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How to start an export-import business

How to start an export-import business

If you ask me how to start an Import-Export business, your company must have the ability, resources and management to deliver a marketable product or service on a global scale at a competitive price. The trick is to determine whether it is true of your enterprise — and if it isn’t, make it happen.  My Enterprise is too small to be successful in importing and exporting. To triumph in international markets, you don’t have to be a market leader. Check the following as a starting point:

  1. Expectations – Do you have clear and achievable import- export aims? · a realistic idea of what importing and exporting involves and the timelines for results? · a receptivity to new ways of doing business? · an understanding of what is needed to succeed in the global market.
  2. Human resources essentials- Do you have the capacity to handle the extra demand associated with your business? · a senior management team committed to importing and exporting? ·  adept ways of responding efficiently to customer inquiries? · personnel with culturally-sensitive marketing skills? · ways of dealing with language and cultural barriers?
  3. Financial and legal resources – Can you obtain or procure enough capital or lines of credit to produce the desired product or service for new orders?  · locate people to advise you on the legal and tax implications of importing and exporting? · deal effectively with different monetary systems and ensure protection of your intellectual property?
  4. The aggressive willingness to compete /Competitiveness – Do you have a product or service that is potentially competitive in the market and trend? · resources to conduct market research on the exportability of your product or service? · proven market-entry methods?
How to start an export-import business

Evaluating Export Potential:

Can your products or services find a worthy market outside India? When you analyze the export potential of your products/goods or services, you may want to account for the following considerations:
 
Customer profiles · Who uses your product or service? · Is your product / service in broad, general use or restricted to a particular group?·
Product modifications – Are modifications required to make your product appeal to foreign and exotic clients and customers? · What is the shelf life of your products· Can packaging be easily modified to cater to the demands of foreign customers ?
Transportation – How easily can you transport your product? Would transportation costs make competitive pricing a problem by any means?  How efficiently does target market process incoming shipments? 
Local representation – Do you require a marketing executive/salesperson or any other local representation? Is your products require professional assembly or any other technical sophistication or enhancement? · Is after-sales service needed for the product? If so, is it available locally or do you have to provide it?
Exporting services – If you’re exporting services, what is so unique or special about them and what makes them stand apart? · Are your services considered to be top-notch and world-class? · How would you like to plan to deliver your services: in person, or with a local partner or by electronic means such as the Internet?
Capacity –  Will you be able to serve both your existing domestic customers and new foreign clients?· If your domestic demand shoots up, will you still be able to look after your export customers and vice versa?

Preparation of an Export Business Plan:

A thoroughly prepared export plan will provide a better chance of doing well in the target market at any time of the year. Bad planning (or no planning) could lead to severe failure abroad and could severely dent the domestic operations as well. Financial institutions and other lending agencies will not normally provide funds to a business that lacks a well-developed export plan. An export plan is a business plan that focuses on global markets. It identifies and recognizes your target market(s), export goals, necessary resources and anticipated results.

An export plan should contain the following:

1. Introduction
business history
organizational goals and objectives
international market goals

short- and medium-term objectives for exporting

2. Organization
ownership
management
staffing
relationship between exporting and domestic operations

e) strategic alliances

3. Products and services
a) description of products and services
b) key and/or unique features that distinguish your product/services from those in the target market adaptation and redesign required for exporting
c)production of products and services
d)future products/services pipeline
 
4. Market-entry strategy
target market(s)
description of key competitors
 analysis of competitive position
 product positioning
 pricing strategy
 terms of sale

 distribution strategy

 5. Regulatory and logistical issues
 intellectual property protection
 modes of transportation and cargo insurance
 trade documentation

 use of trade service providers

6. Financial plan
revenues or sources of funding
cost of sales
marketing and promotion costs

Identification of Markets and Buyers: There are more than 190 countries in the world and you aim to target the right one(s) for your product or service. Market research is the key to understand your opportunities. It can confirm that an opportunity actually exists, provide you with insight into how a new market could be developed, or help you discover what’s important for your potential customers.

Some of the services we offer :
Export customs clearing services in delhi ncr
Air export customs clearing agents in India

The three basic stages of international market research

Stage 1.
Locate potential markets: Collect statistics that show your sector’s product or service exports to various countries. Identify five to ten large and fast-growing markets for your products and services. Look at their performance over the past three to five years. Has market growth been consistent with the passage of time? Did import growth occur even during the periods of economic slowdown? If not, did their growth resume with economic recovery? Apply the same research questions to choose smaller emerging markets that might not have as many competitors as an established market. Target three to five of the most promising markets for further study.

Stage 2.
Assess the target markets: Examine trends that can influence demand for your product or service. Calculate the sum consumption of products or services like yours and identify the amount imported. Keep a tab on the competition, both domestic and international. Look at each of the competitors. For marketing purposes, become familiar with distribution channels, cultural differences and business practices. Additionally, identify any foreign barriers, such as tariff or non-tariff measures, affecting the import of the product or service into the country; moreover, examine any domestic barriers, including export controls, that may impact exports.

Stage 3.
Draw conclusions: After analyzing the data, you may decide that you should restrict your marketing efforts to a few countries. In general, one or two countries are usually enough to begin with.
How to start an export-import business

Organisations to Support Exporters:

In India there are a number of organisations and agencies that provides various types of support to the exporters from time to time. These export organisations provide market research in the area of foreign trade, dissemination of information arising from its activities relating to research and market studies. So, exporter can contact them for the necessary assistance.

  1. Directorate General of Foreign Trade (DGFT) : Organisation is an attached office of the Ministry of Commerce and Industry and is headed by Director General of Foreign Trade. This organization has been essentially involved in the regulation and promotion of foreign trade through regulation. Helpdesk No. Toll Free No: 1800-111-550 OR Dial 011-23061562
  2. Export Promotion Councils (EPC): Export Promotion Councils are registered as non-profit organisations under the Indian Companies Act.
Federation of Indian Export Organizations (FIEO) – Apex body of all Export Promotion Councils/Commodity Boards/Export Development Authorities (Export Promotion Councils) in India. The following are the major EPCs
  • Project Exports Promotion Council of India
  • Export Promotion Council for EOUS and SEZ Units
  • Basic Chemicals Pharmaceuticals & Cosmetic Export Promotion
  • Carpet Export Promotion Council
  • Cashew Export Promotion Council of India
  • Electronics & Computer Software Export Promotion Council
  • The Plastics Export Promotion Council
  • Telecom Equipment and Services Export Promotion Council
  • Council for Leather Exports
  • Jute Products Development and Export Promotion Council

Conclusion:

Falcon Freight is a comprehensive logistics partner, specializing in end-to-end transportation, customs clearance, and supply chain solutions for both domestic and international shipping. We assist businesses with air/sea freight, door-to-door delivery, bonded warehousing, and specialized product sourcing, particularly for imports to India.

For Falcon 18 Imports Pvt Ltd (Logistics): Call +91 9311595648 or email [email protected].