Export Mktg. PPT Slides (18!10!2020) (Dr. DHOND)

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Welcome to Management Lecture Series

On Export Marketing By Professor: Dr. Arvind Dhond

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Introduction to Export Marketing

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International Marketing
Export Marketing

Import Marketing

International Marketing
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STEPS IN EXPORT PROCEDURE
STEP 1: Enquiry
STEP 2: Proforma Invoice to the Buyer (Importer)
STEP 3: Order placement
STEP 4: Order acceptance
STEP 5: Goods readiness & documentation
STEP 6: Goods removal from works to the Port, following the Application for Removal of Exports
(ARE) procedure
STEP 7: Documents for Clearing & Forwarding (C & F) agent / Custom House Agent (CHA)
STEP 8: Customs Clearance - ‘LET EXPORT’ endorsement on the shipping bill
STEP 9: Document Forwarding
STEP 10: Bills negotiation
STEP 11: Bank to bank documents forwarding
STEP 12: Customs obligation discharge - Central Excise authorities
STEP 13: Receipt of Bank certificate - Reserve Bank 25
Export Quotation

• 3 Types of Export Quotations

• [X] Quotation = $ 5000

• INCOTERMS = International Commercial Terms


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3 Types of Export Quotations
[1] FOB Price = FREE ON BOARD

= [Cost + Profit + Local Transportation Cost + Loading/Unloading Charges] – Export Incentives

[] FOB Quotation = $ 5000

[2] CFR = COST & FREIGHT

= FOB + FREIGHT

= ([Cost + Profit + Local Transportation Cost + Loading/Unloading Charges] – Export Incentives) + FREIGHT

[] C&F Quotation = $ 7000

[3] CIF = COST, INSURANCE & FREIGHT

= C&F + Insurance

= ([Cost + Profit + Local Transportation Cost + Loading/Unloading Charges] – Export Incentives) + Insurance + FREIGHT

[] CIF Quotation = $ 8000 27


Obligations
Exporter Importer

• 1. FOB: Responsibility until cargo loaded on • 1. FOB: Pay Freight & Insurance
board the vessel at the “Port of Origin”. Premium.

• 2. CFR: Responsibility for cargo to be loaded


on board the vessel at the “Port of Origin” +
Pay the Freight Charges. • 2. CFR: Pay Insurance Premium.

• 3. CIF: Responsibility for cargo to be loaded on


board the vessel at the “Port of Origin” + Pay
the Freight Charges & Insurance Premium. • 3. CIF: Take custody of goods at the “Port
of Destination”.
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EXPORT DOCUMENTS
1. Proforma Invoice
2. Commercial Invoice
3. Bill of Lading
4. Consular Invoice
5. Certificate of Origin
6. Inspection Certification
7. Dock Receipt
8. Warehouse Receipt
9. Destination Control Statement
10. Insurance Certificate
11. Export License
12. (Export) Packing List
13. Mate’s Receipt
14. Bill of Exchange (BOE)
15. Letter of Credit (LC)
16. Black List Certificate from Shipping Line (Vessel does not call any ports of enemy country)….. 31
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Documents Against Acceptance (D/A)

An arrangement in which an exporter instructs a bank to hand over

shipping and title documents to an importer, only if the importer

accepts the accompanying bill of exchange or draft by signing it.

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“EXPORT OR PERISH” ……. Slogan by Jawaharlal Nehru in 1960’s

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Export Promotion Institutions set-up in
India

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Export Marketing

Export Marketing

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Standard Exhibition Booth Shell Scheme Exhibition
Stands

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(I) Major steps of Trade Fair Participation-
Preparation Before participation in Trade Fair
1. Collection of desired information – 2. Planning & Budgeting
a) Information about the fair – Venue, date, time, 3. Booking of the stand –
application fees, last date, insurance & security a) Shell scheme.
arrangements.
b) Individual designed stand.
4. Planning for stand design.
b) Market information – Customer requirement, stalls,
packaging, legal requirement, duties taxes, channel of 5. Developing sampling range
distance, advertising. 6. Deciding price.
7. Promotion of visitors.
c) Transport – Shipping schedules, costs, customs, 8. Arrangement for display & literature (technician)
documentation. 9. Arrangement for transport, travel & stay.
10. Staff briefing.
d) Travel – Passport, people with goods & 11. Application for visa.
representatives, Hotel etc.
12. Purchase of foreign exchange.

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(II) Major steps of Trade Fair
Participation- During the Trade Fair
1. No on the spot sale but to initiate relationship.
2. This happens by behavior at stand.
3. Behavior must be in Professional Manner.
4. Staff should be qualified & knowledgeable about the product.
5. Do not buy for products value but also buy for added values of the seller.
6. Formulas, be on time, name badge, be clear, body language.
7. Do not block clients.
8. No gossip.
9. Offer drinks, seats available.
10. Be realistic, polite.
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(III) Major Steps of Trade Fair
Participation- After the Trade fair
Follow up action:
1. To be success make follow-up, client place visiting, emails, touching
them frequently.

2. Timely giving them emails of new offers or detail about new product
launching.

3. Issue various discount coupons on festival seasons.

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International Marketing Mix
Philip Kotler – The Great Marketing Guru

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The Importer-Exporter Code (IEC) is a key business identification number which is mandatory for
Exports or Imports.

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Welcome to Management Lecture Series

On Export Marketing By Professor: Dr. Arvind Dhond

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