Your SlideShare is downloading. ×
0
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Class 2-slides.ppt
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Class 2-slides.ppt

561

Published on

Published in: Education, Business, Technology
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
561
On Slideshare
0
From Embeds
0
Number of Embeds
4
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Global Business ManagementClass Two
  • 2. Free Export Counseling Services• U.S. Export Assistance Center• Small Business Administration • State Trade Office (CITDs in California)• Service Corps Of Retired Executives (SCORE)• Small Business Development Center • Womens Business Centers• Veterans Business Outreach Centers• Procurement & Technical Assistance Centers 
  • 3. Export Readiness Indicators• Received unsolicited inquiries from foreign firms • Domestic sales of product doing reasonably well • Relatively strong share of the domestic market • Product price‐competitive in the domestic market • Product compares favorably with domestic competitors in features and benefits
  • 4. Export Readiness Assessment• Assesses corporate export readiness• Assesses product/service export readiness• Tool to identify export weaknesses• Tool for business counselors and trade specialists to better address client’s immediate export needs
  • 5. Top Conditions for Going Global• Management Commitment• In‐depth experience with product/service • Adequate cash flow• Capacity and capability to produce/deliver products/services internationally
  • 6. Export Business Plan• Company• Target Market• Product• Pricing• Market Entry• SWOT• Action Plan
  • 7. Mission Statement Elements• Vision ‐ big picture idea of what you want to achieve• Mission ‐ general statement of how you will achieve your vision• Core Values ‐ how you will behave during the process
  • 8. Operational Efficiency• NIST MEP Network (Training and Certification)– Manufacturing Skills– Management and Team Skills– Continuous Improvement Skills– Computer SkillsExamples: Project Management Professional, Six Sigma, Lean Manufacturing, ISO Certification and AS9100C Review
  • 9. Export Tax Credit Programs• Federal IC‐DISC• Federal R&D• State R&D
  • 10. Standards Organizations & Resources• ISO ‐ International Organization for Standardization• IEC ‐ International Electrotechnical Commission• SAE International (Engineering Society)• ANSI Online ‐ American National Standards Institute• ANSI Online Electronic Standards Store (ESS)• NSSN ‐ A National Resource for Global Standards• ASTM International ‐ American Society for Testing and Materials
  • 11. Example: Environmental Regs• Restriction of Hazardous Substances Directive (RoHS)• EU RoHS and China RoHS• Waste Electronic and Electrical Equipment (WEEE) Directive• Ozone Depleting Chemicals (ODC) excise tax• Lacey Act• Ewaste trade and shipment (Basel Convention)• Californias Green Chemistry Initiative and E‐Waste
  • 12. Example: Eco‐Labels & Standards• ENERGY STAR®• IEE 1680 "EPEAT®"• ECMA‐370 (IT Eco Declaration)• BlueAngel• TCO
  • 13. Product Marks• Restriction of Hazardous Substances Directive (RoHS)• EU RoHS and China RoHS• Underwriters Laboratories: UL Mark • Canadian Standards Association (CSA) International• China Compulsory Certification: CCC Mark• Mexico: Normas Oficiales Mexicanas: NOM Mark • European Union: CE Mark 
  • 14. International Pricing• Cost‐plus method vs. Marginal‐cost method• Additional export expenses:– Packaging– Foreign market research– Advertising/marketing– Translation– Consulting/legal fees– Foreign distributor product information and training– After‐sales service costs
  • 15. Direct vs. Indirect Exporting
  • 16. Trade Intermediary Job Functions• Market research/planning/promotion• Find customers abroad• Respond to inquires (trade leads)• Issue price quotes (with your incoterm)• Present purchase orders • Handle export paperwork/documentation• Arrange financing and shipping
  • 17. Trade Intermediary Concerns• Exclusivity and  territory• Non‐circumvention• Price• Marketing• Customer support and product liability• Duration of agreement • Contractual enforcement
  • 18. Cultural Constructs & Protocol• Social etiquette (conversation, dress, negotiating, entertaining)• High vs. low context• Monochronic vs. polychronic• Cultural dimensions (power distance, individualism, uncertainty avoidance, masculinity, time orientation)
  • 19. EPG Model• Ethnocentric (Home Country Oriented)• Polycentric (Host Country Oriented)• Geocentric (Global Oriented)The Tortuous Evolution of Multinational Enterprises by Howard V. Perlmutter, 1969
  • 20. Example of a Cultural ComparisonCultural Dimensions(Constructs)US ChinaPower Distance (PDI) 40 80Individualism (IDV) 91 20Masculinity (MAS) 62 66Uncertainty Avoidance (UAI) 46 30Long Term Orientation (LTO) 26 87Indulgence versus Restraint (IVR) 68 24
  • 21. Target Market Identification• Product / Service Demand• No Significant Barriers to Entry• No or Little Domestic Competition• Strong U.S. Market Share • High Receptivity• Comfort Market• Infrastructure Available to Finance and Deliver Goods• Market Research
  • 22. Review Market Research (Trade Data) to Select Best Export Markets• Volume• Growth (five year trend)• Market Assessment Checklist
  • 23. Economic IntegrationFree Trade AgreementA treaty between two or more countries that permits commerce in goods/service to be conducted across their borders without the imposing of tariffs. NAFTA is an example of a free trade agreement.Take Note to Bilateral vs. Multilateral AgreementsFree Trade AreaCustoms UnionCommon MarketEconomic UnionPolitical UnionEliminate TariffsCommon External TariffsFree Movement of Production FactorsCommon CurrencyCommon Gov’t.
  • 24. U.S. Regional Trade AgreementsAustralia; Bahrain;  Canada; Chile; Colombia; Costa Rica; Dominican Republic; El Salvador; Guatemala; Honduras; Israel; Jordan; S. Korea; Mexico; Morocco; Nicaragua; Oman; Panama; Peru; and Singapore.
  • 25. The Matcha Green Tea FlavorKit‐Kat is popular in  Japan.The Matcha Green Tea FlavorKit‐Kat is popular in  Japan.Market Considerations• Language• Religion• Tastes • Business Practices• Income Levels(inelastic v. elastic goods)• Product Standards• Physical Environments• Legal Requirements
  • 26. These small square water‐melon fit better in compact refrigerators. These small square water‐melon fit better in compact refrigerators. Localization and Product Adaptation• Product • Promotional Materials • Packaging Example: 1‐800 Toll Free Numbers do not work outside the U.S.
  • 27. Market Factors & Potential Risk• Geographic• Economic• Political• Legal• Technologic • Social/Cultural• Demographic
  • 28. Types of Intellectual Property• Patents• Trademarks• Copyrights• Trade Secrets
  • 29. IP Treaties and Resources• Paris Convention, Berne Convention, and Madrid Protocol• World Intellectual Property Organization (WIPO) www.WIPO.int• U.S. Patent and Trademark Office (PTO) www.USPTO.gov• Stop Fakes Initiative www.StopFakes.gov• US CBP Intellectual Property Rights Search (IPRS) http://iprs.cbp.gov
  • 30. Contractual Agreements• Appointment of contractor (distributor)• Scope of work• Obligation of company (supplier)—warranties, acceptance of goods• Compensation—finance terms (sales quotas)• Confidentiality and conflict of interest• Force majeure (acts of God)• Dispute resolution/arbitration • Sign and date (both parties—distributor and supplier)
  • 31. U.S. Export Controls• Export Administration Regulations (EAR), Bureau of Industry & Security, U.S. Dept. of Commerce– Dual Use (The Wassenaar Arrangement)– ECCNs listed in the CCL (EAR99=NLR)– Deemed Exports (tech release)– Anti‐boycott• International Traffic in Arms Regulations (ITAR), Directorate of Defense Trade Controls, U.S. Dept. of State– Country Embargos– United States Munitions List (USML)• Office of Foreign Asset Controls, U.S. Dept. of Treasury– Sanctions• Foreign Corrupt Practices Act, U.S. Dept. of Justice
  • 32. Export Control Lists to CheckConsolidated Screening List now available at HTTP://EXPORT.GOV/ECR/EG_MAIN_023148.ASP• Denied Persons List (BIS)• Entity List (BIS)• Unverified List (BIS)• Commerce Control List (CCL)• United States Munitions List (USML) (ITAR)• Specially Designated Nationals List (OFAC)• Debarred List (ITAR)

×