Part Two: International Trade Practice By Liu Chengsheng

Establish the Business Relation 建立业务关系 Quotation 报价核算 Bargain 还价核算 Counter Offer 还 盘 Final Agreement 成交核算 Sign A Contract 签订合同 L/C Inspection 审核信用证 L/C Amendment 修改信用证 Chartering 托运订舱 Customs Clearance 报 关 Insurance/Shipment 投保装船 Disputes Dealing 业务善后 Documents/Payment 交单结汇 Inter’ Trade Affairs 进出口贸易 Whole Procedures 完整流程 完整流程 Offer 发 盘

Chapter X Procedures of International Trade Affairs I.Business Relation VII. Customs Clearance II.Quotation VIII. Inspection III.Offer IX. Insurance IV.S/C X. Shipment V.L/C XI. Payment VI.Chartering XII. Trade Disputes

I. Business Relation Market research Creditworthiness investigation Advertising Setting up business relation

I. Business Relation (1) The contents of market research:  Whether the product is marketable in target market  What about the competitors there in the same industrial line  The economic, financial, and political stability of the importing country  Market price and price trend

I. Business Relation (2) The contents of market research:  The local laws and regulations governing foreign trade  Customs tariffs  Port facilities  Commercial practices

I. Business Relation (3) The sources of info’ in investigation  Libraries  Government  Trade, Professional, and Business Associations  Private Business Firms  Professional Credit Info’ Service  University Research Organizations  Foundations  Consulates abroad  Banks  Advertising Media

I. Business Relation (4) Forms of Advertising Media  Newspaper  Magazines  Radio and Television  Internet  Outdoor Advertising

II. Quotation Calculation of the cost, expenses, and expected profit List of Estimate It’ll be published in advertising media or transmitted by mail, telephone, fax or

III. Offer (Bid) Types of offer  Offer with Engagement (Firm offer)  Offer without Engagement Offer v.s Bid  Offer both by a seller or buyer  Bid only by buyer

III. Offer (Bid) (1) The contents of firm offer  Sufficiently Definite descriptions of “book” or “supply”  Expiry The features of firm offer  Complete (including main trading terms)  Clear (the terms to be described without ambiguity  Final (the terms to be offered without reservation

III. Offer (Bid) (2) Counter-offer (Also called as Bargain)  Amendments  Additions  Restrictions  Any other revisions

III. Offer (Bid) (3) Acceptance  Made by the offeree  Accepted completely  Made within the expiry  Transmitted properly

IV. Sales Contract/Confirmation Time of signing S/C Important terms of a S/C Forms of a S/C Major contents of a S/C

V. L/C To urge the importer to open a L/C To inspect the L/C To amend the L/C To confirm the amended L/C To wait for the settlement of payment

VI. Chartering Purchasing goods in domestic market Package of goods Transport of goods to port of shipment Getting the goods ready for shipment Booking shipping space Shipping Bill of lading