Week Nine – Export, Import, Global Production and Supply Chain, and Logistics

Some views:

Countertrade seldom works. Although the concept sounds simple, seldom does a provider of one good or service have the marketing skills to effectively and profitably dispose of a good or commodity taken in trade. Furthermore everything has a value in the world marketplace – much better to use a trader who knows that market for a particular product and can get top dollar for whatever is at stake. The original supplier is probably better off to sell to such a trader and can then offer hard cash for whatever they are purchasing rather than offering a countertrade proposition and probably discounting of the product that is involved. In all my years in Asia, I saw it attempted several times but never successfully.

Export management companies are not one of my favorite organizations. They often charge a fee and do not guarantee results. An agent is different – they get compensation only for actual performance and good ones can be quite effective.

For a good overview on what a country will do to help exporters take a look at the International Trade Canada web site as follows.

Yours,

Maurice Hladik

Return to the Toolbox home page