Resources

When traveling to a foreign country, you may be required to obtain a business visa or travel visa. Visa requirements vary depending on the purpose of your trip, such as tourism, business, or employment, and the country you will be visiting.

Work permit requirements also vary by country and trip purpose. It is often the responsibility of the employer, not the employee, to apply for a work permit. Permits are usually issued for a specific worker and a specific job.

One risk of foreign trade is the uncertainty of future exchange rates. The value of the currencies can change quickly, sometimes between the time a deal is concluded and when payment is received. If an exporter is not properly protected and knowledgeable, a devaluation or depreciation of one of the currencies could cause the exporter to lose money.

Exporters who choose to trade in foreign currencies can minimize foreign exchange exposure by using risk management techniques, such as spot exchange rates, forward hedges, options, etc.

When exports market their products overseas, the products they want to export need to meet foreign product standards. Standards provide consistency for characteristics, guidelines, and specifications for products, services, and processes. The use of standards helps to make the industry more efficient and effective, and helps to break down barriers to international trade.

International standards organizations, such as the International Organization for Standardization (ISO), the International Electrotechnical Commission (IEC), and the International Telecommunication Union (ITU) are examples of standards development bodies that develop guidelines and specifications for products, services, and processes.

A trade barrier is a government-imposed restriction on the international exchange of goods or services. Barriers to trade are often called “protection” because their stated purpose is to shield or advance particular industries or segments of an economy.

When a country feels another country is “dumping” products into their market unfairly, it can impost import duties/tariffs to offset the discount and protect its domestic suppliers.

Categories of trade barriers:

• Import policies
• Government procurement policies
• Export subsidies
• Lack of intellectual property protection
• Services barriers
• Investment barriers
• Government-tolerated anti-competitive conduct of state-owned or private firms
• Trade restrictions affecting electronic commerce

The Seven ‘Ps’ of International Marketing:

• Product: the packaging design, branding, trademarks, warranties, guarantees, and life cycles of a product or service
• Price: setting profitable and justifiable prices
• Place: the physical distribution of goods
• Promotion: personal selling, advertising, and sales promotion
• Portability: how easily a product or service travels
• Politics: regulations, logistics, or local practices that may impact or prevent sales in a foreign market
• People: the amount of disposable income and interest in your product or service

When traveling for business overseas, there are visa and health requirements to consider, national holidays to avoid, trade events to schedule, and troubled areas to avoid. When planning a business trip abroad, the best place to start is with the local embassy or consulate of your destination country. Officials that work in embassies and consulates can provide you with essential requirements for entry and information regarding the local economy, holidays, and more.

Documentation requirements:

• Passport Basics
• Visa

Health issues:

• Insurance
• Vaccinations and Illnesses
• Medications