Page 62 - DMGT546_INTERNATIONAL_TRADE_PROCEDURE_AND_DOCUMENTATION

Unit 3: EXIM Strategies

suitable intermediary firm that can then handle most export details. Firms that are new to Notes
exporting or are unable to commit staff and funds to more complex export activities may find
indirect methods of exporting more appropriate.
However, using an EMC or other intermediary does not exclude all possibility of direct exporting
for your firm. For example, your company may try exporting directly to such “easy” nearby
markets as Canada, Mexico, or the Bahamas while letting an EMC handle more ambitious sales
to Egypt or Japan. You may also choose to gradually increase the level of direct exporting later,
after experience has been gained and sales volume appears to justify added investment.

Self Assessment

Fill in the blanks:
1. Exim Bank’s ............................... program consist of direct equity participation by the bank
and non-funded activities by the overseas venture and loan to the Indian companies for
equity participation in the venture abroad.
2. As part of .................................. marketing Finance Program, the bank offers support to
small and medium enterprises in their export marketing efforts consisting of financing
the soft expenditure linking to completion of tactical and systematic export market
development plans.
3. The primary objective of the Export-Import Bank of India is to provide ..............................
assistance to importers and exporters and function as the top financial institution.
4. Exim Bank’s ......................... obviate credit risks for Indian exporters.
5. Exim Bank supports ............................... in their export marketing efforts including financing
the soft expenditure relating to implementation of strategic and systematic export market
development plans.
6. Corporate Banking Group, which handles a variety of financing programmes
for.................................., Importers, and overseas investment by Indian companies.
7. ......................... Group offers variety of advisory and value-added information services
aimed at investment promotion
8. Exim Bank has been recently permitted by .......................... to cover inter alia agricultural
commodities and processed foods under the Lines of Credit

9. Overseas investment by Indian companies may be in the form of Joint Ventures (JVs) or
..........................................
10. .................................... approach is the most ambitious and difficult, since the exporter
personally handles every aspect of the exporting process from market research and planning
to foreign distribution and collections.

Task Develop an export marketing plan for a particular product of your choice.

3.4 Import Strategy

Importing
The concept of importing is just the reverse. It refers to the purchase of goods or services by a
company based in one country from sellers that reside in another country. Importing is an

LOVELY PROFESSIONAL UNIVERSITY 57