or commodities leave the customs territory of a country

forms of duties and taxes

Export duties and taxes can take several forms: 1. An ad valorem tax (a percentage of the value of the shipment). 2. A specific tax (a fixed amount per unit of commodity or product exported). 3. A specific and ad valorem tax (A fixed amount per unit and a percentage of the value of the shipment). All types of export taxes have the effect of reducing the volume of exports and are therefore a form of export restriction.

tips for global marketers

First, decide why you need to market abroad. ■ Once you've decided why you want to market internationally, determine where you want to market and look at the possibilities in a specific area for your product. ■ Identify the potential demand for your products. Remember that some products will be unsuitable because of differences in culture, lifestyle, or preferences. ■ Identify the nature of the local competition. Strong local competitors can kill a product's chances of ever gaining a foothold. ■ Determine the logistical roadblocks to getting products into consumers' hands. ■ Develop an organized strategy, beginning with thorough research, using both secondary and primary sources. Making it up as you go along in an international marketing campaign can spell disaster. ■ When introducing a product, do a thorough country-by-country testing before a full launch. This can identify potential problems concerning language and packaging and provide information on potential market sizes and responses. It will allow you to tinker with details to get the main launch correct.

Found versus Created Markets

Found markets - So-called market-driven businesses regularly find markets—by taking the commercial pulse of the general public to determine what's desired and then striving to produce the requisite goods or services. In this case, consumer demand determines what products will be supplied. This can be best exemplified by the practicality of personal computer products. Created markets - products are developed first and then attempts are made to convince the public that it needs them. The new product, at least initially, may appear to have no practical value. Such a product-driven company (like deodorant manufacturers in the 1950s and 1960s) creates an artificial demand through advertising in the hope of supplying the new long-term "need." By equating cleanliness with lack of body odor in numerous ad campaigns, marketeers caused millions of people worldwide to believe in the need for deodorants.

Family

If your product smacks of cultural influence (videos, books, clothing), be prepared for some social backlash usually delivered under the banner of protecting the family such as patriarchal societies, matriarchal societies, extended family, family-owned businesses, family values

Customs Duties

Import duties are levied: 1. To contribute to the general revenue that pays for government operations and programs 2. To support the physical and administrative infrastructure of the customs authority 3. As a punitive measure against specific countries 4. To influence the volume of imports of certain products, and 5. To protect less efficient domestic producers of competing products The customs authorities of most countries charge duties in three ways: Ad valorem duty (a percentage of the valuation of the imported shipment Specific duty (a set amount per piece, weight, or volume imported Compound duty a combination of an ad valorem and a specific rate of duty

trading blocs: The Invisible Handcuff

In the last few decades, nations have bound themselves together in non-military regional alliances that are designed (at least ostensibly) to promote trade. However, those that join such trading blocs have recognized the interdependence of trade among their immediate neighbors and use the blocs to prevent outside marketeers from having regional free-flow. eex. APEC (Asia-Pacific Economic Cooperation) ASEAN (Association of Southeast Asian Nations)

sources for international commercial research

Indirect sources allow the researcher to determine which direct sources will be of the greatest benefit. Indirect sources: governments, trade organizations, local partners and agents, consultants, contractors, databases and the internet, media Direct sources: diplomatic, indigenous staff

Elements of Domestic Marketing

Many companies are quite content to operate on a very local scale. Their active marketing may not extend beyond a radius of a few miles. Other companies may expand their horizons to a few cities, a province, or even their entire country. market assessment - opportunities are initially assessed market orientation - a company must set its basic objectives by deciding which products to bring to market at what price and which customers to pursue strategy development - Segmentation is the targeting of specific groups with specific products, Penetration is the part of planning that deals with a company's ability to get access to consumers, Positioning is the way customers perceive a company's product in relation to that of its competition implementation - the tactics of packaging, pricing, promotion, sales, advertising, and distribution must all be activated control - continuous control of product quality, modification, distribution, and image strategy analysis - feedback in the form of customer satisfaction, profit tallying, brand recognition, and market share statistics pour into a company's data collection apparatus and Preplanned strategies must be "tweaked" or totally revised, and tactics continually evaluated

Certification and Marks of Conformity

Many countries require that certain categories of products adhere to certification procedures, including product testing and sampling. Upon certification, products may require marks or labels, including "marks of conformity." Marks of conformity indicate that the product has met certification requirements and may be sold freely within a country or trade area.

export assistance

Many exporters rely upon the services of a customs broker or freight forwarder for assistance.

Climate

Marketeers often follow these same geographic patterns as they attempt to have a nation adopt their products. Finding a locale that can afford a product is just as important as finding a group that has a use for it.

Religion

Marketeers should be careful not to let their own religious beliefs overly influence their actions or marketing decisions. This is true even when working within the same general religious idiom as the targeted local market. Catholics in Colombo are far more devout than the average Catholic in Boston, and Jakarta's Islam is far more secular than that of Kabul. Religion is a very personal and emotionally laden thought process; treat it with trepidation.

Education

Marketeers should recognize that beyond these clear-cut examples, nations of all stripes have educational disparities. It may be the result of unequal opportunity, interest, or outcome, but the effect on marketing will be the same: not everyone will be able to fully utilize or understand your product, at least initially

Marketing verses sales

Marketing describes the whole commercial process that creates (through promotion) the interest that the potential customer demonstrates prior to a sale. The role of Sales is to capitalize on that interest to the point where there's a successful exchange. Once a sale is complete, a company must provide follow-up service in an effort to maintain satisfaction and promote future sales.

time: polychronic versus monochronic

Monochronic workplaces encourage the completion of one task at a time, whereas those in a polychronic workplace usually work on multiple tasks or projects at a time

Marking - false impression

Most countries have a policy of "informed compliance" which places the burden upon the importer, or its representative, to name the correct country of origin based upon established rules. Importers who consistently abuse the system may face significant penalties.

Introduction to Denied Persons Lists

Most countries restrict or prohibit the export of all or certain types of products to individuals and entities that pose a risk to the country's national security or foreign policy interests. Lists of these individuals and entities are variously called denied persons lists, denied parties lists, and denied entities lists

Voluntary vs legal standards

Product standards can be either voluntary, or a formal legal requirement for domestic sale

Role of the Marketing Plan

Product, price, promotion, distribution, and postal service must all be thoroughly designed during the market planning process and controlled in compliance with that plan after its implementation. The marketing plan is simply an action "budget" and, like its financial counterpart, is subject to change during the course of the company's lifespan.

Cultural Adaptation

Professional marketeers must continually remind themselves of the first rule of cultural tolerance: understanding isn't agreement. checklist ex: 1.Do I find other cultures interesting?2.Do I believe all societies have positive and negative aspects? 3.Do I believe all nations have the potential for economic success?

contact potential buyers and customers

Seek out likely customers, develop good rapport, and ask them: 1. Is there anything that you need that you are having difficulty getting? 2. Of resellers: What are your customers asking for? 3. What is selling well? 4. What is hard or difficult to find?

collecting information

Statistical: refer to the data that researchers obtain from any of the indirect sources delineated above. These can be of a demographic, climatic, economic, political, and geographic nature Qualitative: is derived from surveys and interviews conducted directly in the targeted market. Some of this information may be acquired from the actual consumer base or from the diplomatic and indigenous staff mentioned above Observational: information can be acquired randomly or according to a set plan. The latter method is the most advisable, but the marketeer/researcher should be prepared to take notes on the marketplace wherever and whenever valuable information presents

harmonized commodity des

The HS is an international nomenclature for the classification of products that allows participating countries to classify traded goods on a common basis for customs and other purposes. At the international level, the HS for classifying goods is a six-digit code system

international website marketing

The Internet is the first medium to truly deliver an almost instant global audience for marketers. There are over 1.5 billion Internet users today, with the largest portion (a third) being in Asia. only about three in 10 of the households on-line has actually purchased goods or services online.

sovereignty, prestige, and security

The ability to maintain, protect, and restrict entry across (or exit from) national borders isn't merely symbolic; it's a legal requirement of a nation's sovereignty. Marketeers must respect each government's individual responsibility to its people, both from a legalistic (their country, their rules) and a commercial angle (their demand, my supply).

communicating with consumers

The percentage of the US gross domestic product coming from international trade has ballooned from 5 percent to 20 percent in the last 25 years. Global advertising spending is slated to top US$475 billion in 2009. In the United States alone, the number of companies seeking market research information on a global basis has skyrocketed. Such research is one of the first steps in taking up the international marketing challenge.

masculinity versus femininity

Theory of the relationship between gender and work roles. In masculine cultures, sex roles are sharply differentiated and traditional "masculine values" such as achievement and the effective exercise of power determine cultural ideals; in feminine cultures, sex roles are less sharply distinguished, and little differentiation is made between men and women in the same job.

basic export protocol

Those who seek to export non-regulated goods may simply arrange for shipment and present basic export documentation to the export authority. like BOL

History

Understanding that history will enable a marketeer to approach the culture in a more subtle manner, and it will certainly cause an adjustment of schedule. On the other end of the spectrum, a culture that has been marked by independence for some time will have few fears of foreign operations and may find the subtle approach far too lackluster and slow.

assumptions

We can assume that: 1. A general export license is not required. (See Right to Export.) 2. The goods traded are unregulated and do not require a product-specific export license. (See Export Licenses.) 3. The buyer is familiar with the goods traded and has no reason to believe that the goods shipped will be anything other than the goods ordered. (See Inspections.) 4. The payment terms are payment in advance, by cash, check, wire-transfer, credit card, or open account. (See Payment Issues.) 5. The country of export does not have excessive foreign exchange regulations. (See Foreign Exchange Issues.) 6. There are no unusual security issues. (See Special Provisions.)

who is your market?

What type of individual or business constitutes the natural target audience for the product you are importing or exporting? Is the consumer of a particular age, social, or economic group?

Language

While English has become a default language for doing global business, it's just that—something used in the absence of a better tool. Wise marketeers learned early on in their careers that speaking the local language, to some degree, gave them a marked advantage over less polyglot competitors and provided genuine insight into their target market. Gestures, carriage, proximity of speakers, eye contact, and smiling all play key roles in a culture's use of language. and translators

market volatility

Your job is to know as much about your market as possible. Be in tune with its variations: know when, how and why it changes.

Harmonized Tariff Schedule of Country X

a country-specific listing of goods based upon the Harmonized System, but that also contains duty rates for that country. the Harmonized Tariff Schedule of the United States (HTSUS) lists six-digit codes for more than 5,300 different articles, but also includes a two-digit code for duty rates and another two-digit code for statistical purposes.

Adherence to Standards

broadly related to health, safety, and the environment. like CE Mark, CCC Mark

Tarriff Barriers to Trade

created by establishing a high rate of import duty for either specified products and/or products from specific countries. High duty rates act as a disincentive to import those products or products from those countries.

Power distance

describes how individuals within a society view power and, consequently, their role in decision making. In cultures with a low power-distance profile, individual employees will seek a role in decision-making and question decisions and orders in which they had no input. By contrast, high power-distance societies are such that employees seek no decision-making role.

overseas risk management

domestication- the government may insist that as much as 51 percent of the company be put under the control of the new associate or that the associate at least be given veto power over company decisions taxation-allows the government to receive a portion of a foreign company's operation directly, without the sham of a proxy expropriation- During periods of extreme political stress or due to inordinate levels of greed, governments will take over a foreign company outright sponsored competition- puts a favored local company or person under a government aegis. These "competitors" are given substantial financial and distribution aid in the hope that they'll unseat the foreign firm that first brought the product to market bribery-Government officials seeking bribes from foreign firms risk management- the best possible preventative is engendering and maintaining good "relations" with the pertinent government officials. Marketeers should realize that realpolitik can become machtpolitik very quickly

home government intervention (formal restrictions)

embargo national security issues- Some goods are considered too strategic militarily and economically to be freely marketed to other nations, regardless of the profit potential. export tarrifs- Governments tax exports primarily as a source of revenue and use the process as a means of promoting or punishing particular industries export licensing -often used as a means of denying a rival economy access to both raw and finished products without instituting a full embargo anti-rerouting measures- When embargoes and quotas are in place, exporters often try to reroute their products through less controversial areas and have the "country of origin" changed in the paperwork. Getting caught practicing this tactic can get an exporter in serious trouble with his home government. job protection sentiments- Governments will often clamp down on their exporters when they detect that the products being exported will result in job losses for the domestic market

National standards organizations

entities engaged in developing, issuing, coordinating, interpreting, and/or maintaining standards for industries, products, systems, and services

export duties and regional trade agreement

export taxes distort trade, many regional trade agreements have prohibited them. Export taxes are mainly used by developing and least-developed countries (LDCs).

Marketing Functions

five classic functions and a forgotten one: 1. contact - the seeking out of prospective consumers 2. merchandising - goods and services must either be developed from scratch or customized 3. pricing - the determining factor when a purchase is made 4. promotion - four types of promotion used to support marketing efforts: paid advertising, personal selling (one-to-one), public relations (press releases, articles), and supplemental efforts (coupons, sweepstakes). 5. distribution - the process of putting the consumer and the product (whether goods or services) together. Forgotten one: 1. human resources - internal marketing that occurs at every company when they attract, hire, train and retain employees is directly reflected in the ability to market externally to the public.

Defining research objectives

gathering information, a precise statement of the research's purpose The first is the research question that asks what information will be specifically required for the research. The second component is the research proposition, in which the marketeer anticipates possible answers to the research questions posed. The third component that must be put in place to formulate an objective is a determination of the research limits.

Decision-making for Entering Int'l Markets

help in the making of initial decisions about entering the international marketplace. It can be used for import/export companies, service businesses, manufacturers, and those considering joint-ventures with foreign partners. ex. 1.Have I researched the target market for potential competitors? 2.Has the target market exhibited interest in my product? 3.Has the potential size of the target market been quantified? 4.Will the foreign government permit import of my product?

host government trade barriers CONTINUED

import quota- is a non-tariff barrier imposed by a government to restrict the quantity of imports it will take from certain national markets or exporters. anti-dumping laws- were instituted to prevent foreigners from selling products at extremely low prices into a market to drive out competition

Non-Tariff Barriers to Trade

include an extremely broad range of import restrictions that almost all countries establish to circumvent the effects of international pressure to lower import duty rates. include onerous import licensing requirements, prohibitions, government-imposed market requirements, product inspections, quotas, embargoes, foreign exchange restrictions, sanitary and phytosanitary measures, technical barriers, and import deposits.

Individualism versus Collectivism

individualism- workers will question the new method and probably not sign on until they figure out how it will directly impact them as individuals collectivism- The mindset is that everyone else is going along so it is important for me to conform.

battling misconceptions

international marketers must still do battle with ignorance and cultural superstitions that sometimes defy logic, generic and name brand medicines... they all have the same ingredients but people prefer name brand

The Hierarchy of Effects

product awareness - The potential consumer must be made aware of the existence of a product. This can be accomplished through promotion, advertising, active research, or the much ballyhooed "word of mouth." product affinity - Marketeers must take great pains to ensure that a product and the company create a favorable impression on the consumer. Being useful isn't enough; being useful and attractive is product preference - A marketeer must make the consumer prefer one product over another once the affinity effect has been achieved. It might be price, it might be quality, it might be service, or it might just be the color of the package product confidence - Obtaining and retaining the consumer's confidence in your product not only precedes a successful transaction but also lays the groundwork for establishing the brand identity. product purchase - If you don't make the purchase process easy, prepare for a return to "square one" and an uphill battle.

informal restrictions

public relations- poorly translated brand names to the lack of locally hired management personnel, bad public relations (and even worse, press relations) can sidetrack the best of products nationalistic- Competitors, host government officials, and political activists are not beyond raising the cry that your marketing efforts are "bad for the nation," that they threaten its continued survival or strength religious- Because religion carries such an emotional impact ethnic- Belief that your product is ethnically dangerous or inferior can stymie your marketing efforts whether the accusations are true or not Societal- Some societies have a structure that simply will not accept certain products—at least right away. It may be a matter of taste (light beer in Germany) or social restriction ("adult" movies in Iran Scientific- Product lines that are radically innovative may have a difficult time overcoming the skepticism of the target market. Medicines, therapies Ethical- "End Apartheid" and "Remember Tiananmen Square" were both used as rallying cries to affect the marketing and profit generation of many products from South Africa and China Environmental- Water pollution, endangered species, and alleged man-made global warming are very emotional concerns of very vocal groups Educational-Massive sections of the globe are still illiterate and many more are innumerate. It's not unusual for a controlling government to wish the situation to remain in stasis.

Elements of Export Marketing

regulation - All nations regulate their imports. And even when demand is high in the target country, government regulation can prevent your exports from reaching the customer. In some cases, restrictions have been put in place to protect product quality and the safety of the population. licensing - the actual licensing of your company for exporting distribution - most difficult parts of exporting is the development of distribution channels. If you turn your product over to local distributors, you'll have to relinquish a degree of control over merchandising and quality assurance. If you maintain your own distributorship, it can be a very expensive learning process to adapt to the practices of a foreign land so many companies will either make frequent trips to the target country to do quality checks or open a representative office for that purpose. financing - The buyer is reluctant to pay in advance because the seller holds the product on distant shores, and the seller is loathe to extend credit and ship to a stranger. Until a firm relationship between importer and exporter is developed, most will use letters of credit (L/C) and correspondent banks as neutral intermediaries in the credit process. exchange risk - there will be a "lag time" between when a trade is contracted and when the money arrives. During that period, the value of the transaction currency can change. As the summer and fall of 1997 clearly showed, currencies can quickly devalue, particularly so in the emerging markets. Both importer and exporter take a degree of exchange risk, so each tries to ensure use of a payment method that benefits their position. Exporters like to be paid in the hardest currency available, while importers like to pay with weaker currencies legal status - all of the economic unions, tariff treaties, and trading blocs

Local Customs

successful marketing people saw the close connection between custom and customers: The way to turn people into customers is to make your product part of their customary actions. Sometimes whole industries are created around a custom (Halloween costumes) and at other times, customs are created around a product (Valentine's Day cards).

Assessment

the importer files an import declaration that includes documentation to support its determination of classification and valuation, the establishment of a duty rate, and a calculation of total duties owed. The customs authority reviews the documentation and either agrees with the importer, or orders a review and/or inspection of the shipment.

designing your research process

the marketeer/researcher will need to determine the what, where, when, and how necessary for completion. Devising a blueprint for conducting research will enable the marketeer to attain the original goal and avoid the myriad diversions that will present themselves during information gathering what, where, when, how

Valuation

the process by which an imported shipment is valued or appraised by a country's customs authority for the purpose of assessing duties and taxes - transaction value -Packing costs -Sales commission incurred by the buyer -The value of any assists*

The Role of Marketing in Business

the targeting, acquisition, and retention of customers over a period dictated by the life cycle of the product (goods or services) under consideration. In many ways this is a simple statement, but one that belies extensive research and complex analysis. Marketing is the initial movement of ideas that results in a saleable product.

Marketing Potential

the ultimate size and profitability of a market—can vary greatly and will be affected by factors both within and without of the control of the marketeer

Levels of Export Denial

three categories: denied entity lists: individuals and entities for which a country has placed an outright prohibition on receiving any export shipment. Any dealings with entities on such a list are entirely prohibited. restricted entity lists: individuals and entities for which a country has placed specific restrictions. These parties are considered to pose a greater risk of diversion to weapons of mass destruction programs, terrorism, or other activities contrary to the national security or foreign policy interests of the country of export. Generally, an exporter that wishes to sell to entities on such a list must obtain a specific export license. unverified lists: Entities on unverified lists are those whose bona fides have not been verified by the relevant agency of the country of export. Such entities are ineligible to receive export shipments without an export license exemption.

emerging markets

usually pyramid in structure, with a massive base of very poor people at the bottom (likely not a market) and a very narrow small point of the very rich (a likely market). What the increasing wealth of nations has led to, however, is improved potential to tap the huge middle ground as a market for consumer products.

the WTO and international intervention

world trade organization set up as an oversight body to rule on international trade disputes. Countries and companies accused of unfair trading practices can be brought before the court for trial and potential punishment (usually fines).

building an international website

■ TARGET MARKET: The first decision to be made is to consider which countries you want to target as potential markets. ■ LANGUAGE: Do you need to translate your website? Although 80 percent of the content on the Internet is in English, most people will access the Internet in their own language. Serious marketers will allow users to access material in their native language. ■ KEEP IT SIMPLE: If you decide to use English only, make sure you use a simplified international style of English. Avoid jargon and local idioms that will confuse other English speakers who may not speak your "dialect" of English. ■ CLEAN UP THE SITE: Make sure there are no images that might be considered offensive in another culture. ■ TECHNOLOGICALLY FRIENDLY: Don't load the site up with large graphics and photo files. It will take most users too long to load them, unless they have top-of-the-line equipment. Offer a "text-only" version. ■ LOGISTICS: Even before you have your website up and working, you must consider how to handle the logistics of payment, delivery and after-sales service. ■ PROMOTION: It is essential to actively promote your website abroad through such techniques as print advertising, trade shows and Internet advertising.