1. Unit 3 Quotation, offers and Counter Offers

2. Quotation includes 15 points:
Seller’s and buyer’s names and address
Buyer’s reference number and date of inquiry
Listing of requested products and brief description
Price of each item
Appropriate gross and net shipping weight
Appropriate total cubic volume and dimensions packed for export
Trade discount

3. Delivery point
Terms of sale
Terms of payment
Insurance and shipping costs
Validity period for quotation
Total charges to be paid by customer
Estimated shipping date
Currency of sale

4. 1．Offer
An offer is a promise made by the seller to supply goods on the terms stated. Offers can be divided into two types: firm offer and non-firm offer.
A firm offer is the irrevocable offer with engagement while a non-firm offer is the revocable offer without engagement.
2．Counter Offer
In the course of international business negotiation, after receiving the offer made by the seller, if the buyer may not agree with the price, or packing, or shipment, or other important trade terms stated in the original offer and then put forward the counter-proposal on those trade terms unacceptable. And several counter-offers form the bargaining of the business just like the process of negotiating.

5. Offer v. & n. 报盘
offer somebody something at a price 以……价格向某人报盘
offer somebody firm 给某人报实盘
make somebody a firm offer for something at a price 向……报实盘
a firm offer实盘 a non-firm offer 虚盘

6. to accept an offer接受报盘 to confirm an offer确认报盘
to decline an offer拒绝报盘 to entertain an offer考虑接受报盘
to extend an offer延长报盘 to withdraw an offer撤销报盘
to cancel an offer取消报盘 to renew an offer恢复报盘
a combined offer搭配报盘

7. How to Make an Offer?
 An expression of thanks for the inquiry.
 An offer should include the major terms of the transaction: name of the goods, quality, quantity, specifications, details of prices, discounts, terms of payments, packing and date of delivery.
 Talk about the market and supply situation to induce an order. Introduce other products to increase the chance of business.
 End your letter by expecting the order. Do not make you letter too long.

8. How to Make a Counter Offer?
 Thanks for the original offer.
 The reasons for inability to accept the offer: point out the declining market; talk about offers from other suppliers.
 The counter-proposal.
 Expectation of acceptance .

9. How to Reply a Counter Offer?
 A reply to a counter offer, whether favorable or unfavorable, should be punctual, courteous and considerate.
 The reasons for inability to accept the counter offer in an unfavorable reply: talk about the cost of materials, the rising market, and the orders from other sources to show your price is reasonable.
 Your proposal: make a price concession on conditions.
 Expectation of acceptance.

10. Text A : A firm offer Dear Sirs,
This is to confirm your fax of 23 May, asking us to make you firm offers for rice and soybeans C&F Singapore.
We phoned you this morning offering you 300 metric tons of polished rice at US$300 per metric ton, C&F Singapore, for shipment during July/August. This offer is firm, subject to the receipt of your reply before 15 June.

11. Please note that we have quoted our most favorable price and are unable to entertain any counter offer.
As you know, of late, it has been a heavy demand for these commodities and this has resulted in increased prices. You may, however, take advantage of the strengthening market if you send an immediate reply.
Best regards,

12. Comments Identify the reference and the products
Give details of the offer, with the time limit on the firm price
Reject any counter offer in advance
Encourage the customer to make a quick decision

13. Text B: Persuading a buyer to accept an offer
Dear Sirs,
We refer to our quotation of 2 June and our mail offer of 12 June regarding the supply of polished rice.
We are prepared to keep our offer open until the end of this month.

14. As this product is in great demand and the supply limited, we would recommend that you accept this offer ASAP.
Best regards,

15. comments Identify the reference Give the customer the deadline
Encourage the customer to act immediately

16. Text C: making a counter offer
Dear Sirs,
We are in receipt of your letter of June 12 offering us 300 metric tons of polished rice at US$ 300 per metric ton on the usual terms.
We regret to inform you that our buyers find your price much too high. We are informed that some lots of American Origin have been sold here at a level about 20% lower than yours.

17. We do not deny that the quality of Australian rice is slightly better but the difference in price should, in no case, be as large as 10%. To facilitate the transaction, we counter offer as follows, subject to your reply being received by us before July 10.
300 metric tons of polished rice, at US$280 per metric ton CIF Singapore, other terms as per your letter of June 12.

18. As the market price is falling, we recommend your immediate acceptance.
Best regards,

19. comments Identify the reference and state the details of the offer
State the objection to the offer and the reason for it
Sate the counter offer
Urge the seller to accept the counter offer

20. Declining a counter offer
Dear Sirs,
Thank you for your letter dated June 24. We very much regret that we are unable to entertain your counter offer of US$ 280 per metric ton of polished rice, CIF Singapore.
We must point out that your bid is out of line with the current market price. Other companies in your region are buying freely at out quoted price.

21. For your information, the market is firm and tending upward
For your information, the market is firm and tending upward. There is very little likelihood of any significant change in the foreseeable future.
In view of the above, we suggest that it is in your interest to accept our price of US$300 per metric ton without delay.
Best regards,

22. Comments: Identify the reference and reply to the counter offer
Give the reasons for refusing the counter offer
Add relevant reasons for holding to the original offer
Urge the prospective buyer to accept the offer

23. Text D: Send a Pro Forma (PI) invoice
Dear Sirs,
As requested, we are sending you herewith our PI Col in quadruplicate.
The above-mentioned invoice, however, does not imply unreserved acceptance of your order as both prices and quantities must be further confirmed by us.

24. As soon as you have obtained the necessary import license, please let us know by fax so that we may confirm our offer. In the meantime, if there is any change in price or delivery, we shall contact you.
We look forward to receiving further news from you.
Best regards,

25. PROFORMA INVOICE AURAX LIMITED
GuangZhou Office Address:3rd B,WuYanQiao Industrial, NO.388 FangXing Road,LiWan Division,GuangZhou,GuangDong China(PAYEE)
GuangZhou Office Tel: (020) ; Fax: (020) ;
IMPORTER:
DATE: 02/14/ 2011
PAULINA PAREDES
PAYMENT TERMS:30% T/T Deposit,70% before delivery
INTERANDINA DE COMERCIO LTDA
LATEST TIME OF DELIVERY: 30th MAY 2011
CERRO COLORADO 5030 OFICINA 601
PORT OF LOADING:
LAS CONDES SANTIAGO CHILE
PORT OF DISCHARGE:

26. Text E: Make a concession on price
Dear Sirs,
Thank you for your letter of May 30. We are disappointed to hear that our price for tin foiled plates is too high for you to work on. You mentioned that Japanese goods are being offered at a price approximately 10% lower than that quoted by us.

27. We accept what you say, but we are of the opinion that the quality of the other makes does not measure up to that of our products.
Although we are keen to do business with you, we regret that we cannot accept your counter offer or even meet you half way.

28. The best we can do is to reduce our previous quotation by 2%
The best we can do is to reduce our previous quotation by 2%. We trust that this will meet with your approval.
We look forward to hearing from you soon.
Best regards,

29. Words and phrases commonly use
Go up
Raise
Rise
Climb
increase

30. Jump
Surge
Soar

31. Go down
Fall
Drop
Decline
Reduce
Reduction
Decrease

32. Plummet
Plunge
Collapse

33. Peak
Reach a peak
Hit a low
Bottom out
Fluctuate

34. Remain stable
Remain unchanged
Stay the same

35. Slightly slight
Moderately moderate
Significantly significant
Sharply sharp
Dramatically dramatic

36. 实用短语和句子
1．We have managed to maintain the present price（维持现有价格水平）despite the increased cost of raw materials（原材料）.
2．Though prices have gone up（上涨）steadily since last year we have managed to keep our quotation down.
3．There is no room to make any further reduction in prices（做进一步降价）.

37. 4．Your bid is out of line with the current market price（与现行市场价格不一致）.
5．We’ve already cut down our price to cost level（将价格降到成本费的水平）.
6．We are now making you an offer subject to our final confirmation（以我方最后确认为准）.
7．We are now making you the following offer without engagement（无约束力）.

38. 8．Our price is very reasonable
8．Our price is very reasonable. It’s impossible for us to reduce the price（降价）.
9．We shall be pleased if（如果能……我们将不胜感激）you could send us a sample.
10．The offer is subject to change without notice（本报盘以随时更改而毋需另作通知为条件）.

39. Useful expressions Reading Writing skills

40. 1)Write an for a Shoes chain-stores retailer in UK, enclosed a quotation of new collection styles, giving favorable comments on the goods offered and persuade this retailer to place order ASAP.

41. 2）The following is a fax you just received
2）The following is a fax you just received. Please read it and then draft a fax in reply:
Dear Sirs,
We have noted your fax of October 10 regarding the captioned goods and regret that our offer has not been accepted.

42. We have to point out that your counter-offer is obviously on the low side. The price we offered is entirely in line with the market level and has been accepted by many other customers.
However, we now agree in your interest to renew our offer till the end of this month and recommend that you fax us your confirmation without delay.
Yours faithfully,

44. Draw humorous irreverent stand out magician
Mingle vanish turn up wrist royalty spice up authentic accurate pickpocket caricature pull in
Microwave ovens static slip