05 يناير
What is an Export

What is an Export

An Export is the term that refers to the process of shipping some product to another country or state to be used for trade or future sale or Exchange. This international process adds and increases the gross output of the producing company for sure. It is not a recent service this is so old economic process and happens in a large scale between countries and nations, also this process is under some restrictions in trade laws such as paying Tariffs and subsidies to the governments. And for sure the exported items or products are the best materials that the exporting country starring at manufacturing, and the fewer restrictions they have, the more exports they ship. The large countries make a huge portion of their annual revenue from Exporting to other countries. Export helps the economy grow and advance.

  • What is an exporting is Useful..

The producing companies that export their products benefit a lot from this process, as they market their products in another places and markets as well as dealing with different consumers with new interests that may match your product and make it spread even in your country. For sure spreading your product abroad or in other countries will add a touch of professionalism to your product and beautify the image of your company. And will affect your branding name so good.

What is an export

Besides, this will be a good reason to increase profit and expand your trade scale in international markets.

When you export your products abroad you can make surveys to determine which level of professionalism and quality you reach and improve your products and systematical methods in business, studying the market out there will make you know the weak points in your products and avoid them later either in the international markets or in your country and local markets.

Also the demand will increase so you can reduce the costs that are per unit if you export in foreign countries. Overall this is so useful that you can gain experience that may lead to new discoveries in your business field and insights of the competitors.

  • But! Put in Consideration …

Besides all these advantages you must keep your eyes open and know more about the challenges. Companies that are exporting products may face the problem of Extra costs, as the companies must allocate resources into studying and researching the foreign markets and see the other products quality to modify your product and meet the local demands there. Also you are exposed to a critical financial risk and you have to know that well as you know what is an export , as collecting profit is not that easy, collecting payments occurs with methods that are not guaranteed 100% such as open accounts, the matter is complex and take longer time to collect that for domestic and local customers.

Each of the exporting country and the importing one have restrictions and you will be involved with authorities, even the small trades online using the internet on some international websites such as Amazon and EBay, you will pay costs to authorities and sometimes online trades cost higher than real trades!

  • Ways of Exporting...

There is more than a way of for exporting, you can decide whether the export is directly or the export is indirectly.

What is an export

Direct export and selling... Here there is a sales representative or a distributor who stands for the company and he is located outside the home company as he went to the importing company for instance, he is promoting the product or the service. This has many advantages for sure and the company can improve the strategy of selling and the sales representative will try to persuade the customer with the exported item or service by talking about all the amazing features and the benefits of it, direct sale at all the kinds of business achieves the targets and make good profit in general.

Also the company may hand over selling process to distributers or marketing institution which is responsible for promoting the product or service.

Before thinking about distribution you have first to evaluate the distributer as per the sales force capabilities and size, making an analysis or research of their territory, what about their product mix and the facilities or equipment they provide and offer, what are the marketing policies and the amount of profit, how the promotional strategy works.

Also there is a direct selling via internet, it is obvious that E commerce affects importantly on the international trade all over the world, it make huge growth for marketing and exporting companies, it affects the economy and provide faster delivery of required information as well as cheaper costs, and instant feedback about the new launched products or services and this helps to improve the services and modify the product due to the rate that will be signed.

Indirect export and selling... It is simply selling the products through domestic intermediary in the country that we export to, and they export the products to the foreign market and customers.

Before taking the decision of exporting you have first to determine, what do you want to gain from the exporting process? And does these suits your plan and company goals? What are the demands of this process? Did you study the foreign market well before exporting your product or sales? Do you really know what is an export now? Are the expected incomes and benefits worth the costs you will pay?

You have to answer all these questions and the matter worth investigating you will enter the world of professionalism or you will lose a lot of cost without getting incomes back! And try to search the internet for the successful experiments in the field of exporting, also export the product or the service that will really matter and the foreign market really needs so you will hit the goal right and make the unique name in the international market.