Manual for Trade Representatives

Transcription

A Manual for
Trade
Representatives
Rev 1.90
.
International Trade Centre
A Manual for Trade Representatives
.
This manual is a practical guide for trade representatives,
and their support staff.
A Manual for Trade Representatives
Information in this document is subject to change without notice.
Information is provided "as is" without warranty of any kind, either expressed or implied, including but not limited to
the implied warranties of merchantability, fitness for a particular purpose and freedom from infringement. This
warning is particularly related to the use of any electronic software mentioned in this manual. The user assumes the
entire risk as to the accuracy and the use of this document.
The information, suggestions, operation procedures and check-lists are guidelines. They cannot and do not pretend
to be the definitive word on trade promotion. Every market and exporter is unique and market factors, legal
requirements, cultural and economic conditions are constantly changing.
You should always check information by on the spot verification before using it as a basis for decision making.
The author cannot accept any responsibility for any loss occasioned to any person no matter however caused. While
care has been taken in the compilation of this material, no responsibility is accepted for any errors or omissions.
Product and company names mentioned herein may be the trademarks of their respective owners.
ITC
International Trade Centre UNCTAD/GATT
Palais des Nations
1211 Geneva 10, Switzerland
Printed: December 2004
Publisher
ITC
Editors
...enter name...
Team Coordinator
...enter name...
Contents
I
Table of Contents
Part I Forward
6
1 Why the
...................................................................................................................................
publication?
6
2 Objective
................................................................................................................................... 6
3 Different
...................................................................................................................................
formats to allow for flexibility
6
4 We'd like
...................................................................................................................................
to hear from you
8
5 International
...................................................................................................................................
Trade Centre
8
6 A special
...................................................................................................................................
thanks to...
9
Part II Introduction
12
1 Trade...................................................................................................................................
representation as a profession
12
2 Institutional
...................................................................................................................................
setting
13
3 Trade...................................................................................................................................
policy
13
4 Operational
...................................................................................................................................
policy issues
14
Who are our clients?
......................................................................................................................................................... 14
Establishing relationships
.........................................................................................................................................................
with clients
15
Competition between
.........................................................................................................................................................
trade representatives
15
Selection of markets
......................................................................................................................................................... 15
Should a trade .........................................................................................................................................................
office be located in an embassy?
16
Establishing trade
.........................................................................................................................................................
representation
16
Range of services
......................................................................................................................................................... 17
Charging for services
......................................................................................................................................................... 17
Cost recovery .................................................................................................................................................. 18
Cost sharing .................................................................................................................................................. 19
Charging for consulting
..................................................................................................................................................
services
19
Financial incentives
.........................................................................................................................................................
for exporters
19
Part III The Role of the Trade
Representative
22
1 Developing
...................................................................................................................................
your market knowledge and experience
23
2 Promoting
...................................................................................................................................
your market
23
3 Relationships
................................................................................................................................... 23
Representational
.........................................................................................................................................................
activities
23
Relationship with
.........................................................................................................................................................
host community
24
Relationship with
.........................................................................................................................................................
stakeholders
25
4 Clients
................................................................................................................................... 26
Evaluating an enquiry
......................................................................................................................................................... 26
Building relationships
.........................................................................................................................................................
with clients
27
Being proactive
......................................................................................................................................................... 28
Do not overstretch
......................................................................................................................................................... 29
Exporters of services
......................................................................................................................................................... 29
5 Performance
...................................................................................................................................
Measurement, monitoring and evaluation
31
Rev 1.80
II
Part IV Some important services
34
1 Responding
...................................................................................................................................
to enquiries
34
2 Consultation
...................................................................................................................................
with an client
35
Marketing plan......................................................................................................................................................... 36
3 Market
...................................................................................................................................
research
37
Preparing the research
.........................................................................................................................................................
brief
38
Defining the resources
.........................................................................................................................................................
needed
39
Drawing up a research
.........................................................................................................................................................
plan
40
Desk Research.........................................................................................................................................................
and Field Research
40
Collating and analysing
.........................................................................................................................................................
data
41
Preparation of .........................................................................................................................................................
the report
42
4 Writing
...................................................................................................................................
reports
42
Format of a report
......................................................................................................................................................... 43
How long should
.........................................................................................................................................................
the report be?
46
Word or PowerPoint?
......................................................................................................................................................... 46
Tips for using PowerPoint
......................................................................................................................................................... 46
Tips for writing.........................................................................................................................................................
reports
48
5 Market
...................................................................................................................................
entry strategies
49
Distributors
......................................................................................................................................................... 50
What does a distributor
..................................................................................................................................................
do?
51
A successful exporter
..................................................................................................................................................
distributor relationship
51
Background information
..................................................................................................................................................
on a distributor
52
Are distributors..................................................................................................................................................
easy to find?
53
Local legislation.................................................................................................................................................. 53
Characteristics..................................................................................................................................................
of distributors
53
Disadvantages..................................................................................................................................................
of distributors
53
Identifying potential
..................................................................................................................................................
distributors
54
Selection of distributors
.................................................................................................................................................. 54
The advantages
..................................................................................................................................................
and disadvantages of large distributors
55
Unsolicited contact
..................................................................................................................................................
from distributors
55
What are distributors
..................................................................................................................................................
worried about?
56
Distributor Support
..................................................................................................................................................
Programmes
56
Sales subsidiary
......................................................................................................................................................... 57
Direct selling ......................................................................................................................................................... 58
Acquisition
......................................................................................................................................................... 58
Agents
......................................................................................................................................................... 58
Franchising
......................................................................................................................................................... 59
Joint venture ......................................................................................................................................................... 59
6 Exporter
...................................................................................................................................
business visit
59
Steps for preparing
.........................................................................................................................................................
a business mission
59
Example of a business
.........................................................................................................................................................
mission programme
60
Should you accompany
.........................................................................................................................................................
the exporter to meetings?
62
7 Tenders
...................................................................................................................................
in EU
63
8 Projects
................................................................................................................................... 64
Trade missions......................................................................................................................................................... 64
Trade mission logistics
.................................................................................................................................................. 65
Frequently Asked
..................................................................................................................................................
Questions about trade missions
66
Inward buyer visits
......................................................................................................................................................... 68
Trade Fairs
......................................................................................................................................................... 68
Trade fair budget
.................................................................................................................................................. 69
Rev 1.80
Contents
III
Contribution from
..................................................................................................................................................
the exhibitors
70
Why exhibit at a
..................................................................................................................................................
trade fair?
70
Selecting the correct
..................................................................................................................................................
fair
71
Expomark
.................................................................................................................................................. 72
Participation should
..................................................................................................................................................
be part of a marketing plan
72
Objectives - be..................................................................................................................................................
realistic
73
Preparation
.................................................................................................................................................. 73
Promoting participation
..................................................................................................................................................
in a trade fair
74
Press pack
.................................................................................................................................................. 75
VIP visit to a trade
..................................................................................................................................................
fair
75
Evaluation of a..................................................................................................................................................
trade fair
75
Plan for the next
..................................................................................................................................................
fair
76
In-Store promotions
......................................................................................................................................................... 76
Factors to consider
..................................................................................................................................................
in relation to in-store promotions
77
Your role in an in-store
..................................................................................................................................................
promotion
77
VIP Visits
......................................................................................................................................................... 78
Prepare a briefing
..................................................................................................................................................
note
78
VIPs and trade..................................................................................................................................................
missions
79
Press and PR .................................................................................................................................................. 80
Housekeeping .................................................................................................................................................. 80
9 Buyers
...................................................................................................................................
and importers
80
Tips for dealing.........................................................................................................................................................
with buyers
82
Using e-mail to.........................................................................................................................................................
communicate with buyers
83
E-mail attachments
.................................................................................................................................................. 84
Part V Trade office administration
86
1 Benchmarking
................................................................................................................................... 86
2 Equipment
................................................................................................................................... 86
3 Time ...................................................................................................................................
management
86
4 Monthly
...................................................................................................................................
reports and monthly accounts
87
5 Client...................................................................................................................................
database
87
6 Contact
...................................................................................................................................
management
88
Accountancy companies
......................................................................................................................................................... 91
Public relations.........................................................................................................................................................
agencies
91
Lawyers
......................................................................................................................................................... 91
Hotels
......................................................................................................................................................... 91
Journalists
......................................................................................................................................................... 92
7 Market
...................................................................................................................................
brief
92
Guidelines for .........................................................................................................................................................
writing a market brief
92
Example of a market
.........................................................................................................................................................
brief
93
8 Market
...................................................................................................................................
sector briefs
93
9 Exporter
...................................................................................................................................
information brief
94
10 List of...................................................................................................................................
client exporters
94
11 List of...................................................................................................................................
other users
95
12 Cost of
...................................................................................................................................
running a local sales office
95
13 Public...................................................................................................................................
holidays
96
14 Market
...................................................................................................................................
Research Consultants
96
Management of.........................................................................................................................................................
consultants
96
Rev 1.80
IV
Where do you locate
.........................................................................................................................................................
a consultant?
97
15 Managing
...................................................................................................................................
the library
98
Library control
.........................................................................................................................................................
system
100
16 Issuing
...................................................................................................................................
a Press Release
100
Send the Press
.........................................................................................................................................................
Release to the correct person
101
Tips for writing
.........................................................................................................................................................
a press releases
101
Layout of a Press
.........................................................................................................................................................
Release
102
17 Trade
...................................................................................................................................
Literature in a Foreign Language
102
18 Information
...................................................................................................................................
technology
103
Teleworking ......................................................................................................................................................... 104
IT Policy
......................................................................................................................................................... 105
Managing PCs......................................................................................................................................................... 105
PC and laptop.........................................................................................................................................................
security
107
Passwords
.................................................................................................................................................. 107
Backups
.................................................................................................................................................. 109
Protecting a laptop
.................................................................................................................................................. 109
Software
......................................................................................................................................................... 110
Useful web sites
......................................................................................................................................................... 113
Internet search
.........................................................................................................................................................
engines
114
Part VI Annex
116
1 Frequently
...................................................................................................................................
Asked Questions
116
Index
Rev 1.80
119
Part
I
Forward
6
1
Forward
1.1
Why the publication?
Trade representation is a critical trade support service: it can provide answers to exporters
questions and solutions to many related problems, including is there a market for my product in X
country? At what price? Where will my main competition come from? How can I find a distributor?
What will be the most effective way of promoting my product in X country?
Foreign Trade representation is perhaps the most expensive service to provide and therefore
most countries are keen to ensure that their scarce resources are used most effectively. Over the
last 40 years, ITC has provided advice and assistance in this important area, including several
carefully prepared publications. In recent years, the way a trade representative must function has
changed considerably reflecting the changes in the multi-lateral trading system, globalisation,
internationalisation and probably most significantly, the advent of the Internet and modern
telecommunications tools.
1.2
Objective
This Manual for Foreign Trade Representatives, in its various formats, is designed to meet the
need for information and practical advice of Foreign Trade Representatives and their home-based
support staff, from developing and transition economy countries.
This manual contains information for practising trade representatives and for trade
representatives' support staff.
The primary focus is on the work of the trade representative who is working directly with
commercial enterprises.
The aim of the document is to make the job of the trade representative easier.
It will also provide home-based officials, who work with trade representatives, with an insight into
the job. Similarly, it will enable diplomatic officials, who are occasionally called upon to undertake
trade work, to find answers to some of their questions.
The terms trade commissioner; commercial representative; foreign trade representative,
commercial attaché, trade attaché and trade representative imply the same job function. For
consistency, the term "trade representative" is used throughout this document.
This document does not cover importing into the home country. Trade policy issues are referred
to but not discussed.
1.3
Different formats to allow for flexibility
The Manual for Trade Representatives is available in five formats. The formats are:
1.
2.
3.
4.
5.
PDF 6
HTML Help 6
Classic Winhelp 6
HTML 6
Microsoft Word 6
These files will enable you to view the manual on the screen, print copies, and edit a Microsoft
Rev 1.90
Forward
7
Word version.
You will need to install either HTML Help or Classic Winhelp on your computer in order to view
the manual on the screen. If you have an older PC running an early version of Windows, you
should install Classic Winhelp. See: Frequently Asked Questions 116 .
1. PDF
File name: Trade Reps.pdf.
Adobe Portable Document Format (.PDF) is a platform independent file format. PDF files
can be viewed with the free Adobe Acrobat Reader 110 which is available from the Adobe web
site. See: www.adobe.com and Useful software 110 .
Trade Reps.pdf will enable you to print a hard copy of the manual.
2. HTML Help
File name: Trade_Reps.chm
This is the default online Help format for Windows 98, Windows ME, Windows 2000 and
Windows XP. Copy this file to a convenient location on your PC. Double clicking the file will
open the Help engine.
Online help provides in-depth information and instructions for specific tasks. Online help is
organised into books and pages. Each book focuses on a different aspect of trade promotion,
so you can quickly locate the information you need. The quickest way to learn about online
help is to start using it.
3. Classic Winhelp
File name: Trade_Reps.hlp and Trade_Reps.cnt
Classic Winhelp is a standard Windows Online Help. It can be viewed on all Windows
versions from Windows 3.1 to Windows XP, without the use of additional tools.
4. HTML
File name: (Separate html file for each topic). index.htm
Regular HTML is a platform and browser independent format that may be used on the
Internet, intranets or any other media to display formatted hypertext documentation. HTML
can be used on Windows and on other operating systems. HTML is the language of the
Internet. There is a separate file for each page of the manual. Locate the file: index.htm and
double click it. It will open in your browser.
5. Microsoft Word
The file is in a rich text format. The file name extension is .RTF. The page layout in the rich
text file is very limited. However, it has the advantage that it can be viewed and edited with
all versions of Word. The file: Trade_Reps.rtf can be opened and edited with Word.
This Manual is part of ITC's continuing efforts to assist those providing trade support services
to export enterprises.
Rev 1.90
8
1.4
We'd like to hear from you
We'd like to hear from you. Let us know what you think of this manual. Tell us what you like and
what we can do to make the documentation better. We are particularly interested in suggestions
for inclusion in future versions.
Please include the following information in your email:
1.
2.
The Revision Number of the manual. You will find this in the footer of the printed document
or the bottom of each page in the electronic version.
Your name, job title and name of the trade support organisation you work for.
We look forward to hearing from you.
Who to contact:
Philip A. W. Williams
Senior Advisor on Trade Support Institutions
International Trade Centre (UNCTAD/WTO)
Palais des Nations
1211 Geneva 10
Switzerland
Email: [email protected]
1.5
The International Trade Centre (ITC) is the technical cooperation agency of the United Nations
Conference on Trade and Development (UNCTAD) and the World Trade Organization (WTO) for
operational, enterprise-oriented aspects of trade development.
ITC supports developing and transition economies, and particularly their business sector, in their
efforts to realize their full potential for developing exports and improving import operations.
ITC works in six areas:
· Product and market development
· Development of trade support services
· Trade information
· Human resource development
· International purchasing and supply management
· Needs assessment, programme design for trade promotion
ITC's technical assistance concentrates on the three issues for which it believes the need for
national capacity-building is most critical: helping businesses understand WTO rules;
strengthening enterprise competitiveness; and developing new trade promotion strategies.
For further details contact:
International Trade Centre UNCTAD/WTO
Rev 1.90
Forward
Palais des Nations
1211 Geneva 10
Switzerland
1.6
A special thanks to...
Carlos Ceceña
Félix Plasencia
Olena Navas Perez
Ricardo Cisneros
Celia Labora
José Enrique Peña
Maribel Cegarra
Olivier Naray
Philip Williams
Bruce Sheperd
Peter Bennett
Tony O'Brien
Joachim Eissler
Matias Urrutigoity
Rev 1.90
9
Part
II
Introduction
12
2
Introduction
Most countries, including all of the developed countries, have extensive networks of trade offices.
These offices act as the eyes and ears of exporters. In many cases the success of an exporter in
a new market can be directly traced to an early intervention of a trade representative.
2.1
Trade representation as a profession
Trade representation is increasingly being recognised as a profession.
Whatever your title, be it trade commissioner, trade attaché or commercial secretary, commercial
representative, Director Food Exports or trade representative, you are a critical link between
exporters and importers in the host country.
There has been a huge change in trade promotion in the last decade. The changes were caused
by:
· Access to and availability of information.
There is unlimited information. Exporters must contend with information overload. The Internet
is the main contributor.
· Speed
E-mail ensures instantaneous transmission of commercial information.
· Competition
Competition has increased in all product and service sectors.
· Globalisation
Buyers are increasingly well informed and many are buying on a global basis.
· Internationalisation
The enterprise is not limited to exporting, but aims to exploit whatever profitable opportunities
are available in the foreign market.
These factors define the commercial environment. In order to succeed as a trade representative
you must act with speed, analyse and interpret large quantities of information, draw conclusions,
add intellectual inputs, and advise your exporters. You must actively seek commercial
opportunities for your exporters by taking a proactive approach to your job.
The job of a trade representative is one of the most interesting and varied imaginable. No two
work days will be the same. You have the opportunity to develop your expertise in key product
areas. As you build up a portfolio of clients and as your market knowledge increases so too will
your reputation. Exporters will seek you out, because they value your opinion.
See also:
Being proactive
Rev 1.90
28
Introduction
2.2
13
Institutional setting
Within a national development plan, various government ministries will usually have evolved
policies to deal with such matters as agricultural and industrial production, foreign exchange rates,
taxation, tariffs, quotas and trade agreements, etc. These and similar policies have a more or less
direct impact on foreign trade and on national trade promotion programmes.
Many organisations other than government ministries are involved in one way or another with
trade promotion. These include trade promotion boards and councils; standards and other
regulatory bodies; banks and other financial institutions; associations of producers, importers and
exporters; and chambers of commerce and industry. Ideally, these organisations, governmental
and non-governmental, will complement each other, thereby creating an environment within which
trade will flourish and the importer and the exporter will receive the necessary trade support
services.
Among the most important of these institutions is the trade promotion organisation (TPO). It
may be a department, branch or division of a ministry of commerce or its equivalent; it may be a
semi-autonomous or a fully autonomous state sponsored body, or even one partly or wholly
funded by the private sector. Whatever form it takes, the TPO serves as the focal point for the
development of a country's export promotion activities. Trade representation is one of these
activities.
In practice, because of the way a country's external trade services are shared, there are usually
two bodies primarily concerned with trade representation abroad: the ministry that is responsible
for overall trade policy and the TPO.
The exporter should receive individual support in the form of expert guidance from a source
located in the market itself. The responsibility for developing commercial relations and promoting
exports, on a day-to-day basis and at the practical working level in foreign markets, increasingly
falls on the country's trade representatives. They are the eyes and ears of both the TPO and the
exporter in the market-place.
Experience indicates that the most successful TPOs are those that recognise the function of a
trade representative as a highly specialised, professional one and plan their operations
accordingly. They recruit and train the best qualified people available, deploy them in selected
markets according to a well-formulated commercial strategy, and programme and manage their
activities systematically within the framework of their national trade promotion programmes.
Few countries can afford to place trained, professional trade representatives in all the potential
markets for their products. In these circumstances, they rely on consultants and on other national
representatives of their country, such as diplomatic officers.
2.3
Trade policy
Foreign Trade Representatives will have a relatively small, although potentially important role to
play in their country's handling of trade policy issues.
Senior management and strategic planners in a trade promotion organisation continuously face a
series of policy issues. Some of these issues are extremely complex. Due to the evolving
commercial environment; the speed with which markets are changing; the activities of
competitors; changes in political and industry structures; the influence of industry representative
organisations and globalisation, the ground rules keep evolving and changing. There are no
simple answers.
Rev 1.90
14
Policy formation is normally developed after a thorough analysis of all of the factors. It comprises
informed judgements taken at the highest level, and is the result of carefully evaluated inputs
from a wide variety of sources.
You have a role to play in policy formulation. As the person on the spot, you will be a primary
source of information as far as your territory is concerned. You will be expected to contribute,
through debates, reports and other contributions, to the evolution of your country's trade policies
and export strategies.
A discussion of trade policy is outside the scope of this document.
2.4
Operational policy issues
It must be emphasised that there are no correct answers to questions regarding operational
policy.
Frequently asked questions
The following frequently asked questions will help you contribute to the debate.
1. Who are our clients?
14
2. How should we establish relationships with clients?
15
3. Is competition between trade representatives for exporters' attention a good idea?
4. Which markets should we concentrate on?
15
5. Should the trade office be located within an embassy?
16
6. Should we have different levels of services for different classes of companies?
7. Should exporters be charged for services?
17
17
8. Should we provide financial incentives to exporters?
2.4.1
15
19
Who are our clients?
This is a question primarily for the TPO, or other home office, but even after that initial filter of
clients, the trade representatives will still need to determine who are or should be their clients.
It is important to identify a group of priority clients who have the interest, resources and capacity
to export. A priority client is one who will gain the maximum benefit from your services.
This should be a defined group of companies. In defining the group of priority clients, it is
important not to overload the group with large companies. The small exporter is likely to gain the
maximum benefit from your work.
In consultation with the companies, export targets can be set, per market, for the group. This will
enable the TPO to measure progress against targets.
The bulk of resources should be devoted to helping these companies achieve export targets. Of
course, during the course of a year's work you may work for companies not on the list.
Rev 1.90
Introduction
2.4.2
15
Establishing relationships with clients
How should we establish relationships with clients? Should the trade representative establish
direct contact with exporters? What is the role of head office / central office?
You should make at least one trip home per year. Use a portion of the time to visit a group of
companies. There is no substitute for meeting an exporter in his place of business.
It is critically important that you prepare well for these meetings.
After the meeting update the company record on the database and do a note to the head office
executive / support staff with responsibility for the company, or sector.
You should have a list of priority clients. These are companies for whom you can carry out
substantial pieces of work, and who have opportunities in your market. Some may be existing
clients.
At the end of a period of time, usually 1 to 2 years, you can evaluate the export performance of
these companies.
2.4.3
Competition between trade representatives
There is nothing wrong with competition between trade representatives, and between their
respective offices. In many TPOs the trade representatives are responsible for developing a
portfolio of clients. This is particularly true of trade representatives based in remote markets.
Ultimately, it is the exporter that makes the decision as to which market to concentrate on.
The client database is the primary tool used to keep track of the trade representative - client
contact. Where there is a clear case of conflict or ambiguity, the issue has to be resolved through
discussion.
2.4.4
Selection of markets
Policy makers need to consider carefully the markets on which to concentrate export promotion
efforts. The balance is always between deepening export penetration in existing markets and
diversifying exports by penetrating entirely new markets.
The allocation of resources follows the selection of priority markets.
Some markets may be so important that the TPO opens regional offices. It is not unusual for a
TPO to have 2 or 3 offices in a priority market.
The trade office could retain the services of a consultant to cover remote regions and peripheral
markets. Retaining the services of a consultant is much cheaper than opening an office.
This is a key policy issue and ultimately determines where resources are allocated
Rev 1.90
16
2.4.5
Should a trade office be located in an embassy?
This is an institutional infrastructural issue and beyond the scope of this document.
Trade and commercial considerations should dictate the geographical location of the trade
representative, whereas political and other considerations influence the placing of an embassy.
In many countries trade representatives operate out of an embassy when there is no other choice,
e.g. the host government may require that the trade representative is based in an embassy. The
preferred option is always separate offices.
Embassies are normally located in the national capital of a country (e.g. Washington DC in the
USA, Berne in Switzerland, or Ottawa in Canada, or Canberra in Australia), whereas trade is
mostly carried on in commercial centres like New York, Zurich, Toronto or Sydney. This must be
taken into consideration, when determining location.
Institutional considerations may also effect the decision.
2.4.6
Establishing trade representation
The options are:
1.
2.
3.
4.
5.
6.
Use the services of a national consultant 16 .
Assign the responsibility to a single individual
Open a small stand-alone office 16
Open a large stand-alone office 16
Open the office within an embassy 16
Use the services of an embassy 16
16
.
1. Use the services of a national consultant
Because of budgetary constraints few TPOs can establish offices in every market of interest
to their exporters. Peripheral and non-priority markets of interest to a limited number of
exporters can be covered by utilising the services of a national consultant. The consultant's
services are only used for specific projects and tasks. The budget may be managed by either
head office or a regional trade representative. A consultant may cost a fraction of what it
would cost to open an office.
See also:
Market Research Consultants
96
.
2. Assign the responsibility to a single individual
Experienced trade representative, with a clearly defined work programme, can telework.
Alternatively, the trade representative might be home based but makes frequent visits to the
market. There is no physical trade office. In such a scenario, the trade representative relies
on information technology to stay in contact with head office and exporters. For example, an
individual based in London, could have responsibility for developing trade in one or more of
the countries in Eastern Europe.
See also:
Teleworking 104 .
3. Open a small stand-alone office
Rev 1.90
Introduction
17
The TPO takes a lease on a small office, capable of accommodating a trade representative
and an assistant. The office is a stand-alone unit, with its own budget. The office may or may
not be located within a premier business location. An element of teleworking may be
involved.
4. Open a larger stand along office
The TPO takes a lease on larger premises, capable of accommodating more than two
individuals. The office may or may not be located within a premier business location. An
element of teleworking may be involved.
5. Open an office within an embassy
The trade office is located within an embassy. This is a very common occurrence. Many
TPOs have placed trade representatives within their embassies. An embassy based trade
representative must have an unambiguous line of reporting to the TPO's head office. The
relationship between the trade representative and the ambassador must be clearly defined,
so as to avoid any confusion as to the former's role.
The trade representative's work programme must be assigned by the TPO, and this work
programme takes priority over other assignments.
6. Use the services of an embassy
The trade function is entirely the responsibility of embassy diplomatic staff. However, the
diplomatic staff should be guided by the TPO, in exercising their trade function. Also the
trade representative must have financial autonomy for his office.
Once the trade representative has a clearly defined work programme, the physical location of the
office becomes less important. In many cases the physical location of the office has little
relevance to the task of trade promotion.
2.4.7
Range of services
The norm is to have different levels of services for different classes of exporters.
Once a TPO has defined its client base, it can then determine client needs. This is done by
consulting with clients, and designing an appropriate mix of service.
For example, the service offered to a large food company would be different to that offered to a
small engineering company. The small company would probably require much more assistance
and hand holding.
2.4.8
Many TPOs recover a portion of their costs from clients. However, introducing charging into a
TPO is a long term task. A TPO is normally operational for many years before charging is
introduced.
Charging is gradually introduced into the export promotion system. It starts off with the
introduction of cost recovery 18 . This progresses to cost sharing 19 and then to charging for
consultancy services 19 .
Rev 1.90
18
A TPO's services are usually good value for money compared to commercial rates.
Charging is a policy issue. The policy will be set by senior management in consultation with the
TPO's Board, a government ministry, or both and with clients.
Reasons for introducing charging are:
1. To refine demand
It reduces the amount of frivolous and unreal requests. It also enables the TPO to focus on
certain clients and services. Demand can be controlled by varying charges according to an
agreed policy.
2. To "professionalise" the service
Charging affects the relationship between the trade representative, the TPO and the exporter.
It puts the relationship on a commercial footing.
3. Commitment
It ensures commitment on the part of the client. An exporter is very unlikely to commission
work that will not be used or acted upon.
4. To generate revenue
The amount of revenue generated may only be a fraction of what is required to run the TPO.
However, it is a contribution and the exporter is sharing in the cost of providing the service.
Revenue generation is rarely the primary reason for introducing charging.
5. To improve standards
It raises standards, encourages consistency across the organisation and improves quality.
6. International practice
Introducing some form of charging conforms to international best practice.
See also:
Cost recovery 18
Cost sharing 19
Charging for consulting services
2.4.8.1
19
Cost recovery
Cost recovery relates to the recovery of direct expenses. This is the simplest form of charging to
introduce.
Example 1
An exporter requests a bank reference or Dunn & Bradstreet report on a number of local
companies. The bank charges a fee for each reference. The charge is passed on, through
your monthly accounts, to the exporter. The invoice is issued by head office to recover the
direct costs. There is no profit, premium or handling charge added.
Example 2
At the request of an exporter, you purchase tender documents. The cost of the documents
and the courier fees are recovered, by your head office, from the exporter. Again, there is no
profit, premium or handling charge added to the invoice.
Rev 1.90
Introduction
2.4.8.2
19
Cost sharing
This is where an exporter contributes to the cost of an activity. The contribution might be only a
fraction of the real cost.
Example 1
You are located in a large market, and use the services of a market research consultant. For
example, you are located in Washington, and you need a piece of research work on the West
Coast, say in Los Angeles. You commission the work from a trade consultant, who charges
for three days' work. A portion of the consultant's fee is recovered from the exporter. The
exporter shares the cost.
The policy may be to recover the entire cost, or a portion of the cost, or to absorb the cost in
your office's operational budget.
Example 2
Companies which are participating in a Trade Mission are asked to contribute to the cost of
organising the mission.
Example 3
Exporters are required to contribute to the cost of participating on a national stand at an
international trade fair. The contribution might be as low as 10% of space rental.
See also:
Contributions from the exhibitors
2.4.8.3
70
Charging for consulting services
TPOs use various methods and formulae for calculating charges. Charges for consultancy
services are either time based or assignment based.
Time bases
The trade representative estimates the amount of time needed to undertake an assignment.
The charge is based on the amount of time. For example, if the task takes 3 days and the
charge is $X per day, the total charge for the assignment is $3X.
Assignment bases
The TPO has a suite of "packaged services". Examples could be: a distributor search, and
setting up a business mission. These are typical tasks engaged in by almost all TPOs. The
charge might be a fixed amount, irrespective of the amount of time involved. The work might
be a highly subsidised. For example, it might cost $5,000 to provide the service, taking
account of salaries and overheads, but the charge to the exporter might be only $500 or less.
The exporter is only making a small contribution to the cost of providing the service. The key
point is that the service is not provided free of charge.
2.4.9
Financial incentives for exporters
Most TPOs provide some form of financial incentive for exporters.
The level and type of incentive is a high level policy issue.
Rev 1.90
Part
III
The Role of the Trade Representative
22
3
Your role as a trade representative can be defined as including the following:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
To support the business sector in its efforts to achieve export growth.
To develop contact with buyers and procurement personnel.
To provide a quality trade and marketing advisory service to client exporters.
To strengthen the relationship with client companies in order to encourage and support their
commitment to export growth.
To give the trade advisory services a commercial edge.
To pro actively work with a group of client exporters.
To do substantive work for a number of targeted exporters.
To monitor the performance of exports and exporters and provide senior management with
an early warning if there is an adverse shift in the host country's economic climate.
To represent the country's industry at relevant fora. This includes, speaking engagements
and presentations to industrial groups.
To contribute to policy debates.
To prepare briefing material for government and senior management on market related
issues.
To manage PR and the press.
To develop a relationship with professional advisors.
To retain the services of consultants.
To manage trade fairs and other group promotional activities.
To help exporters establish distribution in your market.
To undertake market research assignments.
To set up business missions for exporters.
To organise buyer visits.
To manage a trade office, including budgets and staff.
To engage in representational activities.
In addition to the above, you may also be called upon to promote foreign investment.
You may, in some situations, be involved with international tendering in connection with your
country's import procurement and with its participation in capital projects in your territory. You
must therefore have at least a basic understanding of contracting and international bidding
practices and procedures.
The work is absorbing, complex and challenging. Your success will depend on your initiative and
the energy and enthusiasm you bring to your job. Your experience and market knowledge will
develop over time.
You will have to manage human, material, and financial resources. You must exercise selfdiscipline in planning and ordering your priorities and objectives, so as to make the best use of
your time.
In your professional dealings with others, honour all your commitments and never betray a
confidence. You must consciously earn and maintain a reputation for absolute professional
reliability and personal integrity.
See also:
Developing your market knowledge and experience
Rev 1.90
23
3.1
23
Developing your market knowledge and experience
The activities that contribute to the development of your market knowledge are:
· Answering enquiries from clients. You gain wide knowledge of commercial issues by answering
exporter enquiries.
· Research assignments. You develop in-depth knowledge of a product sector when you carry out
market research within that sector.
· Preparing "Exporter business visits". These assignments enable you to develop relationships
with importers, distributors and buyers. You will gain an in-depth knowledge of commercial
issues if you accompany the exporter to some meetings.
You should develop a relationship with other trade representatives in your market. Networking
with other trade representatives in the same geographical area can be very beneficial. Information
is normally shared in an informal way. Asociacion de Consejeros Economicos y Comerciales de
America Latina (ACELA) is one of the best examples of trade representatives networking.
See also:
Responding to enquiries 34
Market research 37
Exporter business visits 59
3.2
Promoting your market
You will need to promote your market to potential clients. This is particularly true of remote and
peripheral markets. You will have to generate sufficient work to keep your office busy, otherwise
there is a danger of your office being closed.
The activities which you can use to promote your market are:
· Visits to clients and potential when you visit home
· Actively seeking speaking engagements in the home market. You should seek opportunities to
address local chambers and business associations
· Take every opportunity to educate colleagues in head office on market opportunities.
3.3
Relationships
3.3.1
Representational activities
Representational activities are an important facet of your public relations responsibilities.
Your objective is to project an image of your country as a reliable exporter of goods and services,
and as a good trading partner, and to cultivate working relationships with business people,
importers, distributors, journalists and other contacts.
Speaking engagements
You should actively seek out speaking engagements. These might include addressing local
trade associations or chambers of commerce. They are a useful way of getting your name
Rev 1.90
24
and reputation out into the market place.
Entertainment
Entertaining is an important way of developing contacts and of introducing exporters to
important local contacts.
Plan your entertainment activities carefully. The type and nature of entertainment vary from
country to country. Generally it takes the form of luncheons, dinner, and receptions.
A particularly useful form of entertainment is a dinner in a residence, hosted by you or by an
ambassador, at which an exporter is the guest of honour, and other guests are local business
leaders. You could use this form of hospitality to introduce an exporter of services to potential
users. Such a function greatly improves the prospects of obtaining insiders' market
intelligence and information on local market developments and trends.
3.3.2
Relationship with host community
You will have relationships with:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
Importers and distributors 50
Manufacturing industry
Local business leaders
Local industry associations
Export groups / trading companies
Customs brokers
Regulatory authorities
Authorities who issue tender 63
Import licence authorities
Chambers of Commerce
Bilateral chambers of commerce
Business associations
Media
Financial institutions
Procurement and Public Tender Officials
Government ministries
The most important groups are importers, distributors and local manufacturing industry. You will
build up contacts in each of these communities over a period of time. The vast majority of the
exporters will want introductions to these communities. You should therefore spend a large
proportion of your time cultivating contacts within these groups.
Getting information on existing and upcoming tenders is an important activity in some markets.
You can use Microsoft Outlook as a tool for managing your contacts. The Outlook Contacts
utility is an industry standard and is suitable for this job.
See also:
Contact management
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88
3.3.3
25
Relationship with stakeholders
There is normally a minimum of four categories of stakeholder in a TPO. You will have a direct or
indirect relationship with these stakeholders. The stakeholders are:
1.
2.
3.
4.
5.
Exporters 25
Industry representative organisations 25
The Board and senior management of the TPO
Government and government ministries 25
Importers 25 of machinery and raw materials
25
You must serve each of these communities. There will always be demands on your time and
frequently you will have to make a judgement call regarding priorities. However, careful attention
to time management will help alleviate conflicts.
1. Exporters
Exporters and potential exporters are you clients and priority stakeholders. You should spend
a minimum of 50% of your time working with exporters.
See also:
Exporters and clients
26
2. Industry representative organisations
Their requirements will be very similar to the exporter.
See also:
Exporters and clients
26
3. The Board and senior management of the TPO
Their requirements are different to that of exporters. Frequently you will have very short lead
times to respond to board and senior management requests. It is critically important that you
pre-empt these requests. Many of the requests can be planned for.
See also:
Time management
86
4. Government and government ministries
Frequently you will have very short lead times to respond to government requests. For
instance, you may have to provide briefing material for a draft response to a parliamentary
question on some aspect of foreign trade. You might only have hours to draft a response.
Similarly, the lead time for preparing a VIP programme may be very short.
See also:
Time management
VIP visits 78
86
.
5. Importers
Importers in the home country who are importing raw material and machinery to facilitate
exports.
Rev 1.90
26
3.4
Clients
A potential client is a business enterprise who is eligible to receive the services of the TPO.
Eligibility criteria are laid down by the TPO's senior management.
In the eyes of your country's exporters, you are the expert on how to trade with your territory. As
your market knowledge increases and your reputation spreads, more and more clients and
potential clients will seek your "expert opinion" on a marketing issue.
Clients will range from small inexperience enterprises to large sophisticated companies.
The two activities of most value to your clients are:
Distributor searches and business introductions
This involved the identification of distributors and setting up business meetings for exporters.
These activities equally apply to service exporters 29 and product exporters.
Consultation on a commercial or marketing issue related to your market
This is where an enterprise asks for your opinion about a marketing issue related to your
market. These consultations are very valuable for the new exporter.
Senior management may specify the level of service a client is entitled to. For example, small
companies may receive a more intense level of service that large successful exporters. You may
find that the most successful exporters do not utilise trade representation services. They may
have no need for TPO services in established markets.
The early success of many small to medium sized exporters is likely to be directly related to the
work of a trade representative.
See also:
Exporter Business Visit 59
Market entry strategy 49
Exporters of services 29 .
3.4.1
When you receive an enquiry from an enterprise, you should check the following:
1.
2.
3.
That the enterprise is a client, or potential client, and entitled to TPO services.
The TPO's client database. This should give you background information on the exporter.
You should estimate the company's size and the amount of requests received over the past
year.
If any other offices in the network have received a similar request.
You need this information before you commit resources. The reasons are:
· The enquiry may not be from an enterprise entitled to TPO services. If the enquirer is not
eligible, you should not commit resources to working for the company.
Many TPOs divide their clients into priority categories. Different categories of client receive
different levels of service. For example, the level of service provided to a small / medium
sized exporter may be different to the level of service provided to a foreign owned
multinational manufacturing company.
Rev 1.90
27
· The size of the enterprise or company will give you an indication of the capacity of the
company to utilise the market research. If you get a request from a small company for a
major piece of work, you must ask yourself if the company has the capability and capacity to
utilise the data. If you are in doubt you should discuss the issue with the company, and
determine what the real issue is. For example, a company who asks for a study of the market
in Chile for fruit, may really be looking for an introduction to an importer distributor capable of
handling a modest quantity of the product per month. You must get absolute clarification on
this issue before you start the assignment. Otherwise you could be wasting your time and that
of the exporter.
· Did the enquirer send a similar request to all offices in the network? There are very few
small to medium sized exporters who can operate in more than three or four new export
markets at the same time. Utilising the e-mail system, the request could have been sent to all
offices in the network. Check with head office for clarification. The most effective way of
doing this is to refer the request to an executive in head office who has responsibility for the
company. The head office executive acts as the coordinator.
3.4.2
Building relationships with clients
Before undertaking work for a new enterprise check with head office that the enterprise is eligible
to receive TPO services. It may be necessary for the enterprise to register with the TPO.
Alternatively you may have access to a client database and you can check this information online.
The secret to building a relationship with an exporter is to:
1.
2.
3.
4.
5.
6.
Talk to them. Meet them and keep in regular contact.
If it is your first contact, check the company's background before you speak to them.
If you make a promise or a commitment, keep it.
Respect confidentiality
Bring something of value to the conversation in the form of commercial information of
relevance to the client
Listen to what they have to say. Listen!
The trade representative is essentially selling consulting services. The importance of listening
skills cannot be over-stressed. You must become aware of your own strengths and weaknesses.
You must empathise with clients and relate to their problems.
The more information you have on the client before a discussion the better. You might get this
information from file, or from speaking to a colleague in head office or in another overseas
location. In some cases there may be very little information available. In a ideal situation you
should have some or all of the following information:
· the size of the company in terms of turnover and number employed;
· what they manufacture or the service they provide
· the company's web site;
· the annual report which may be posted in PDF on the company's web site;
· details of previous work carried out by the TPO for the exporter;
Rev 1.90
28
· references from colleagues who have worked for the exporter;
· an assessment of market potential for the company's products. You should form an opinion
prior to the meeting;
· marketing issues associated with the market sector.
Experience shows that clients find it irritating to be asked again for basic information on their
activities shortly after they provided a briefing to executives from the TPO. Invariably the problem
can be traced to deficiency in internal communication within the TPO. Basic information is:
approximate company size; product description, and the markets they are interested in.
Use the meeting to establish a relationship or to deepen an existing relationship. These meetings
are two way conversations, not question and answer sessions. You should be in a position to offer
commercially relevant comments. The more homework you do prior to a meeting the better the
likely outcome.
During the course of your meeting try and get answers to the following questions:
· What information is the exporter looking for? The more specific the better. You must listen
very carefully.
· Why is the market research needed? What will the exporter do with the research?
· Does it fit into the company's marketing plan 35 ? You can use the concept of a marketing plan
as a diagnostic tool, and probe for information.
· Why did the exporter pick a particular market?
· Will the exporter be charged for the work?
Confidentiality
It is important that the exporter understands that discussions are confidential.
3.4.3
Being proactive
You must take a proactive approach to your work by actively seeking out market opportunities,
and providing continuous feedback to exporters on local market developments.
The feedback must be customised for the exporter. Exporters are only interested in information
related to their:
1.
2.
3.
4.
5.
6.
Company
Product
Distribution
Regulatory standards
Competition
Substitute products
In all probability you will have to generate work for your office. This work should be for priority
exporters, or clusters of exporters. If you are working in a peripheral market you will have to
promote the existence of the office. In markets closer to home, the mix of exporters may not
Rev 1.90
29
match the TPO's list of priority exporters. In this case you will have to approach priority exporters
directly.
A proactive approach involves:
1.
2.
3.
3.4.4
Identifying market opportunities for clients or potential clients.
Providing feedback on commercial developments in the market. These developments must
be client specific.
Regular communications. This includes telephone calls, email communications, and visits to
the client's place of business. Visits are one of the most effective ways of building a
relationship. You should always plan to visit exporters for whom you have done substantive
work or who are in the process of commissioning work.
Do not overstretch
You will overstretch if you take on work that is beyond the capacity of your office to deliver. If you
take on such work and fail to deliver a quality product, on time, your reputation and the reputation
of your office will suffer. Taking on work outside your capacity to deliver is one of the primary
contributors to stress. Working under continuous stress is likely to affect your health.
You will receive requests:
1.
2.
3.
4.
for work involving extensive desk and field research;
for research in a specialised product area which is beyond your level of competence;
for assistance, with an unrealistic lead time;
for assistance on a new project when you are in the middle of a major promotional project,
such as a trade mission.
Your options are:
1.
2.
3.
3.4.5
Explain to the exporter the amount of work involved. State that it will be delivered by a
certain date.
Subcontract the assignment to a consultant who will complete it within the original time
frame. The TPO pays the consultant's fee, or a portion of the fee.
If the work is beyond the technical capability of the office, tell the exporter, and refer it to a
consultant that specialises in the field.
Exporters of services
The growth and export of internationally traded services is widely acknowledged as playing a vital
role in the creation of wealth and employment.
In most developed countries:
· Employment in service industries is growing faster than employment in traditional
manufacturing industries.
· Service businesses are subject to competitive pressures in the home market and on the
international market, similar to any other business.
· A characteristic feature of service companies is that high percentages are small companies.
· Many service operations are high value-added.
Rev 1.90
30
· Services are increasingly tradeable on the international market.
Services exports cover a broad range of activities, from one-person management consulting
companies and small professional practices, to large international organisations providing a full
suite of services.
Typical services are:
· Engineering firms - especially consulting engineers
· Architectural firms
· Project management companies
· Information processing
· Marketing and customer service operations
· Accountancy and financial institutions
· Training specialists
· Design specialists
· Licensing and sale of intellectual property
· Agricultural specialists
· Laboratories and testing facilities
· Medical specialists
· Music
· Call centres and on-line technical support facilities
· Remote data processing centres
· Human resource specialists and placement companies
· Software companies - bespoke software development
· Specialists in logistics
· Legal professionals
What distinguishes these organisations from a product manufacturing company is that the
"product" is not a tangible product. In other words, you are unlikely to be able to drop the product
on your foot! These organisations sell ideas, knowledge, know how and intellectual property.
Services exporters are developing export markets through small, short-term assignments, as well
as through large development and infrastructure projects.
The key to marketing services is to emphasise the benefits associated with the service.
Rev 1.90
31
See also:
Buyers and importers 80
Exporter business visit 59
3.5
Performance Measurement, monitoring and evaluation
The techniques used for performance measurement and evaluation by TPOs vary. A combination
of various indicators is the norm. The indicators are:
1.
2.
3.
4.
5.
6.
Client satisfaction surveys 31
Passive indicators 31
Consultations with industry 31
Export performance 31
Income 31
Joint projects 31
1. Client satisfaction surveys
Client satisfaction is determined by carrying out a client satisfaction survey.
The survey can be carried out by the TPO. More frequently, it is carried out by an
independent market research company, or the responses are returned to a market research
company. The anonymity of the respondent is preserved. The market research company
follows-up, analyses and produces aggregate results.
The type of service, the way it is delivered and the response to clients are modified, based on
survey results.
Optimum interval for a client satisfaction survey is once per year.
2. Passive indicators
Passive indicators are normally combined with client satisfaction surveys. Passive indicators
include:
· The number of clients serviced
· The number of repeat clients
· The frequency with which exporters use specified services
These indicators are combined with client satisfaction surveys.
3. Consultation with industry
The TPO's annual work programme is agreed with industry through a consultative process.
Industry has joint ownership of the programme. Consultation may take the following forms:
· Joint consultative groups. The TPO and representatives of an industry sector meet
regularly and review the type and level of services. Joint programmes are agreed.
· Monthly meetings of TPO board members with selected exporters. This could take the
form of a breakfast meeting and discussion, prior to a board meeting.
4. Export performance
Few, if any, TPOs have succeeded in making a direct correlating between the performance
Rev 1.90
32
of exports and the activities of the TPO.
Those that make the correlation, measure performance against a defined set of client
companies.
However, this measure is not used in isolation, and is combined with client satisfaction
surveys, and other types of feedback from exporters.
5. Income
Income is derived from three sources:
· Recovery of direct expenses
· Cost sharing
· Charging for consulting services
The level of income generated is a measure of the usefulness of the TPO service in
question.
Income level in not used in isolation.
See also:
17
6. Joint projects
This is the number of projects jointly financed by industry and the TPO.
Rev 1.90
Part
IV
Some important services
34
4
4.1
Responding to enquiries
A large amount of your time will be spent answering enquiries from clients and potential clients.
These enquiries will cover an enormous range of subjects. Typical examples are:
· Request for a list of importers or distributors of a product or service, e.g. a list of jewelry
importers in Spain.
· Advice on a customs problem.
· A contact name. This could be the name of a buyer or specifier in a manufacturing company or
a named buyer in a department store or supermarket.
· Enquiry related to shipping, transportation of freight forwarding
· A request to get copies of tender documents
· Information on labelling regulations related to a specific product
· Questions regarding packaging
· Payment issues
· Information on local standards and regulations
· How to get a product approved for sale in the local market
· Assistance with travel and hotel arrangements
· Arranging interpreters or providing assistance with translation
· Making contact with a specific importer on behalf of an exporter. Identifying a problem and
proposing a solution.
· Acquiring samples and forwarding them to the client
· Interviewing buyers and importers on behalf of an exporter and securing reaction to a product
or service.
· Making a phone call on behalf of an exporter and providing the exporter with feedback
· Providing introductions to lawyers, accountants, customs brokers and financial consultants.
· Organising a venue for an exporter to demonstrate a product or to display products.
· Solving day-to-day issues
The list is endless.
Answering general enquiries helps to develop your market knowledge.
The requested information and response is normally sent to the client by email or pass on by
telephone. a formal "report" is rarely necessary..
Your business knowledge gained from experience in the market place is of critical importance in
answering these enquiries. You may have to exercise judgement and give an opinion. The speed
of your response has a direct reflection on the reputation of the TPO. The client may have asked
for the name of an importer. You could answer the question within minutes, if you had the
information on your desk. If the piece of information influences the client's business it could be
the single most important service received by the client from the TPO.
In view of the enormous amount of time devoted to answering general enquiries it is important to
have a system to capture information regarding the activity. You could capture the information in
an Excel spreadsheet. At a minimum you should capture the following information:
1.
2.
3.
4.
Rev 1.90
The name of the client who asked for the information
The date the enquiry was received
The date an answer was sent to the client
The nature of the enquiry.
5.
35
How long did it take you to answer the enquiry?
You don't necessarily need accurate figures - a rough estimate will do. These estimates will help
you analyse where you are spending your time, where the demand for the service is coming from
and from what sectors of industry, and what are the issues of most concern to exporters in your
market.
The data will help you give feedback to head office on your activities. The data will enable you to
answer the following question: "What have you been spending your time on over the past six
months?"
See also:
List of client exporters 94
Evaluating an enquiry 26
Time management 86
4.2
Consultation with an client
One of the most important services you can offer an exporter is an unbiased opinion and
appraisal of plans for a market. The process normally starts by an exporter telling you that they
plan to export to your market. The exporter might refer to single activity or multiple activities. The
activities could range from plans to appoint a distributor; seek approval for a product from
regulatory authorities; change packaging; or maybe try and sell direct to major end users. The
planned activities may be based on assumptions, and on what has worked for the exporter in the
home market. Frequently it will not be based on sound local market knowledge.
The exporter may directly or indirectly ask for your opinion.
During the course of a consultation you could take the exporter through the issues associated with
exporting to your market. A marketing plan is an extremely useful diagnostic tool to help you
capture the issues associated with developing export business in a new market.
A plan for a market will answer most, if not all, of the following questions:
1.
2.
3.
4.
5.
6.
7.
8.
What product or service are you going to export?
What market are you going to export to?
Why did you choose that market?
What are your sales targets? What do you want to achieve in terms of turnover and
profitability?
What are you going to do to achieve these sales targets?
How much will it cost to engage in these activities?
Who is going to do the work?
When will you review the process?
These questions can be used as a diagnostic tool to tease out the elements of an exporter's plan
for a market. The exporter may not have thought through all of these issues. You provide a
valuable consultative service by teasing out the issues.
The term "marketing plan" may never be used. The exporter may have no written plan, other than
a series of ideas based on assumptions. You should know, based on your local market
knowledge, if these assumptions are reasonable and if they make commercial sense. In fact the
exporter may not be aware of some of the critical issues. For example, the level of planned
activities in the market may be insufficient to secure any significant business. The exporter may
be planning one trip to the market per year, when three or four trips are required. Could the
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exporter spend money on some other activity and get a better return? The market entry strategy
may not make commercial sense for the size of company. You should have an opinion on these
issues.
You should be in a position to influence what the exporter is going to do. For example, you might
tell the exporter, that the process is going to be much more difficult than envisaged. If the
exporter is going to engage in an activity with which you do not agree, you should say so. You
should debate the pros and cons of each option. Do you agree with the exporter's distribution
strategy? Have you seen evidence of this strategy working for other clients? What do you
recommend? Are the exporter's sales targets achievable? You will have witnessed some
exporters succeed and others fail. What did the successful ones do? Are the exporter's plans over
ambitious? You should be in a position to point the exporter in the correct direction.
The issues will be different for each product and market. No two scenarios will be the same.
See also:
Market entry strategy
Marketing plan 36
4.2.1
49
Marketing plan
Funding agencies, such as banks, lending agencies, venture capital companies, private investors,
and state agencies, are likely to ask for a marketing plan as part of the application funding.
The following headings are normally addressed in a marketing plan.
1. Objective
What is the objective? What is the exporter trying to achieve? The objective might be: "To
achieve exports of $X in Market 1 and Market 2 by 200X and to increase these exports by Y%
in 200Y".
2. Company background
One or two sentences describing the company and product/s or services. This is primarily to
inform the reader.
3. Competitive advantage
What is the exporter's competitive advantage? Why do they think they will be successful? Is
the advantage based solely on price? Design? Product quality? Logistics? Do they know their
competitors? How do they compare to their competitors?
4. Market research
Has the exporter done any market research? Is the market research realistic? Was the
market research carried out by a third party or independent agent, such as a trade
representative? Who validated the data? Is there evidence of customer acceptance and
justification for selection of the markets?
5. Marketing mix
Product
Description of the product or service.
Price
Describe the price points, mark up, and justification.
Place
What exactly are they going to do? Sell directly? Appoint a distributor or distributors? How
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are they going to locate distributors?
Promotion
What is the unique selling proposition? Why should a customer buy the product or service?
What marketing activities is the exporter going to engage in? How many visits are they
planning to the market per year? Are they planning to participate in a promotional event?
What event and why was it picked? Could they spend the money on some other activity and
get a better return? Based on your experience of local trade fairs and promotional events,
you should be in a position to influence their thinking.
See also:
Market entry strategy
49
6. Sales forecast
Are the forecasts realistic? Have you seen projections as ambitious as this elsewhere?
7. Financial forecast
Sales forecasts.
8. Resources
Marketing budget
What resources are needed to finance the marketing activities?
Staff to implement plan
Who is going to implement the plan? Who is going to do the work?
9. Review
Details of the review process
4.3
Market research
Market research is what you do when you deal with a trade enquiry from home or look for a new
outlet for a product. The process involves:
1.
2.
3.
4.
5.
6.
Preparing the research brief 38
Defining the resources needed to carry out the research
Drawing up a plan 40
Desk research and field research 40
Collating and analysing data 41
Preparation of the report 42
39
What is normally called "market research" is merely a formalised and systematic way of dealing
with a marketing problem. It aims to uncover everything that may be relevant to the market for a
particular product or service, within given resource and time constraints.
It must be emphasised that a full-scale market research study should not be lightly undertaken.
Most day-to-day market research issues can be dealt with quite adequately with less effort. In the
vast majority of cases such studies are not necessary and in many cases are a waste of time.
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The depth of the research you undertake will depend on circumstances. Only limited coverage is
normally required. Your day-to-day activities and your growing experience will suggest areas in
which work in greater depth will be called for. Here, as in all trade work, you will have to exercise
good judgement.
There will be occasions when an in-depth study should be undertaken. Your first concern should
be whether to handle such a request within the office or to engage the services of a market
research consultant.
It is very easy for an exporter to commission a major piece of market research. It may only
involve an e-mail. The request might have the effect of tying up of a trade office for days or
weeks, when all the exporter is looking for is an introduction to a buyer. You must seek absolute
clarification before committing resources to a research project.
The following are two typical examples.
Example 1:
You are asked for information on the market for raw materials or intermediate products. It
may only be necessary to advise on conditions for access to the market, to outline the
marketing channels normal to the trade, and to provide names of importers, commodity
traders or buyers.
Example 2:
You are asked to undertake a major piece of work for a food exporter. You could decide to
assess competitors' market share, report on quality, pricing, mark-ups, service, logistics,
brand image, delivery mechanisms, distribution, etc. When you get clarification you might
learn that the only thing the exporter wants is an introduction to a senior buyer in a named
supermarket chain. The exporter wants access to the buyer and is looking for a face to face
meeting. In this instance, the research will not generate the desired results. So, always seek
clarification before commencing work.
See also:
Do not over stretch 29
4.3.1
26
.
Preparing the research brief
Preparing the research brief is very time consuming and frequently undertaken by Head Office.
However, it is important that Trade Representatives should know the process, in case this task
becomes their responsibility, or so that they can check the brief to make sure that it covers all
important points.
The research brief is your blueprint for the information needed, the research methods, the
analysis, and the final report. The brief will clearly state what the problem is, and put boundaries
around it.
The brief should contain the following:
1.
2.
3.
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The name of the client. Who is going to be the beneficiary of your work? Who
commissioned the work?
A clear definition of the product or service. The exporter might have numerous products.
Which product does the study relate to?
The research objective. This should be an unambiguous statement. What is the client looking
for? Is it a reasonable request? Is it manageable and are there boundaries to it? What is the
scope of the project? Exactly what information is the exporter looking for? What should the
39
exporter be looking for?
Example:
Natural Foods Ltd wishes to identify the top three importers of XYZ, and secure introductions
to senior decision makers within each of the companies. This is a clearly defined objective.
You can sometimes define a market research brief in a few sentences or a short paragraph, but
most of the big briefs require considerably more detail.
When you have drawn up the research brief it is always a good idea to check back with the
exporter that your understanding of the problem is correct. You can do this via the e-mail system.
See also:
4.3.2
39
Defining the resources needed
Resources are:
1.
2.
3.
Time
Money
Staff
How much time do you estimate it will take to complete the task? The more experience you have
in a market the more accurate your estimates. You should put a limit to the amount of resources
allocated to a market research project. Of course if the task proves very difficult and time
consuming, you can review this. However, it is good practice to estimate it in advance.
You should inform the exporter of the amount of resources being devoted to the request. This will
demonstrate that the completion of, what appears to be, a relatively simple task may be anything
but trivial. For example, the exporter may only be looking for a single meeting with the purchasing
manager in a multinational engineering company. If you are very lucky you could set this up on
the basis of one telephone call. However, the real world does not work this way. It might take days
or weeks to get access to the individual and persuade him or her to meet the exporter. Your final
"report" might be a short e-mail message confirming the arrangements. However, it might have
taken a considerable amount of time and effort to set up the programme.
See also:
Desk research and field research
Preparation of the report 42 .
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40
4.3.3
Drawing up a research plan
Draw up a plan of what you are going to do, and how you are going to do it. The plan is an
operational framework to be altered as circumstances change. Flexibility is the key to a
successful plan.
1.
2.
3.
4.
5.
6.
7.
8.
9.
Make a list of the subjects to be covered.
Decide what information you need. List it.
Make a short list of where you think you are going to get the information. Identify information
sources and contacts that you are going to interview. There are two categories of activities.
They are referred to as Desk Research and Field Research.
Allocate certain tasks to your staff. For example, ask your assistant to check import licences
and allocate a number of interviews.
Allocate time to various tasks
Allocate time for periodic consultation with the exporter. It is important that you keep the
client informed of progress. It may be a phone call or an e-mail. If at an early stage of the
research, the indications are that the findings are likely to be negative, it is important that the
client has advance warning. The project might be cancelled.
If a group of people are working on the project as a team it is important to have regular
progress review meetings. As work progresses and new information is obtained it may be
necessary to revise the brief.
Collation and analysis of data.
Drafting and finalising the report.
Contingencies
Even the best research plan will be subject to changes. You will frequently find you have to
spend much more time than planned verifying and corroborating data. Sometimes this can
take quite a length of time, primarily due to the non-availability of interviewees. You might
decide to follow a different path after you gain some experience with the subject.
See also:
4.3.4
39
Desk Research and Field Research
There are two main categories of market research. Desk research and field research. These are
convenient labels, used by market researchers, to distinguish two distinct types of activities. The
principle reason for the distinction is that desk research is normally relatively cheap to carry out.
On the other hand, field research is an expensive activity. You could comfortably do 10 to 15
telephone interviews with distributors per day. Depending on the locations, you might not be able
to do more than 3 or 4 face to face interviews.
Desk research is sometimes referred to as secondary research, due to the fact that the
information derived from desk research is second hand. Field research is sometimes referred to
as primary research, for obvious reasons. The terms are convenient labels. They have no other
significance.
Desk research
This involves examining and collating published information. Typical sources of information
are directories, trade fair catalogues, publications, magazines, Internet, statistical
publications, etc. Much of this material will be in your office library.
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A typical activity is drawing up a list of people to interview. You will extract data from a
variety of sources, not only directories. In market segments, where you have no previous
experience, drawing up a list may take considerable time. You may even have to interview
contacts you already know, before you can identify the correct candidates.
Field research
Typical field research activities are buyer interviews, purchasing samples, and checking local
prices.
From a trade promotion perspective, this involves interviews with buyers, importers and
distributors. Some will be face-to-face interviews and others will be by telephone. Face to
face interviews are significantly more expensive to conduct that interviews by telephone. It is
likely that the majority of interviews will be by telephone.
It may be necessary to visit a number of local department stores or supermarkets to check on
pricing.
Similarly with the purchase of trade samples.
The time needed for field research will vary from project to project.
Keep detailed records
Keep detailed records of your research. Make a note of the name, title, company, address,
telephone number, and any other relevant data belonging to the people you interview.
Include a short description of the company. In some cases you will get very negative
information from an interviewee. Information you do not expect. However, from a market
research perspective there is no such thing as negative information. It may not be what the
exporter wants to hear, but it is valuable research. Keep notes of negative interviews in the
same way as you keep notes of positive interviews.
In some cases you may decide to include some of the transcripts in an appendix in your
report. In most cases multiple telephone calls will have to be made before you make contact
with the correct person. It is always useful to keep a log of these calls.
The section on Buyers and Importers
80
will tell you how to prepare for interviews.
See also:
Buyers and Importers 80
4.3.5
39
Collating and analysing data
Use tables and graphs to present data.
Not all market research reports deliver good news. You may have to advise an exporter of
negative findings. A report, where the findings are negative, requires just as thorough checking
and verification as a report where the findings are clearly positive.
Discuss your findings with a colleague. Are your recommendations sensible and supported by the
market research data? Get a second opinion.
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You should check and recheck data.
See also:
4.3.6
39
Preparation of the report
The process of writing the report can be enormously simplified if you work from a template and fill
in sections as you go along.
See the section on Writing reports
42
for more information.
An exporter business visit 59 requires a specific report layout. This is described in the section
which deals with a business mission.
See also:
Writing reports 42
4.4
39
Writing reports
One of the most important parts of your job is communicating with exporters. You communicate
by speaking to them on the telephone, sending e-mails, faxes and letters, and by sending a
report.
Your work is as much about communicating with the exporter as it is about doing things, such as
projects. Your ability to listen to the exporter, and to communicate, are key elements to being an
effective trade representative.
Whether your report consists of a single page letter or a 20 page document, you should:
1.
2.
3.
4.
5.
6.
7.
8.
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Keep sentences short.
Stick to the subject and do not pad the document with irrelevant or superfluous information.
Do not use ambiguous language or sentences. Make sure your sentences only have one
meaning.
Do not use market research jargon or other forms of techno-babble. It will cause confusion.
If the industry you are dealing with uses jargon, you can use it in your report. But sparingly.
Use the familiarity of the spoken language. In a business report there is seldom need to use
formal or legalistic language.
Itemise what you have done for the exporter, or identify the resources used to get the
information.
Read the report aloud before you send it to the exporter. Does it communicate exactly what
43
you want to say?
If it contains sensitive or contentious information, wait for 12 or 24 hours and re-read it,
before sending it to the client.
10. Print a hard copy for proof reading. Do not attempt to proof read on screen. It will not work
and you will miss many errors. Have the report proof read by a colleague. Your assistant will
spot thing that you have missed.
11. An exporter business visit 59 requires a special type of report.
9.
See also:
Exporter business visit
4.4.1
59
Format of a report
The following is a guideline for laying out a market research report:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Title Page 43
Table of Contents 43
Executive Summary 43
Recommendations 43
Introduction 43
How you approached the task / Methodology
Main body of the report 43
Appendix 43
Author / Market Research Team 43
Index 43
43
Not every report calls for this level of detail. Some of your reports will be short. See: How long
should the report be? 46
The majority of documents will be produced using a word processor, e.g. Word. Some will be
produced with PowerPoint or a similar utility. See: Word or PowerPoint? 46
The templates and styles you use should be standardised.
1. Title Page
The title should summarise your work. Do not use a title such as "Market Research in Chile".
Instead use a title such as: "The Chilean market for XYZ - A Report prepared for ABC Ltd".
Put your name, contact details and date on the title page. Use a title that is descriptive. It
should be snappy and upbeat and draw the reader into the document.
You might also use revision control. This is important if you collaborated with one or more
colleagues in drafting the document. A Rev No. (Revision Number) is a very useful device to
help track of different versions of the same document.
See also:
Tips for writing reports.
48
2. Table of Contents
A Table of Contents is a navigational aid for the reader. You should only insert a Table of
Contents in a large report. They are not necessary in smaller documents.
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44
3. Executive Summary
The Executive Summary and the Recommendations are the two most important parts of a
report. They are always read. In fact, the Executive Summary and Recommendations may
be the only sections of your report that the exporter reads.
The Executive Summary allows a reader to grasp the essence of a report without having to
read the whole document. It should describe the assignment, the work you have done, what
you have examined, your findings and the solution. You should take whatever time is
necessary to write the summary.
Use bullet points, and keep it to one page. Rarely, should the Executive Summary run to
two pages.
4. Recommendations
The Recommendations and Executive Summary are the two most important parts of a report
and are the reason the report was commissioned. You are now giving directions to the client
as to how they should address a problem or approach a market. These are the exporter's
options and these are the pros and cons of each. You should ask yourself the question: "If it
was my money would I do it?" What are the likely financial consequences of the
recommendation? Bear in mind the Profit & Loss consequences.
Your recommendations should be actionable and should give directions. You do not have to
insert an explanation or a reason. That is what the main body of the report is for.
Use bullet points or a numbered list for the Recommendations. Put the recommendations
in order of importance. Keep it to one page. Very rarely should the Recommendations run
into two pages.
5. Introduction
It is important that you identify the name of the executive who requested the report and
the context in which the work was commissioned. The introduction should explain the
thinking and objectives at the time the report was commissioned. This provides an important
insight to anybody else in the company reading the report at a later stage.
6. How you approached the task / Methodology
It is important that you include a description of how you approached the research. What
exactly did you do to get the information and to analyse it. It allows you to demonstrate how
much effort went into preparing the document. It also allows the exporter to understand that
they are getting excellent value for money.
Interim reports, either verbally or written, and draft reports, should be referred to in this
section. It goes to explain changes of course in direction of the research and to remind clients
that they were updated at each stage.
For example:
To get 20 interviews we made in excess of 50 telephone calls. The research is based on
interviews with 10 buyers in major supermarkets.
We checked back issues of trade magazines, trade fair catalogues, etc.
You should not list the companies interviewed. If you wish to include this level of detail, it
should go in an appendix.
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7. Main body of the report
This is where you describe your findings, develop an argument, analyse and arrive at the
recommendations. You defend your recommendations in the main body of the document.
Use tables, graphs and charts if applicable.
Divide the text up into logical sections. Start each section at the top of a new page.
8. Appendix
The appendix amplifies what you have already inserted in the main body of the report. It is
suitable for macro information, desk research, extracts from brochures and web sites,
statistics, interview transcripts, etc.
Lists of interviewees. Interview reports should be included in an Appendix. These are vital
pieces of information and can be referred to by the exporter. For example, interviews with
distributors or store buyers, and their reactions to a product, are extremely valuable pieces of
information for your client.
Other sources of information.
Set pieces of script describing a market sector. This is macro information.
Make sure the essential details on which you have based your recommendations are either in
the main body or in an appendix.
If it is not relevant, leave it out.
9. Author / Market Research Team
The strength of the document and its perceived value is based on the credibility of the author,
or the market research team who wrote the report.
Insert a few sentences about yourself and the members of your team. This is not a
curriculum vitae (CV). It is a few sentences that establish your credibility. For example: Let
us assume that you have undertaken a piece of work for a structural steel company or an
engineering company. The sentences could read: [Your_Name] has worked in [Market] for 3
years. Prior to joining TPO [First_Name] was a buyer with ABC Engineering Inc. Over the
past three years [First_Name]'s research activities have primarily been in the fields of
engineering goods, and agricultural products.
If it is a food company you have worked for highlight one or two pieces of information about
your experience in the food industry.
Keep it simple, short and informative. The objective is to generate credibility, and give
comfort to the reader.
11. Index
An index is a detailed navigational aid. It is much more detailed than the Table of Contents.
You will rarely insert an index in your documents.
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4.4.2
How long should the report be?
Not every report will call for the level of detail described in Format of a report
43
.
Some of your reports will be substantial documents. However, the majority will be relatively short
documents.
In a short report you should still follow the sequence detailed in Format of a report 43 . In a short
document there will be no table of contents. The Executive Summary can be reduced to a single
sentence or to a short paragraph. The recommendations can be reduced to one or two sentences.
The main body of the document could consist of a series of bullet points. There would be no
appendices.
However, you should still follow the same logical sequence.
4.4.3
Word or PowerPoint?
Not all of your reports will be prepared using a word processor. If you are presenting your findings
to the exporter, you might use a stack of Microsoft PowerPoint slides. Your "report" is a hardcopy
of the slides. If you are using PowerPoint, each section could be in a bulleted list and the layout
landscape. The sequence of slides should follow the pattern listed above. Some sections will have
multiple slides.
In some cases you might use both PowerPoint and Word. You use PowerPoint for the verbal
briefing and confirm later with a document prepared in Word.
If you are presenting the results of a piece of market research, the two key slides are the
Executive Summary and Recommendations.
4.4.4
Tips for using PowerPoint
Tips for designing slides
· Do not clutter the slides with information.
· Avoid putting too much text, too many bullets or too many numbered items on a slide.
· Too many figures and numbers are confusing. Use graphs to illustrate statistics and tables.
Insert statistics in the handouts.
· Do not put more than 7 lines on a slide, or more than 7 words on a line.
· Do not keep changing fonts. Use the same font throughout the presentation.
· Select a font and standardise on it. The default font in PowerPoint works perfectly.
· Avoid using motion, flashing fonts, animation and sound. Do not use sound to signal a change
on a bulleted or numbered list. It gets very irritating and will distract from what you have to say.
· Ensure you have only one click per slide. Try to avoid having to click the mouse for each item
in a numbered list. Think carefully before you add clicks to a slide. Ask yourself, "Is this really
necessary?"
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· Use a font size that is readable on an overhead screen. Do not use anything less than 18pts. for
the main body of the presentation. Remember the projector you will be using might be a low
resolution machine, which will make the problem worse. Take into account the size of the room.
10pts. might be too small.
· Use graphs, diagrams or pictures. However, avoid using silly clip art.
· DO NOT USE ALL CAPITALS. ALL CAPS are very difficult to read.
· Do not pre programme your presentation to switch slides after a certain amount of time.
If you are a guest speaker
· Do a dry run of the presentation for a colleague. Edit the slides based on the feedback.
· Arrive early at the location. Check the room, and check the equipment. Walk around the room
and get a feel for it.
· Check the PC, the mouse, projector and any other equipment that will use your PowerPoint file.
· If you are using your own laptop, check that the projector and your laptop are compatible and
that they work OK together. Frequently, the resolution on the laptop and the resolution on the
projector are different, and portion of the slides is cropped.
· If you are unsure about the projection equipment, do not fiddle with it. Ask your host to fix it. Be
quite firm. It is your host's responsibility.
· Go to Control Panel and then Power on your laptop, and make sure that the laptop will not
turn itself off after being inactive for a few minutes and go into Sleep Mode. Switch off Sleep
Mode. If a laptop goes into sleep mode, you might have to re-boot. Some machines take a
while to wakeup!
· Switch off the screen saver. You do not want the screen saver to come on in the middle of your
presentation.
· Do not assume that the disk you have brought with you will work on another PC or laptop. Minor
variation in disk drive speeds can make a file unreadable. You might have saved the
presentation using the latest incarnation of PowerPoint, and find the machine you have to work
with has a much older version of the software. It may not read the file.
· If you are using someone else's PC or laptop, save the presentation to the machine's hard disk.
Do no attempt to run the presentation off a floppy disk.
· Test the presentation, and make sure it works.
· Do not stare at the overhead screen during your presentation, and do not read from the
overhead screen. Position your laptop or PC where you can see it.
· Maintain eye contact with the audience.
· Do not stand in front of a projector. You will block the image.
· Prepare a fool proof backup.
· If it is important that your audience follow a handout while you speak, give out the handouts
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before you speak. If it is not important, consider distributing handouts at the end of your
presentation, not before or during the presentation.
File incompatibility and a foolproof "backup" system:
· Save copies of your presentation in several different PowerPoint file formats. On the File
menu, select Save As, and then Save as type. Save one copy in the latest version of
PowerPoint, and save copies in PowerPoint 97-200 & 95 file format and in PowerPoint 4.0
format. The most frequent cause of failure is incompatibility of different file formats. Take
several formats. One of them will work.
· Check that a different PC can read the files before you leave your office. The faulty disk drive
might be the one on your office PC.
· If you have access to web space, store copies in a private location on the web.
· Prepare a foolproof backup system. Use Index cards! Write a copy of the text of each slide
on an index card. Put a hole in the top left hand corner of the index cards. Tie them all together
with a piece of string. This ensures that if you drop them, they will still be in the correct order
when you pick them up. Carry them in you pocket. If all the technology fails, you still have notes
for your presentation.
After the presentation
· If you are using a laptop or PC provided by the host, delete your presentation from the hard
disk before you leave.
· If you are asked for a copy of the presentation, give it on a floppy, or say you will e-mail it when
you get back to your office.
· If the presentation is a large file, use WinZip to compress it, before e-mailing it. If the zip
archive is also large, telephone your host and warn of the size of the file.
4.4.5
Tips for writing reports
· Market research is the systematic collection, analysis and interpretation of market information.
· A good report format 43 takes a lot of the hard work out of writing. Start filling in sections of the
structure, before you have all of the research completed. You could start putting material into
the Appendices.
· You may have accumulated a lot of information, but if it is not relevant, do not put it in the
report.
· The most important sections are the Executive Summary and the Recommendations. The
Executive Summary should cover all of the important findings. These two sections are read by
nearly everyone who takes up the report. Spend time on them.
· The Recommendations should be actionable. It is the recommendations that the client will most
value.
· You are not writing a piece of literature or an academic thesis. Keep it short and keep it simple.
The exporter will be in a hurry and will want to grasp the essential points quickly. Do not use
padding of any description. It will take away from the value of the entire document.
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49
· Get the information onto the page quickly. Using your word processor write as the information
comes into your head. You can edit it later. If you can use a diagram or a figure instead of text
to describe something, do so.
· You will probably do three or four edits. If you are collaborating with a colleague take great care
that you do not mix up different versions of the same report. For example, you might save the
first version as My_Report_Date.doc. The next version would be My_Report_New_Date.doc.
· Make a backup of your work file. Make a backup every evening. Put it on floppy, CD, Zip, or a
server. It makes little difference. But back it up. It will only take a minute. What would you do if
the only copy of the file you have becomes corrupted?
· It is considered best practice to have reports proofread before release. Whoever writes the
report should not do the proofreading. Have a colleague proofread the document. If you cannot
get a colleague to proofread the document for you, try reading it aloud before sending it to the
client. By reading it aloud you will catch errors that you would normally miss. Do not attempt to
proof read a document on screen.
· If you are "presenting the report" consider binding your PowerPoint slides / overheads. Your
deck of slides can be the "report". If you are using PowerPoint, each section could be in a
bulleted list and the layout in landscape.
4.5
Market entry strategies
Distribution is normally a characteristic of the market. Do not assume commonality between
markets. If a distribution method works well in one market do not assume that it will also work in
another. The market characteristics may be different. There may be several distribution channels
for the same product. Some of these channels may be accessible to an exporter, others may not.
You must learn something about distribution dynamics within the market before you can advise an
exporter on distribution options.
The options available to an exporter entering a new market are:
1.
2.
3.
4.
5.
6.
7.
Distributors 50
Formation of a sales subsidiary 57 company
Direct selling 58 to major customers
The acquisition 58 of a sales or manufacturing company
Agents 58
Licensing and franchising 59
Joint venture 59
When you study a market, you might judge that the ideal market entry strategy is to establish a
sales subsidiary company. However, this option might be beyond the financial means of the
exporter. The market entry mechanism must match the resources of the exporter. It is for this
reason that it is so important to have a complete background brief on an exporter, before you
commence work.
The acquisition of manufacturing companies is increasingly popular as a market entry strategy for
Eastern Europe.
The option available to an exporter is based on a combination of the following:
The characteristics of the market
Local legalisation; the necessity of providing local after sales service; 24 hour delivery; the
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necessity to maintain local stock; regulatory standards and practices; nationalistic attitudes;
and the non-availability of suitable distributors or agents will all affect the choice of market
entry.
The resources available to the exporter
How much is the exporter prepared to invest? An exporter with cash resources could consider
the formation of a subsidiary sales company, the appointment of a resident sales
representative or an acquisition. For the vast majority of small exporters these are not
options.
The availability or non-availability of local expertise
Local expertise in a particular line of business may be very difficult to find. For example,
suitable distributors may be working for your competitors. The exporter may be forced to
open a local sales office though that may not be the first choice, or appoint an inexperienced
distributor and invest in training.
Distributors 50
Using distributors is the most common strategy and the one adopted by the vast majority of
exporters. The bulk of your work as a trade representative will be the identification of suitable
distributors for exporters.
See also:
59
Agents
Agents tend to be associated with specific industry sectors. Clothing is one example. It is a
relatively uncommon market entry option.
Licensing and franchising
Entering a market by licensing technology to a licensee or by franchising is an option
available to large companies. It is uncommon for these options to be considered by a small to
medium sized company. The exceptions are small high technology companies (software and
biotechnology being two examples) with proprietary technology and intellectual property. The
technology and know-how can be licensed.
Joint ventures
Here the process is similar to that of finding a distributor, but more complex. Such requests
are not likely to be frequent.
4.5.1
Distributors
· Research carried out by a trade representative to identify potential distributors, followed by
the preparation of an itinerary to enable the exporter to meet the distributors, is arguably the
most valuable service provided by a TPO.
· Personal visits to the market are the primary source used by successful exporters to identify
distributors. All other sources are secondary.
· A distributor purchases goods from the exporter. The distributor takes title to the goods. This is
in contrast to an agent, who does not purchase goods or take title to the goods, but acts on
behalf of the exporter and is rewarded by payment of a commission. Importer distributors
account for a very high proportion of export sales.
· Distributors sell manufactured goods to manufacturers, department stores and other retailers;
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provide warehousing and a range of services such as delivery, credit, order processing,
technical, after-sales and repair services and spare parts.
· The exporter may not have access to the distributor's customers.
4.5.1.1
What does a distributor do?
The services provided by a distributor normally include the following:
· They import products and pay the exporter. The distributors then own the goods.
· A distributor provides warehousing, access to storage facilities, and to local transportation.
· They make a profit by selling to a third party at a mark-up. The mark-up is dependent on the
product and market conditions.
· They have a sales and distribution network.
· They provide after-sales service, stock spare parts and provide technical back-up.
· The importer distributor is the exporter's customer.
· They have their own order processing and credit control systems.
· They have local market knowledge. This included selling skills unique to the local market.
· They provide market coverage at low cost and low risk to the exporter. With the correct
importer distributor the exporter can have a strong presence in the export market.
4.5.1.2
A successful exporter distributor relationship
A successful relationship with a distributor is based on:
· The level of "trust" between the two parties.
· Clearly defined business parameters, e.g. agreed sales volumes
· The frequency of market visits, particularly those in support of the distributor's sales efforts.
· The frequency of other forms of contact.
· A genuine effort to understanding the distributor's problems.
· The level of joint decision making.
You will frequently have to advise exporters on how to develop and how to improve relationships
with local distributors.
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4.5.1.3
Background information on a distributor
You should provide the exporter with a short brief on the distributor prior to any introductions. The
information you should try and get includes:
· The geographical area and market segments covered by the distributor. You may know this
from previous experience. The exporter, probably will not. For example, in a large market, such
as Germany, you should be very sceptical about claims for national distribution capability. On
the other hand it is very unlikely that a distributor in Spain will agree to share the market with a
second distributor. Your market will be unique.
· What products does the distributor currently handle? Who else do they represent?
· Who are their key customers or outlets services? Are you impressed with their trade contacts?
Can you get references or referrals from end users?
· What size is the distributor in terms of turnover? Get some information about their history and
growth. A distributor, interested in a new product range, will normally willingly give you this
information.
· How many sales people do they employ? How experienced are they? Will they need training by
the exporter?
· What warehouse, storage, or showroom facilities does the distributor have? You should visit
and check.
· It is the exporter's responsibility to explore financial arrangements, forms of payment, form of
commission, and period of appointment. With time you will gain experience of the norm in the
market. You should be in a position to give the exporter some guidance.
· How will the exporter measure performance?
· What is the exporter expecting from the distributor? How much business, in what time frame?
How will it be measured? The exporter should have a clear exit strategy in the event that the
relationship does not work and sales targets are not met. This is not always easy. Local laws
may make dissolving the relationship difficult. If is doubt, seek local legal advice.
Sometimes information is freely available. Often it can be extremely difficult or impossible to get.
It depends on the market, cultural issues, and nature of the business.
In many countries there are directories which will give information about turnover, company size,
products handled, companies represented, etc. However, do not make a decision solely on the
information in one of these directories. The information could be incorrect or misleading. Seek
corroborative evidence. In other markets financial information is available in the Companies
Offices where companies are required to register by law. The exporter should be equipped with a
short brief on each distributor.
Check the distributor's web site - if it exists. Check references to the distributor in local Internet
search engines.
There will always be gaps in the information you have on a distributor. Many are private
companies and it might be difficult, if not impossible, to get financial information. References and
referrals from major end users and potential end users of a product are useful. For example, if
you were looking for a reputable distributor of engineering components, and you were referred to
the same distributor by buyers in several large engineering companies, you could safely
recommend the distributor. This is true where you have corroborated references.
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4.5.1.4
53
Are distributors easy to find?
Good distributors always work for the exporter's competitors! The principle reason for this is that
good distributors are not "appointed" but created and developed over a period of time, where a
partnership relationship develops between the distributor and the exporter.
Distributors can be developed by exporter support programmes. It takes time, effort, attention to
detail and investment in the relationship.
4.5.1.5
Local legislation
In many markets distributors are protected by local commercial law. It may be difficult to dismiss
a distributor, particularly where an agreement has been signed. You should seek legal advice on
the amount of protection afforded local distributors. You should be familiar with the terms and
conditions of such agreements, and determine the norm within your market. Cultural factors are
likely to play a role.
The exporter should have a exit strategy, if the distributor does not perform to mutually agreed
sales targets.
You should become familiar with this subject. If necessary ask your legal advisor for a briefing.
The situation will vary from market to market.
4.5.1.6
Characteristics of distributors
· Typically, distribution companies are small family owned businesses.
· They may be less growth oriented than the exporter.
· Their loyalties will always lie with their customers.
· They serve multiple suppliers. The exporter will be one of several suppliers. Consequently the
exporter will have to compete for the distributor's attention. Effectively you must share these
resources with other suppliers.
· They may be short of finance.
· They may lack marketing and management skills and may require training and assistance from
the exporter.
4.5.1.7
Disadvantages of distributors
· A distributor limits the exporter's direct experience of the market. The exporter may have no
contact or very limited contact with the distributor's customers.
· The exporter has no permanent presence in the market.
· The exporter has limited control over the distributor's market strategy, unless this is specified in
the agreement.
· If the exporter is manufacturing and supplying a Private Label product the exporter will have no
control over market strategy.
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4.5.1.8
Identifying potential distributors
The following method will help you identify distributors.
· Observe how competitors operate in the market and approach some of their distributors.
· Speak to major customers or potential customers, buyers and purchasing personnel in the
market place and ask for their recommendations. After you have made a number of such calls,
you will find that the same names keep cropping up.
· Meet potential candidates at a trade fair. During the course of your work you will receive many
unsolicited contacts form individuals and companies offering services as a distributor or agent.
The majority of these will prove a waste of time. See: Unsolicited contacts 55 .
· Check the Internet. Use appropriate search engines. Google is excellent. However, there are
many others. Use what is the most popular in your market territory.
· Check trade directories.
· Check trade fair catalogues. They are a rich source of information.
· Consult with a Chamber of Commerce and specialised Trade Associations.
· Check specialised trade magazines – another rich source of information.
This process takes time. You will need at least four weeks' notice to identify a group of suitable
distributors for an exporter, interview them, and set up a programme for the exporter.
If you rush the process you are likely to make mistakes, or overlook vital pieces of information.
If you consult a chamber or an association, remember, that they may only recommend candidates
from within their membership. There may be many other candidates, although in some countries
membership of the chamber is compulsory for all businesses.
4.5.1.9
Selection of distributors
The success of an exporter in a new market is in large part associated with the choice of
distributor.
Selection and recruitment of distributors is a difficult and time consuming task. There is a large
element of judgement involved. Experience of past successes and failures play an important
role.
Selecting a distributor involves the following steps:
1.
2.
3.
4.
Developing a set of selection criteria with the exporter
Identifying potential candidates
Interviewing the candidates to determine interest
Preparing a business mission programme for the exporter
The exporter should visit candidates in their place of business. You should avoid arranging
meetings in hotels.
It could be six months to a year before the exporter realises that the distributor is not performing
satisfactorily. The exporter then has to unravel the damage.
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Selection criteria
· Consider a medium to small company. Very large distribution companies are not always the
ideal choice.
· Select distributors with a limited number of products.
· Avoid companies which handle competing products. The exporter may wish to try and dislodge
a competitor.
· A distributor who supplies two or three key major accounts of interest to the exporter is a prime
target.
· Distributors who handle complimentary products or services are prime candidates.
· Referrals and recommendation from buyers and distributors of non competing products are
good indicators of a distributor's reputation and standing in business.
· Attach a high premium to market knowledge, technical capability (in the case of engineering
and technical goods), enthusiasm, genuine commitment and hunger for success.
4.5.1.10 The advantages and disadvantages of large distributors
There are advantages and disadvantages associated with distributors of different size. The large
distributor should not be an automatic choice. Your job is to identify a local company that is
compatible with the exporter in terms of size, product range, personalities and expectations. It is
not always a clear cut decision.
Large distributors
Large distribution companies are constantly being approached by companies enquiring if they
would distribute their products. They do not necessarily need the exporter's business. The
exporter will be one of many suppliers. The distributor can pick and choose who they want to
work with. They are in a dominant negotiating position and may dictate terms. They may
have extensive market coverage. The large distributor may not always be the exporter's best
option. A small exporter may be much better off with a small to medium sized distributor. It is
a matter of judgement.
Small distributors
The exporter's business could be very important to a small distribution company. The
exporter will be one of a few suppliers and during the negotiation phase the exporter is in a
dominant negotiating position. If a small distributor can demonstrate association with some
key customers or with a market segment they are always an option.
4.5.1.11 Unsolicited contact from distributors
These arise from two sources:
· Letters, faxes and emails from a company or individual in an export market offering to act as an
importer or distributor.
· An approach by a company or individual at a trade fair.
In the normal course of your work you will receive many enquires of this nature from the market
place. Some will be from individuals and others from companies. You should have an automated
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respond to the vast majority of these enquires. Experience will show that the majority of such
enquires are a waste of time. Few will be worthwhile perusing.
An exporter should always run a thorough check on a company before appointing them as a
distributor. Ideally the exporter should visit the potential distributor's offices and place of business.
A walk around an office, factory or warehouse may be all the exporter needs to do to get a
picture.
4.5.1.12 What are distributors worried about?
Distributors worry that the exporter will drop them when sales reaches a certain level. They worry
that an exporter will supply some customers directly thereby bypassing them and reducing their
profit. They worry about the possibility of no long term commitment on the part of the exporter.
These worries tend to encourage the distributor to allocate a minimum amount of resources to the
exporter's product.
The exporter, on the other hand, must ensure that the distributor allocates the maximum amount
of resources to the development of the market. In other words, the exporter has to encourage the
distributor to spend money on the development of the exporter's product.
Both objectives are, to some extent, in conflict with each other. The concerns may not be
articulated. But they will always be in the mind of the distributor.
The primary cause of a deteriorating relationship between the two parties is lack of
communication.
This issue can be resolved by the exporter putting in place a distributor support programme
which demonstrates exporter commitment to the success of the distributor.
56
4.5.1.13 Distributor Support Programmes
During the course of your work you will be frequently asked about how to develop and improve
relationships with distributors.
Good relationships do not just "happen". They are developed over a period of time. Good
relationships are based on trust, reliability, understanding of each others business and mutual
respect.
A distributor support programme is a series of activities engaged in by an exporter to support a
distributor's efforts in a market place. They motivate the distributor. You should know what the
best options are in your market.
These programmes contain some or all of the following elements (the list is not exhaustive):
1. Communications
A commitment to a quick response to queries. The exporter might commit to a 24 hours
response time. If the export markets are in the Middle East or parts of Africa, where the
week-ends are Thursday afternoons and Fridays, compared to Saturdays and Sundays the
exporter might agree to offer a week-end service. In Far East you might consider a 12 hour
response.
2. Establishing trust
The exporter should refer enquires and orders received from end users in the market to the
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distributor. One of the main contributors to distributor dissatisfaction is where the exporter
goes behind the distributors back, and deals directly with customers in the distributor's
territory. (Note: The exporter might agree with the distributor to reserve one or two major
customers for direct contact. However, this is rarely a good idea, and usually contributes to
undermining the relationship.)
3. Trade Literature and Brochures
Support the distributor's sales effort by providing catalogues, sales brochures, promotional
material. Consider providing print film, photos and layout for brochures and catalogues which
can be overprinted in the local language.
See also:
Foreign language brochures and catalogues 102 .
4. Web site
The exporter's web site should contain information on the distributor and refer enquirers to
the distributor's web site.
5. Market visits
A commitment to visit the distributor on a regular basis. A visit should take place at least
once per year. The occasion should be used to discuss market trends; the activities of
competitors; customer needs; new product developments, etc. The exporter should take the
opportunity to accompany the distributor's sales representatives on visits to key customers.
6. Pricing
Pricing the product to provide a genuine financial incentive. A distributor, who is making
money, is motivated.
7. Keep the distributor informed of developments
Keeping the distributor up to date regarding new products, design changes, shipping, and
personnel changes within the exporter company. This helps promote the concept of a team.
8. Ask for advice
Actively seeking the distributor's opinion on such topics as market trends, product
preferences, design changes, etc.
9. If the job is well done, say so
Showing appreciation for a job well done. Holding a sales conference in an attractive location
to which the distributor and distributor's sales personnel are invited.
10. Training
Providing training for the distributor's sales representatives, service engineers, etc.
11. Visits from the distributor
The exporter should actively encourage the distributor to visit the exporter's plant. Obviously,
the distributor should be well treated on such visits.
4.5.2
Sales subsidiary
This is an option:
1.
2.
3.
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In the exporter's principle or main export market.
Where sales or potential sales within a market are sufficiently substantial to enable the
exporter to cover costs and make a profit.
Where the exporter cannot locate a suitable distributor. In specialised industries, this is a
58
frequent occurrence. Consequently there may be no other choice than to consider the
formation of a sales subsidiary.
See also:
Cost of running a local sales office
4.5.3
95
.
Direct selling
This is common in the engineering, electrical, electronic, sub supply, and engineering
subcontracting industries.
It is adopted where the exporter has a small number of customers in a market.
Many major department store chains in developing countries will not purchase goods through a
third party. Prices may be so tight that a commission to a third party makes the product
uncompetitive, or has the effect of reducing the store's margin.
When an exporter deals directly with an original equipment manufacturer (OEM) or with a major
department store chain, a visit by the purchaser to the exporter's manufacturing facility will
normally take place. This is referred to as a "vendor inspection". It might consist of a visit from
one individual or a group of individuals, comprising technical, financial and transportation
specialists. They are likely to check on purchasing systems, quality control procedures,
traceability of raw materials, logistics, security of the purchaser's proprietary information (e.g.
drawings, designs, etc.), and backup manufacturing facilities.
Commodity traders and brokers will deal direct with the exports and suppliers. Frequently they
employ their own quality control personnel to check on product before shipment.
In these scenarios, a middleman or third party usually has no place in this process.
See also:
Tips for dealing with buyers.
4.5.4
82
Acquisition
Normally only considered by large exporters.
You are unlikely to be involved in this process, but should be aware that in some circumstances it
is an option for achieving market access.
4.5.5
Agents
Using agents is becoming less common.
A distributor takes "title" to goods. In other words the distributor buys goods from an exporter, and
the distributor pays the exporter.
On the other hand, and agent does not take "title". The agent refers the exporter to a purchaser,
or a purchaser to the exporter. The purchaser pays the exporter, and the agent takes a
commission on sales.
You are unlikely to be involved in the location of agents.
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4.5.6
59
Franchising
Franchising is a form of marketing and distribution in which the franchiser (the exporter) grants to
an individual, company or a group of individuals, the franchise. This is the right to run a business
selling a product or providing a service under the franchiser's (exporter's) business format. The
business is identified by the franchiser's (exporter's) brand or trade mark.
For example, the McDonald's Restaurants in your market are, in all probability, franchise
operations.
You are unlikely to come across this in the course of your work.
4.5.7
Joint venture
You may get a request to locate a joint venture partner for an exporter.
The process is somewhat similar to locating a distributor, except it is much more time consuming.
Before you start such a search you will need a thorough brief as to what the exporter is looking
for. You then draw up a short list of potential candidates that meet the specification and make the
introductions.
See also:
Tips for dealing with buyers.
4.6
82
A business mission consists of a programme of business meetings for an exporter with local
importers, distributors or manufacturers. The service is highly valued by all exporters.
There are various names given to this service by different TPOs. The service is variously called:
an exporter business visit; an itinerary for an exporter; business introductions; distributor search;
introductions to buyers, etc. They are all different shades of the same service.
The meetings are arranged with pre-qualified contacts. In other words the contacts have been
interviewed to determine if they match the exporter's requirements.
A Trade Mission 64 consists of a number of exporter business visits taking part at the same
time. The group visit may be lead by a VIP.
See also:
Exporter information brief 94
Should you accompany the exporter to meetings?
4.6.1
62
Steps for preparing a business mission
1. Evaluate the enquiry
See: Evaluating an enquiry
26
and Building relationships with exporters
27
.
2. Discuss the assignment with the exporter
You can do this by telephone, e-mail, or letter. Discuss the various market entry strategies.
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For example, a food exporter may request introduction to buyers in a major supermarket
chain. If you know that certain food products are only purchased by the supermarket through
local food distributors you must discuss this with the exporter.
You must form an opinion if the exporter has opportunities in the market. If your preliminary
assessment is negative, you should advise the exporter not to travel.
3. Agree to an objective
What exactly are you setting out to do? You must agree this with the exporter, so that there is
no misunderstanding. The objective might be to identify a group of 4 distributors of food
products and set up meetings with the purchasing directors. It might be to gain access for the
exporter to the purchasing department in a major utility company. The outcome would be
only one meeting.
Only agree to an achievable objective. Do not agree to undertake a piece of work that you
know is unrealistic. For example, is it realistic for a small engineering company to sell into a
major utility company in your market? If it is unrealistic, you should renegotiate the
specification.
4. Ask the exporter for support material
The support material will vary by industry and by sector. In some cases all you need is a
product description. In other cases you will need brochures. Your experience in the market is
a key factor here.
Experience shows that the most useful information you can get is a three or four sentence
description of the product or service, highlighting benefits associated with its use.
This script is particularly useful if you are communicating with buyers by e-mail. This type of
information is difficult to get. You may have little difficulty getting pages of script and
brochures. However, these are of little use until you get the attention of the buyer.
See also:
Buyers and importers
80
.
5. Get confirmation of the dates for the visit
Get confirmation, in writing, of the dates of the visit. It is extremely important to get
confirmation of the dates on which the exporter is planning the market visit. Otherwise it is
only a matter of time before you prepare a business mission programme and, when the
programme is prepared, find that someone mixed up the dates. You will then have to cancel
all of the meetings. The meetings may not be easy to rearrange.
6. Confirm what you are going to do
Send a confirmation note to the exporter. This should state what the product or service is;
your understanding of the assignment, and a description of what you are going to do.
Confirm the dates that the programme will be organised for, and ask the exporter to send
you an e-mail confirming that the dates are correct. State how much resources the job is
going to absorb, who is going to do the job, and when the exporter may expect to receive the
report. Is there a charge for the service? If there is a charge, state what it is.
4.6.2
Example of a business mission programme
The following illustrates a layout for an Exporter Business Visit.
Introduction
Two or three sentences stating who commissioned the work, when it was commissioned, and
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what the objective is.
Executive Summary
It is usually not necessary to include an executive summary. The purpose of the document is
obvious. Use your judgement.
Recommendations
Depending on the findings of your research or your market knowledge, or experience gained
in the preparation of the programme, you may include some recommendations. For example,
you might recommend that the exporter appoints at least two distributors in your market, and
specify the geographic location where they should be based. You are the local expert, and
the exporter is relying on you for guidance. If you think a piece of information is important,
then put it in.
The recommendations should be in a bulleted or numbered list. They should not exceed one
page.
Itinerary / Business Programme
This is a series of introductions and appointments with pre-qualified business contacts. A
business mission typically lasts 2 to 3 days and includes 2 or 3 appointments per day. The
following is a typical layout for the appointments:
Template:
Date
Time
Details
Company
Executive
Company name
Address
Tel:
Mobile:
Direct Line - if available
E-mail:
URL:
Meeting location and directions:
Details of how to get to the meeting. By train or taxi.
Give details. Specify the location. Sometimes the postal
address and visiting address are different. If the
meeting is in an office building or industrial complex,
give instructions on how to locate the meeting point.
Observations:
Include comments and observations about the
company. Keep it short and snappy. A detailed brief can
be inserted in an appendix. Experience shows that an
exporter tends to keep the pages of the itinerary folded
and in his pocket. An example of a hypothetical entry
follows.
Example:
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Date
Time
Details
4 Feb 04
09.30
ABC Distribution Ltd
Mr. John Smith
Managing Director
ABC Engineering Ltd
1 Railway Road
Louisville
Tel: +123 63 30200
Mobile: +123 6330100
Direct Line: +123 63 30300
Fax: +123 63 30201
E-mail: [email protected]
URL: www.abcdistributors.com
Meeting location and directions:
This meeting will take place in ABC's offices at 1
Railway Rd. You should take a taxi from your hotel at
0830. Traffic will be heavy. Allow at least 45 minutes
journey time.
Observations:
ABC Engineering is one of the largest importers and
distributor of generators. They were established 10
years ago and now employ 20 people. They also
represent X and Y in <market>.
Mr Smith will introduce you to the financial controller,
Ms. Black and the Technical Director, Jose Garcia.
ABC Distributors have an informative web site.
Additional information
Consider adding information from your Exporter information brief 94 and a section on dealing with
local buyers 82 . This information will be very useful for first time visitors to the marketplace.
It is a matter of judgement as to what to include. Each case will be different. An exporter
information brief and a document on dealing with buyers has multiple uses, can be continuously
refined and updated, and lends itself to customisation for individual exporters.
4.6.3
Should you accompany the exporter to meetings?
It is always a good idea to attend at least one meeting with the exporter. The reasons are:
1.
2.
3.
4.
You will strengthen your relationship with the exporter, particularly if you are introducing the
exporter to the buyer or importer.
You will gain a deeper understanding of commercial issues associated with the product
sector.
Over time, these meetings will give you an in-depth understanding of commercial issues
associated with exporting to your market. Your market knowledge will increase from first
hand experience.
You will develop a closer relationship with the importer.
It is however important to remember that it is the exporter's meeting and you are present as an
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observer. In other words, let the exporter do the talking.
The exporter may ask you opinion as to how the meeting went. Give an honest assessment.
4.7
Tenders in EU
In many countries information on tenders is available electronically via the internet.
In the European Community the TED (tenders electronic daily) database contains information on
community wide tenders.
Invitations to tender for public works, services and supply contracts meeting specific threshold
criteria must be advertised throughout the European Union. This is done through the Supplement
to the Official Journal (OJS), which is published in electronic formats.
The OJS contains:
· public contracts for works, supplies and services from all EU Member States;
· utilities contracts (water, energy, transport and telecommunications sectors);
· public contracts from EU institutions;
· European Development Fund contracts (ACP countries);
· Phare, Tacis and other contracts from central and eastern Europe;
· European Investment Bank, European Central Bank and European Bank for Reconstruction and
Development financed projects;
· European Economic Area contracts (Norway, Iceland and Liechtenstein);
· contracts pursuant to the agreement on government procurement (GPA), concluded within the
framework of the (GATT)/World Trade Organisation (WTO), from Switzerland;
· notices concerning European Economic Interest Groups (EEIGs);
· public contracts for air services.
Online database
In addition to current tenders, TED, the online edition, also gives access to the archives for the
past five years of the OJ S. A single search interface allows the user to select or to enter multiple
search criteria, including geographical data, type of document, nature of contract, keywords and
more.
TED is available free-of-charge and is updated daily. The URL for TED is
http://ted.publications.eu.int .
Rev 1.90
64
4.8
Projects
Project
Comment
Trade Missions
Inward Buyer Visits
Trade Fairs
4.8.1
68
78
This is a programme for a buyer or group of buyers who visit the
home market to meet with manufacturers and suppliers. The visit
might coincide with a local trade fair. These programmes are
normally prepared by staff in head office.
The project is a national stand at a trade fair.
68
In-Store Promotions
VIP visits
Whether you have to handle a trade mission or not will depend a
great deal on the market and its importance to the exporter
community. If the market is important or a "developmental" market,
efforts will be made to run at least one trade mission to the market
per year. You will have a major role in "selling" the idea of a trade
mission. A VIP visit may coincide with a trade mission.
64
76
Relatively rare. You are unlikely to come across one of these
events.
Depending on the market you are located in, you may have several
of these per year. VIP visits are likely to coincide with a trade
mission or participation in a trade fair. In the case of a trade
mission, the VIP may act as the leader of the mission. This
presents you with a double task. You must organise individual
programmes for each of the participating companies and a
separate programme for the VIP. In the case of a trade fair, a high
profile person may "open" the exhibit, or visit the exhibit. All events
provide photo opportunities.
Trade missions
A trade mission is a number of exporters visiting a market at the same time. Occasionally the
group may be lead by a VIP.
The idea for the trade mission may come from you or from head office.
The project involves:
1. Canvassing / marketing of the event. This may be your responsibility or a joint responsibility
with head office.
2. Carrying out a preliminary assessment of the applicants. This is a judgement of the suitability
of the applicants for the mission. If in your judgement, an applicant has no prospects in the
market you must advise against travel.
3. Preparing individual business mission programmes for each exporter.
4. Preparing a programme for a VIP
5. Hiring temporary staff. If the mission is a large one, you may have to hire in temporary staff
to help you prepare the programmes.
6. Organising a briefing for the group on arrival in the market
7. Administration. This may involve organising hotel accommodation, press briefing, reception.
The success of a trade mission is entirely dependent on the quality of individual business mission
Rev 1.90
65
programmes.
Typically a trade mission will consist of 10 to 15 exporters.
See also:
Time management 86
Market Brief 92
VIP visits 78
VIPs and Trade Missions
4.8.1.1
79
Trade mission logistics
As the number of companies on a trade mission increases, so too do the logistical problems. You
Rev 1.90
66
need a system which will enable you to see all of the schedules, confirmed meetings, meetings
awaiting confirmation, time allocated to travel, functions and receptions. The schedules can be
controlled from within Microsoft Excel.
This chart illustrates progress in organising a trade mission for 3 companies over 1 day.
Obviously, the chart can be extended to cover a larger number of companies and a number of
days. In the example, Exporter 1 has a confirmed appointment with two importers / distributors,
namely Importer 1 and Importer 2. You are awaiting confirmation from Importer 3 and Importer
4. Exporter 1 has one importer who has confirmed a No Interest. The time period between
1.00pm and 2.00pm is free. The black areas represent time allocated for travel.
The chart can accommodate time allocated to official receptions.
During the course of the preparation you will receive requests to change appointment times and
dates. The chart will help you with the logistics and display where free times are.
You should design a similar chart in Microsoft Excel and modify it to suit your needs. It has
proved a very useful tool during the preparation of trade missions.
4.8.1.2
Frequently Asked Questions about trade missions
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
What is the best time to hold a trade mission? 66
How many days should a mission last for? 66
Who should the exporters meet? 66
Where should meetings take place? 66
Is it a good idea to hold a seminar to coincide with a mission? 66
Where should the exporters be based? 66
How many meetings should each exporter have per day? 66
Should a VIP travel with the mission and should the VIP have a separate programme?
Should the VIP accompany an exporter to a meeting? 66
Who should accompany the mission? 66
What is the role of the project executive during the mission? 66
What is the time frame for making the appointments and preparing the individual
programmes? 66
66
What is the best time to hold a trade mission?
It will vary from market to market. Ideal times are spring, early-summer and autumn. It is
advisable to avoid the periods from July – mid-Sept, mid-Dec to mid-Jan and Easter, the Chinese
and Iran New Year. Avoid times that coincide with religious festivals - Ramadan, Divali, public
holidays, vacation seasons, and major sporting events, particularly international football matches.
How many days should a mission last for?
A minimum of 2 days and a maximum of 3.
Who should the exporters meet?
The majority of meetings will be with importers, distributors, buyers, and purchasing personnel.
Where should meetings take place?
It is normal for meetings to take place in the office of the buyer or purchaser. Meetings in hotels
should be the exception. It is unlikely that important buyers would travel to meet exporters.
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67
Is it a good idea to hold a seminar to coincide with a mission?
Generally, no, it is a bad idea, because there are serious risks involved and experience shows
that a seminar will not usually generate business for the exporters. Do not plan to hold a seminar
during the course of the mission. Even if you secure the support of a major local institution, such
as a chamber of commerce, an industry representative organisation, or a government
organisation, attendance will be disappointing. The amount of effort needed to ensure a
reasonable attendance will distract from the effort needed to prepare the individual business
mission programmes. A seminar will divert attention away from the objective of a trade mission. It
is unlikely that senior decision makers, buyers, and purchasing personnel, will attend a seminar.
There are however, a few exceptions, when seminars/workshops can be effective: This may be
an appropriate sales technique for some services sectors e.g. education. Workshops may also be
a useful training tool, at the beginning of the mission with selected distributors and buyers being
invited to familiarize exporters with the market and purchasing patterns e.g. in the U.S. specialty
food market.
The organisation of a seminar is a project which should, if possible, be kept separate from a trade
mission.
Where should the exporters be based?
In the centre of commercial activity in your market. This may or may not be the capital city.
Ideally all of the exporters should stay in the same hotel.
See also:
Hotels 91
How many meetings should each exporter have per day?
It depends entirely on the product sector and the commercial dynamics of the sector. The majority
of exporters should have at least 3 commercial meetings per day. This will be reduced to one
meeting if it is in another city and if there is significant travel involved.
See also:
59
Should a VIP travel with the mission and should the VIP have a separate programme?
This is entirely a matter for the TPO. There is no advantage or disadvantage of having a VIP
accompany a trade mission. A VIP programme is a separate entity. The programme is dependent
on the interests of the VIP, e.g. trade policy, fiscal policy, government relations, bilateral trade,
etc.
Should the VIP accompany an exporter to a meeting?
No. This is normally a bad idea, but must be at the discretion of the trade representative and the
exporter.
Who should accompany the mission?
The TPO's project executive, or the head office executive with responsibility for the exporters.
This will also depend on the size of the mission and level of importance of the participants. In
practice it may also be used as an opportunity to make Head Office staff more familiar with the
market.
What is the role of the project executive during the mission?
To provide backup to the exporters and help the local trade representative. The project executive
Rev 1.90
68
can assist if changes have to be made to some of the programmes.
What is the time frame for making the appointments and preparing the individual
programmes?
Work on mission appointments should start 3 to 4 weeks prior to the arrival of the mission.
Normally, it is not feasible to start making appointments earlier than 4 weeks, because of the
reluctance of buyers to commit so far in advance. It will vary from market to market, but 3 weeks
would be the norm. You can, of course start the market research earlier.
4.8.2
Inward buyer visits
This is a programme for a buyer or group of buyers who visit the home market to meet with
manufacturers and suppliers. The visit might coincide with a local trade fair. These programmes
are normally prepared by staff in head office.
The level of detail assigned to these programmes is dependent on the importance of the buyer
and on their buying power.
The layout of the programme is similar to a business mission programme
4.8.3
60
.
Trade Fairs
The only logical reason for an exporter participating in a trade fair is to develop sales. The results
are dependent on whether participation in the fair is part of an overall plan for the market, and on
the correct selection of a promotional event.
There are two instances where you will be asked to assist with trade fairs.
Individual company participation.
This is where a single exporter is participating in a trade fair and you are asked to assist with
some of the preparation.
A national stand
This comprises a group of companies exhibiting on a national exhibition stand. A national
stand is usually sponsored and financed or part financed by the TPO.
It is increasingly common for a subcontractor to have the responsibility of design, shipping
and construction of a national exhibit.
In developed markets specialised trade fairs are becoming more and more important and general
fairs are decreasing in importance. Many specialists trade fairs are buyer only or trade only fairs.
General fairs continue in popularity in some African and Arab countries.
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4.8.3.1
Trade fair budget
These are typical cost elements. Note that space rental is only a fraction of the total cost.
Budget item
Rev 1.90
1
Space rental:
Estimated
Cost
$
2
Shell scheme (May be included in the space rental):
$
3
Stand design - usually an independent contractor:
$
4
Stand construction - contractor:
$
5
Rental of furniture - usually from fair organisers:
$
6
Hotels (Number of persons and number of days) Total cost:
$
7
Travel. Air fares:
$
8
Staffing costs. Are there additional staff?
$
9
Interpreters:
$
10
Brochures and literature
$
11
Demonstration products:
$
12
Shipping costs to and from fair. Plus all handling charges:
$
13
Customs clearance:
$
14
Visas and travel documentation:
$
15
Exhibitors' passes, permits. (Some may be provided free of charge):
$
16
Entry in trade fair catalogue:
$
17
Entry in electronic catalogues, fair web site, etc:
$
18
Insurance:
$
19
Telephone costs:
$
20
Security costs:
$
21
Cleaning:
$
22
Water:
$
23
Electricity:
$
24
Waste disposal:
$
25
Flowers:
$
26
Catering:
$
27
Hospitality and entertainment (Reception):
$
28
Press packs:
$
29
VIPs. Cost associated with:
$
30
Photography:
$
31
Services of free lance journalist. (Maybe included elsewhere):
$
32
Miscellaneous items
$
Less: Contribution from the exporters / exhibitors
-$
Total cost of trade fair:
$
69
70
4.8.3.2
Contribution from the exhibitors
There are numerous formulae for arriving at a figure for exhibitor contribution.
1.
2.
3.
4.
5.
TPO pays the entire cost
Percentage of the cost of space rental.
Percentage of the total cost
Fixed arbitrary amount
Entire cost
Alternatively, there may be no contribution required from the exhibitors. Instead the exhibitors
might receive a subsidy or grant to participate. The grant might contribute to the cost of air fares,
hotel accommodation, etc.
This is a policy issue.
See also:
4.8.3.3
17
Why exhibit at a trade fair?
Trade fairs are promotional events. However, they are expensive in terms of cost, time and
effort. In certain circumstances they are a waste of money.
The advantages to an exporter from participating in a trade fair are:
1.
2.
3.
4.
5.
Opportunity to demonstrate products, new technologies and services.
Opportunity to meet buyers, distributors and agents
Opportunity to support the activities of existing distributors
Helps to identify leads
Opportunity to see what the competition is doing. Get ideas for new products, packaging and
services. Gain an overview to what is happening in the sector and keep up-to-date with
industry developments.
6. Renew contact with existing clients
7. Make contact with new clients.
8. Possibility of developing contacts in multiple markets. This only holds true if the fair attracts
an international audience.
9. Efficient way of meeting a large number of people.
10. Publicity exercise. The importance of being part of a "club".
If the fair is well established, it will attract the main players in an industry. The small company
therefore benefits from being associated with large companies.
These advantages will only apply if:
The trade fair is part of the exporter's marketing plan
correct fair 71 .
72
and, the exporter is participating in the
Participation should be part of the exporter's marketing plan. Isolated promotional events are
likely to be a waste of time and money.
Rev 1.90
4.8.3.4
71
Selecting the correct fair
Trade fairs are a gathering place for industries and sectors of industries. Some cater for entire
industries. Others for sectors of industry.
CeBIT is a specialist trade fair which deals with electronics, information and telecommunications
technologies. It is held in Hannover, Germany each March and is one of the most important fairs
of its kind.
Some fairs are open to the general public while others are confined to the trade. If the fair is
confined to trade, only buyers, agents, distributors, manufacturers and press are admitted. The
general public is excluded.
Some fairs are local, and others are international. For example, CeBIT in Germany is a
specialised, international fair attracting buyers and exhibitors from all over the world.
The cost of participating in a trade fair can absorb a significant chunk of an exporter's marketing
budget. The risk involved can be reduced if you do some home work. You will then be in a much
better position to advise the exporter about the relevance of the trade fair.
· Attend the fair as a visitor. This will give you a first hand view of size, visitor traffic and product
areas.
· Talk to some local distributors. What do they think of the fair? Do they attend? How important is
the fair is the industry sector? Distributors will be quite happy to give you this opinion.
· Talk to buyers in major customer groups. The buyers could be in supermarket chains,
department stores, manufacturing industry. What do they think? Do they visit the fair? Is it
worth their while? A negative reaction for a target customer group sends a warning signal.
· Check at least two back issues of the fair catalogue. How many repeat exhibitors?
· Telephone some of the companies who exhibited at previous exhibitions, and ask their opinion
of the value of the fair? You will quickly get a reaction.
· Is the fair a national or international event? Many fairs are billed as international. However, the
reality may be quite different. Ask the fair organisers for attendance records. How many buyers,
importers, manufacturers attended? From what country? Be sceptical of attendance records
that are not broken down. Check for independent market research data on the fair attendance.
· Are your competitors exhibiting? If they are all there, it is a positive sign.
· Do your customers and distributors expect you to attend?
· How regularly is the show held? Every year? Biannually? Is this the first time the show was
held?
Ask the hard questions
1.
2.
3.
4.
5.
What is the objective of attending at this fair?
Is it part of a marketing plan?
How much is it going to cost? Can the exporter afford it?
Can the exporter achieve the objective in a more cost effective way?
If it was your money would you spend it on this trade fair?
See also:
Rev 1.90
72
Expomat
4.8.3.5
72
.
Expomark
Expomark, is the Audit Bureau of Circulation's (ABC) trade show auditing service. ABC is a notfor-profit organisation. It is the leading third party auditing organisation in the U.S.
Expomark audits exhibition attendance, attendee demographic information, records and record
keeping systems. The trade fair audit identifies key show attendance demographics, including
business and industry, product categories and geographic representation. ABC is located at:
www.accessabc.com.
They also audit publication circulation figures.
Always check if attendance figures are independently audited.
4.8.3.6
Participation should be part of a marketing plan
· A trade fair should be in competition with other promotional activities for funds. The question
must be asked. "Could the money be spent more effectively elsewhere?"
· Are you aware of the full costs? How will it affect the overall marketing budget? What
percentage of the budget is being spent on this single event?
· The activity should be part of the exporter's marketing plan. If it is not part of a marketing plan,
it is an isolated event, with no supporting activities, it is likely to fail.
· Has the exporter carried out market research in the market? Have you undertaken work for the
exporter? What were the results?
· Does the exporter have distribution in place? Is the purpose of participation to locate a
distributor? If it is, there are better and more effective ways of locating distribution. See:
Exporter business visit 59 .
· There is a significant advantage for the exporter in working with a local distributor. It shows
exporter commitment to the distributor. The distributor may contribute to the cost. See:
Distributors 50 .
· Is this the exporter's first visit to the market? Would it not be better for the exporter to visit the
market on an Exporter business visit 59 prior to the trade fair?
· What level of business can the exporter handle from the market? There may be a much
cheaper way of developing this level of business.
See also:
Marketing plan 35
Market entry strategy 49
Distributors 50
Rev 1.90
4.8.3.7
73
Objectives - be realistic
The objectives must be realistic and achievable. They might include some or all of the following:
1. To secure business
How much? Estimate it.
2. To support the activities of a local distributor
Does the exporter have local distribution in place? Will the distributor assist with the staffing
of the exhibit? Share the cost? Will the distributor help with pre-exhibition publicity?
3. To get consumer and buyer reaction to a product
There may be much cheaper ways of doing this.
4. Meet potential distributors and importers
In certain circumstances this may be a valid objective. However, from a marketing point of
view, attending a trade fair is not the best way of locating a distributor. The exporter may be
lucky. The alternative is for the TPO to carry out a distributor search and organise a series of
appointments for the exporter with prospective distributors. This is a much more effective
way of achieving this objective. See: Exporter business visit 59 .
5. Introduce and demonstrate new products
This can be a valid objective. For example, the product might be a large machine. There may
be no other ways of demonstrating it to a large audience other than at a trade fair.
6. Maintain and enhance an image within an industry sector
Depending on the industry sector, it may be necessary to be part of an annual industry event.
However, is it really necessary?
7. To raise awareness of a national brand
This may be a valid objective if you are promoting food products.
4.8.3.8
Preparation
The trend is to hand over most, if not all, of the work associated with trade fair participation to a
contractor.
1. Booking space
It will be necessary to book space in well established fairs at least 1 year in advance. The
earlier this is done the better. Prime locations are usually taken from year to year by the
same companies.
2. Hotels 91
Hotels near major trade fairs are booked out from year to year. The earlier you start looking
for hotel accommodation the better. The later you leave it the more difficult it will be. Many
fairs have a service which reserves accommodation for visitors.
3. Travel
Again it is wise to book early. Use a travel agent.
4. Location
There are two issues. Some fairs are divided into product sectors. For example, there may be
several halls or locations in the fair ground devoted to different product sectors. The exporter
must be in the correct product location. Within the location there will be prime spots, usually
along aisles and traffic routes. These are the choice locations, and are usually taken by the
Rev 1.90
74
same company from year to year.
5. Stand design and contractors
The design of an exhibit and the assembly and construction is normally handled by
contractors.
6. Catalogue and directory entries
The fair organisers will have a deadline for receipt of catalogue and directory entries. The
catalogues and directories may be available on-line.
7. Transportation and customs clearance
This is handled by sub-contractors. The TPO should normally not become involved.
8. Stand services and maintenance
These are provided on a contract basis by the fair organisers. You should check: insurance,
security, stand cleaning, electric power. In some cases you may need water. This will have to
be ordered.
9. Buyer hospitality
This is not an issue for small companies. However, larger companies may include a
hospitality area on an exhibition stand.
4.8.3.9
Promoting participation in a trade fair
Distributor
The exporter should work with the local distributor in drawing up a mailing list of existing and
potential customers. All should receive printed information on the products being exhibited.
Existing clients should receive a personalised invitation. Ideally the invitations should be
issued by a local distributor. Send the material by post. Do not send unsolicited e-mails.
PR and press
You should establish clear guidelines for handling press enquires and journalists before,
during and after the show. You may have a news worthy story. Retain the services of a PR
agency to write material targeted at specific audiences.
See also:
Issuing a press release 100 .
Press pack
Press packs should be placed in the fair's press office and provided to visiting journalists.
The supplies in the press office should be replenished every day. More frequently, if
necessary.
Brochures and trade literature
The local distributor will give guidance as to the most suitable form of trade literature.
Web site
The exporter should put a link on their home page to inform on their participation at the fair. It
should include the stand location and number, details of the products being exhibited, and a
link to the distributor's web site. Consideration should be given to include links to
downloadable brochures and literature. Downloadable documentation should be in a PDF
format.
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75
4.8.3.10 Press pack
A press pack should contain:
· Profile of the company.
· A one page (A4) description of products being exhibited. The description should emphasise at
least 2 or 3 benefits associated with each product.
· Photographs. Black & White and colour. Normally 12 x 24 cm.
· News worthy articles.
· The name of a contact person for the press. This should be someone who could be interviewed
during the course of the fair. Include a mobile telephone number and e-mail address.
See also:
Issuing a press release 100
4.8.3.11 VIP visit to a trade fair
Use it for photo opportunities to promote the show. Make sure you have a professional
photographer and be very specific as to the type of photographs you require. You probably need
no more than three or four good press photographs.
See also:
VIP visits
78
.
4.8.3.12 Evaluation of a trade fair
The evaluation is a subjective exercise. It is dependent on several factors.
1.
2.
Who carried out the evaluation?
Whether the trade fair was an isolated once-off event
If the trade fair is an isolated once-off event, and not part of a company's plan for the market, it is
very likely to give disappointing results. If the fair is part of the company's marketing plan,
participation will be supported by a series of other marketing activities, such as, visits to the
market, distributor support programmes, other promotional activities, etc.
You can evaluate the results of a marketing plan for a market. However, it is a very subjective
exercise to isolate an element of a marketing plan, in this case a trade fair, and evaluate it in
isolation. You can form an opinion, based on visitors met, leads generated, trade fair traffic,
enquires, etc.
When you are evaluating a trade fair, ask the following questions:
1.
2.
3.
4.
5.
6.
7.
Rev 1.90
Were company objectives met?
How could the management of participation be improved?
Was the location good? Was it big enough?
Were products displayed properly?
Was the exhibit staffed with the correct people?
How many leads were generated? How many were converted into sales?
Were there any sales generated that can be directly attributed to the fair?
76
4.8.3.13 Plan for the next fair
If you decide to repeat the activity, stand space and hotels should be reserved a year in advance.
By booking space a year in advance, and as a repeat exhibitor, you should be able to improve the
location you have been allocated.
4.8.4
In-Store promotions
The term "in-store promotion" covers various activities, from placing simple display material in
retail outlets to elaborate department store promotions.
Store promotions aim to:
· Persuade stores either to stock more of an established product or to give the products a larger
share of shelf space.
· Increase immediate consumer purchases of a product above normal levels.
· Promote new products by inducing stores to stock them or consumers to try them.
· Enhance the prestige of products in the eyes of the consumer and the trade by publicising their
sales in prestigious stores.
In-store promotions can be confined to a single section of a department store, such as women's
sports clothes or home furnishings, but they can extend through an entire store or chain of stores.
A major in-store promotion can run for several weeks.
An in-store promotion will include some or all of the following:
· Special display of merchandise
· Elaborate store decoration
· Supporting media advertising
· Special ceremonies
· Receptions
· Appearances of prominent persons
· In-store demonstrations
· In-store entertainment
· Contests
· Cultural events
Stores use promotional events to draw people into the store and to increase their overall sales,
not merely to increase the sales of the products being promoted.
A store promotion may be of marginal value in relation to the substantial costs involved.
Rev 1.90
4.8.4.1
77
Factors to consider in relation to in-store promotions
If a store requests your assistance in staging a promotion of your country's products, and it costs
little in time and money to provide this assistance, such as travel posters and other decorative
material, there is no reason not to assist.
However, if a more substantial contribution is involved, seek answers to the following questions
before committing yourself:
1.
Availability of merchandise
Is a sufficient supply of product available to meet the purchase needs of the promotion and to
permit longer-term growth?
2.
Exporters
How many exporters are interested in the promotion?
3.
Distribution
Do the exporters have distribution in place? This is particularly important for perishable food
products which are generally not imported directly by retailers.
4.
Market potential
Is there market potential for the products? Is the promotion likely to improve the sales of the
products?
5.
Suitability of the store
Is the store concerned the most suitable outlet for the products? You must take into account
price levels, prestige and location.
6.
Part of a marketing plan
Will the promotion fit into a marketing plan?
Remember, the store's objective in staging a promotion is to increase store turnover. The store's
interest in your country's products may be a short-term interest.
Your objective and the store's objective are quite different.
4.8.4.2
Your role in an in-store promotion
The initiative for a promotion may come from:
1.
The store - particularly a department store
2.
A supplier
3.
TPO
If the initiative comes from you or the TPO, you will have to convince the store that the promotion
is of benefit - to the store. You will first have to interest the store's merchandising director and the
appropriate buyers in a range of products.
Promotions in department stores are normally planned one-and-a-half to two years in advance.
The store will handle most, if not all, of the in-store arrangements. The following issues will arise
during the negotiations:
Rev 1.90
78
Minimum purchases
In exchange for financial support, the store should undertake to purchase a minimum amount
of merchandise. These purchases should be sold at normal terms, not shipped on
consignment. The exception could be food products when the distributor can dispose of any
surplus through other outlets.
Promotional costs
The store should undertake to spend a specific amount of money on the promotion, including
outlays for newspaper advertising and display costs, in addition to its usual publicity costs.
The store's promotional expenditure should be about five per cent of expected retail sales of
the goods promoted.
Financial assistance
The store will press for maximum financial concessions. The store is likely to seek assistance
in the form of subsidised air tickets.
It is normal for the TPO to make a financial contribution to the cost of the promotion. The
contribution can range from one to fifteen per cent or more of the value of goods purchased.
The TPO may provide display material, giveaways, special exhibits, performing artists, etc.,
as a contribution to the store's promotional costs.
4.8.5
VIP Visits
A VIP could be a government minister, a board member, or your Chief Executive. In many
cases, you will determine the status of your visitor.
The visit to your market might coincide with the arrival of a trade mission or the opening of a
trade fair.
Your embassy will most probably organise a programme for ministers and government officials.
However, if the minister or official is leading a trade mission, or opening or visiting a trade fair,
the task of preparing the briefing material and organising the programme will be your
responsibility.
There are three things you have to do:
1.
2.
3.
4.8.5.1
Prepare a briefing note 78
Coordinate press and PR activities
Attend to housekeeping 80
80
Prepare a briefing note
The briefing document should contain:
· Executive summary
Include a one page executive summary. Use bulleted or numbered list. Do not use dense text.
· VIP's itinerary
Are you responsible for preparing the VIP's itinerary? If so, include a copy.
· Biographical sketches
If the VIP is meeting important local business leaders, e.g. the director of a business
association or chamber of commerce, you should include brief biographical descriptions. Who
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they are; their background; and what they do.
· A Market Brief 92
You should have this document pre-prepared. All you have to do is to customise it for the
occasion.
· Who are the exporters?
Is the VIP accompanying exporters? Will the VIP be involved with exporters? Is the visit
coinciding with a trade fair, trade mission or reception? If the VIP is meeting exporters you
should include a half page description of each exporter using the following headings:
Name of company / participant and the names of the executives the VIP is likely to meet
A one or two sentence description of the company's product or service
The benefits associated with the company's products. One or two sentences are all that is
necessary. Keep it short. You are not trying to sell, only to inform.
Comment on the company's size. This might include number employed and turnover.
Describe the exporter's involvement in your market. Maybe this is the exporter's first visit?
A one or two sentence summary of what the TPO has done for the exporter.
Notes on a marketing issue of relevance to some of the exporters.
· Copies of business mission programmes
If the visit coincides with a trade mission, include copies of the business mission programmes
you prepared for the exporters. This will demonstrate the amount of work your office put into
organising the event.
· Speaking notes
Will the VIP have an opportunity to address a group of people? This might be after a business
lunch, or at a reception. If so, you should include speaking notes. These are always useful.
Include snippets of information and references of direct relevance to the audience. (Note: you
should not have the responsibility of writing a speech. This involves a separate skills set.
However, you can provide much of the raw material in the form of notes.)
· Your contact details
Your phone numbers and where you can be contacted after business hours.
The material should be bound, or if this is problematic, use ring binders. Make at least 10 copies.
You will always need more copies than you initially thought.
4.8.5.2
VIPs and trade missions
Should a VIP travel with a trade mission?
This is entirely a matter for the TPO. In a normal commercial environment, there is no advantage
or disadvantage in having a VIP travel with a mission.
Should the VIP have a separate programme?
Yes. The programme is dependent on the interests of the VIP, e.g. trade policy, fiscal policy,
government relations, bilateral trade, etc. You will meet a separate briefing on the VIP's
requirements. You will handle this assignment in the same way as you handle an exporter
business visit programme.
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4.8.5.3
Press and PR
· Consider organising a photo opportunity. You will need to book a professional press
photographer well in advance.
· If you want press photographs, you must supervise and check how they are captioned. Tell the
photographer exactly what you are looking for. Stay with the photographer while the
photographs are being taken. It is better to have one good usable press photograph, than
dozens of unusable photographs.
· You, in all probability, will have to set up the group for the photographer. If the photographs are
being taken at a reception, and if any member of the group has a glass or cup in hand, you
should remove it. You can do this very politely. Say, "Excuse me", remove the glass from the
person's hand while the photograph is being taken, then hand it back and say, "Thank you".
· Check, well in advance, how the photographs can be transmitted to the national and regional
press in your country.
· If you have organised a reception, you must ensure that the VIP is properly introduced. Check
local protocol and etiquette.
· At functions involving open seating, a table should always be reserved for the VIP's use.
4.8.5.4
Housekeeping
· Check hotels. Make sure the hotel knows the status of your guest.
· Check if you can get access to the VIP lounge in the airport. If the guest is a senior government
official, this can probably be organised by an embassy. Companies that provide chauffeur
driven cars usually have special facilities at an airport.
· Check transportation / cars. If necessary, have a back-up.
· Ensure that members of your staff are identifiable. Consider issuing identity badges.
· Take professional advice on security issues.
4.9
Buyers and importers
One of the most valued services offered by a TPO is introductions to importers, buyers and
purchasing managers. If an exporter fails to meet the correct buyers in a market place, there is no
possibility of business. Buyers are the key to everything you do.
The following are general characteristics of buyers, particularly those working with large
organisations, such as department store chains, supermarket chains, original equipment
manufacturers, utility companies, large distribution companies, etc. There will be slight variation
between different cultures and different industry sectors.
· Buyers are usually exceptionally well informed. Many buy globally.
· It is difficult for a new supplier to get access to a buyer and to break into a large company. The
organisation will have existing suppliers, with which they are most probably satisfied.
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· Replacing an existing vendor is a slow process. There must be a demonstrable advantage to
the product or service offered by a new vendor. A marginal price advantage may not be
sufficient to encourage the buyer to change supplier.
· A request for quotation (RFQ) may be a benchmarking exercise. It could be used to check on
the competitiveness of existing suppliers.
· A demonstration of IPR (intellectual property), know how or proprietary knowledge that has an
impact on the buyer's business will normally get the attention of the buyer.
· Large companies are interested in technology, design capabilities and logistics operations.
Customer care, quality and quality control is normally taken as given. For example, two food
suppliers may be producing the same product in the same quantities. The only thing which will
distinguish one from the other is logistics. This includes refrigeration, transportation, speed of
delivery, security, etc. Similarly, two engineering companies may manufacture identical
products, using identical machinery. Costs may be identical. It is technology, design capability,
and logistics that will differentiate one from the other.
· A buyer will change supplier only when it is safe to do so, and only where there is minimum risk.
· The exporter will have to show commitment to the market and to the account prior to securing
business. The exporter is unlikely to secure business on the basis of one visit. Buyers are
normally conservative. However, once a relationship develops, a new supplier is in a secure
position.
· The majority of large organisations will subject new suppliers to a vendor audit. This will involve
a visit by engineers, quality control and financial specialists to the exporter's manufacturing
facility. Issues that are likely to be checked are, raw material quality control and storage,
manufacturing standards, traceability, end product quality control, security of the buyer's
drawings and designs, and financial stability. Each organisation will have a unique vendor
auditing system. No two are likely to be the same.
· A new supplier may expect to start at modest levels of orders, until trust and a relationship are
established.
· Buyers tend to be very busy. There may be a large number of new suppliers vying for their
attention. It is for this reason that it can be difficult to get access to senior decision makers in
some organisations. They have full diaries and are constantly at meetings. Appointments are
sometimes scheduled a month or six weeks in advance. However, there is a process for getting
their attention.
See also:
Tips for dealing with buyers
82
.
· In many large companies the buying decision is based on consensus. The decision is made by
a group of people. In others it is concentrated in a few individuals.
· Signs of seriousness include the speed with which the buyer responds to a communication, and
a willingness by the buyer to tell the exporter about needs. As trust builds, a buyer will divulge
more information, first by identifying preferences, then by giving buying intentions, then buying
and finally showing loyalty. However, the process takes time.
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4.9.1
Tips for dealing with buyers
The following are guidelines:
· It is always an advantage to communicate in a local language. In the absence of a common
language, English is the norm in most markets.
· Buyers can be difficult to get on the phone. Time differences may play a part. The best time to
phone is early morning.
· If you phone a mobile number, immediately introduce yourself and ask the buyer if it
convenient to talk now! If the answer is "No", ask for a time to phone back.
· Be honest with buyers and do not try an mislead. You will need access over and over. Making
misleading statements will alienate the buyer.
· Always try and find out the name of the buyer's assistant or secretary. Get a direct telephone
number and an e-mail address of the assistant. This information is invaluable for setting up
follow-up meetings. The assistant will guide you in your efforts to make contact. They know the
buyer's movements and will advise as to the appropriate time for you to schedule a phone call.
They promptly answer e-mails, which is invaluable. If you send an e-mail to the buyer, copy the
assistant.
· Be careful how you word e-mails.
See also:
Using e-mail
83
to communicate with buyers.
· Telephone conversations may be short and cryptic. You must prepare very carefully for these
telephone calls. In many cases your initial objective is to avoid getting a "No, I'm not
interested!"
· There are few senior buyers and decision makers in most companies. It is safe to assume that
large numbers of new vendors are vying for their attention. You are probably one of a dozen
people trying to get access. You should bear this in mind before you make a call.
· The majority of buyers are trained in purchasing techniques. They do not waste time and
normally get down to business quickly. They are likely to ask very direct questions. Some
cultures might interpret this behaviour as blunt or abrupt. You must try and pre-empt what these
questions are, and have the answers prepared, before you make that important call.
· When you have arranged a meeting, immediately send an e-mail to the buyer, copied to the
buyer's secretary, confirming the location, date and time of the meeting. Always confirm.
· Exercise extreme caution prior to offering a gift, of any nature, to a buyer. In some countries it
may be illegal to so.
· Arrive on time for meetings. If you are unavoidably delayed, phone and explain, and give a
revised time of arrival.
· If you schedule a telephone call, telephone at the appointed time. Make a note in Outlook, and
switch on "reminders", so an alarm will go off to remind you.
· During the meeting switch off your mobile phone. In your briefing to exporters, you should
tell them also the switch mobiles off.
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· Check the format of the meeting. The buyer will normally tell you what to expect. You can insert
this information into the exporter's business mission programme.
· In large organisations, it is not unusual to have a group of people in the room. For example,
engineers, designers, production managers, quality control (QC) people, research personnel
and buyers might be represented. The more people in the room, the more serious the company
is taking the discussions, and of course the more difficult it is to coordinate diaries and set it up.
The corollary may also be true. If only one individual is in attendance, no serious discussion is
likely to take place. In which case a second meeting should be the objective.
· Send an acknowledgement after a meeting and follow-up on commitments.
· Spell the buyers name correctly. Many names contain accents and special letters. The
surnames, Kotovièa and Järvinen, and personal name, José, being typical examples. Ensure
names are spelt correctly by utilising the appropriate international character set. Spelling a
buyer's name incorrectly, by leaving out an accent, is a reflection of the exporter's lack of
attention to detail and quality.
· The telephone operators in the exporter's company should be trained to handle international
calls. The buyer should be given the names of at least two key contacts in the exporter's
company, who can take calls in the absence of the export manager. Ideally, someone who
speaks the buyer's language.
· The exporter should commit to acknowledge correspondence within 24 hours of receipt. The
acknowledgement may contain a date for a full response.
4.9.2
Using e-mail to communicate with buyers
· Unsolicited emails and spam
Do not send unsolicited e-mails. They constitute spam. Recent legislative changes in Australia,
USA and EU introduced tough new penalties against spam. The new laws come into force in
2004. Sending unsolicited e-mails is considered very bad practice. They are rarely read and are
likely to impact on your ability to gain access to the buyer.
· Ask for permission
Ask for permission before sending an e-mail to a buyer in a large company. Speak to the buyer
or the buyer's assistant by telephone, before sending an e-mail. State what the subject is, and
use that in the subject line. Remember, that buyers in large companies receive dozens of email messages per day. One of their objectives is to filter out irrelevant messages.
· The subject line
Do not use a commercial theme in the subject line. For example: "Visitor from X" will have
more impact in a subject line than, "Competitive quality steel products from X".
· Avoid sending mail to info@mail_address.com
Use individual e-mail addresses. If possible, avoid e-mails to: info@e-mail_address.com.
· Keep the message short
Keep the first e-mail short. In very exceptional circumstances should it be more than one
screen. And never on the first communication. Long e-mails at an early stage in a relationship
are not a good idea.
· Get the buyer's attention
Your objective should be to engage the buyer in a dialogue. The following are guidelines for
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your initial communication:
1.
2.
3.
4.
5.
6.
7.
8.
Do not use a commercial theme in the subject line.
Your first sentence should describe what the exporter does. One or two short
sentences are all that is required.
Next follow with one or two benefits associated with the product or service.
A one sentence reference.
Refer the buyer to the exporter's web site for further information, if appropriate. If you
are not happy with the exporter's web site, do not include the web address.
State what you want. To set up an appointment, to talk about opportunities, to visit and
show samples. What do you want?
A suggestion for follow up. For example, state that you will call the buyer on a specific
date.
One sentence, stating who you are and your involvement. Do not insert a paragraph
telling the buyer about the TPO. The buyer will not be interested!
Once you establish a dialogue you can send more elaborate information or refer the buyer to
the exporter's web site from which information can be downloaded.
· If you are attaching a document to an e-mail, ensure that it is dated, and that it contains an
address, contact telephone number and e-mail address. The document can easily become
detached from the original e-mail within the company, and would be untraceable if you omit this
information.
See also:
e-mail attachments
4.9.2.1
84
.
E-mail attachments
Occasionally you will have to send a document as an attachment to an e-mail
· Check that it is received
Check that the document has been successfully retrieved. The recipient may not be using the
latest version of Word or Excel, and may not be able to open the file.
· Attachment size
Be careful with attachment size. If the document is more that 150K in size, check that it is OK
to send. The recipient may be using a slow dial-up connection, and a large attachment could
significantly slow down the mail system, or give the impression that the mail system has
crashed.
If you must send a large document, inform the intended recipient by phone so the file is
expected, and use WinZip to compress the files.
Avoid using Word for large and complex documents. Complex documents should be converted
into an Adobe Acrobat .PDF format. You will need Adobe Acrobat to generate such documents.
Check with your IT Department.
Occasionally you will receive PDF files from exporters, containing brochures and other publicity
material. Many of these PDFs were designed for print production, and not for the electronic
distribution of information. Most likely they will contain high resolution graphics. Some of these
files may be quite large. One or more MB in size. Do not send documents of this size to a
buyer, unless the buyer specifically gives you permission to send a document of that size.
Furthermore there is no point in trying to send such files, unless the buyer has access to a fast
connection.
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V
Trade office administration
86
5
5.1
Benchmarking
Best practice in trade representation may come from organisations other than TPOs. For
example, banks, airlines and mail order organisations are likely to have considerable expertise in
customer relationship management (CRM) and database management. Construction firms,
architectural practices and consulting engineers will have expertise in project management.
If you are evaluating a particular procedure consider looking outside the wider TPO community.
5.2
Equipment
A trade office must rely on information technology for most of its work.
If the trade representative is working alone and teleworking all that is necessary to do the job is a
laptop, a mobile telephone, and access to the Internet / TPO's network.
5.3
Time management
There are two things you can do to manage your time.
1.
2.
Keep a record of how you spend time 86 . Continuously analyse the record and reduce the
amount of time spent on non-export related subjects.
pre-empt administrative tasks, and information requests. 86 You can predict the type of
information requests you will receive from senior management. Keep the information up to
date.
Keep a record of how you spend your time
You do not need a sophisticated time recording system. Design a simple system in Excel. Only
monitor time spent on major activities, such as:
1.
2.
3.
4.
5.
6.
7.
Administration
Answering head office enquires
Answering enquiries from exporters
Exporters
VIP programmes
Projects
Miscellaneous
Divide your day into 1 hour time periods. Do not record anything that takes less than one hour.
You could subdivide exporters into different categories. For example, you might monitor the time
spent on proactive 28 work for exporters. However, keep it simple and do not try to monitor more
than 10 headings. It will become too complicated. Just monitor the major items.
You will be surprised at the results.
If the percentage of your time allocated to servicing exporters falls below 50% you must re-
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evaluate how you are spending your time and make the necessary adjustments.
With a little experience you will be able to predict the type of information government and senior
management are likely to ask for. You should prepare for these requests.
Keep the information on hand. Some of the data will have a long shelf life, while other data will go
out of date very quickly.
Weeks, even months, could pass before you will get a request for some of this information.
However, if you are not prepared it is unlikely you will be able to collect the information from
scratch and respond to the request, on time. The demands on your time will be greater than you
can satisfy. The only practical way to deal with this problem is to establish a system of welldefined priorities and objectives. This is especially necessary in a small trade office.
Information you should keep up to date
At the end of the year, you are likely to be part evaluated on the speed and accuracy with which
you respond to management requests. Many of these requests can be pre-empted.
You should keep the following multi-purpose reports and data up to date:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
5.4
Client database 87
Market Brief 92
List of the exporters you worked for during the year-to-date 94
A list of non-exporters you worked for during the year-to-date 95
A description of the market conditions for the principle export sector
briefs).
List of one or two public relations agencies 91
List of accountancy companies 91
List of legal advisors 91
List of local holidays 96
Costs of running a local sales office 95
Names of journalists 92
Names of three or four independent market research consultants 96
Hotels 91
Visitor information brief 94
93
. (Market sector
Monthly reports and monthly accounts
Your head office will determine the format for your monthly report and your monthly accounts /
financial statement. Do not postpone completion of your monthly reports.
5.5
Client database
The client database is an essential monitoring, evaluation and efficiency tool.
It enables you to ascertain what resources have been devoted to the exporter, what types of
requests are being made, what markets and product sectors are most active.
· You should keep company records on the database up to date. If you undertake work for an
exporter, enter a log of the work on the database.
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· Always check the database before undertaking work for an exporter. The database should give
you information about company size and turnover, and the amount of work already
commissioned.
· Some TPOs categorise exporters into different levels of priorities. The database will give you
this information. It will help you make a judgement as to the amount of resources you should
allocate to the exporter.
· You will learn of other offices in the network who have worked for the exporter. Sometimes it is
useful to consult with a colleague regarding a new client before commencing work.
· The database will give you a history of TPO relationship with a client
5.6
Contact management
The most efficient way to manage your business contacts is to maintain the records in Microsoft
Outlook. There is a powerful Contact Manager built into Outlook. A detailed description of the
power of Outlook Contacts is beyond the scope of this manual. If you are unfamiliar with Outlook
you should invest in one of the many "how to" books that deal with the programme. You should
find them in any reputable book store.
The following is an example of a Contact Record in Outlook:
The more structured the data the easier it is to manipulate. Use the Outlook field buttons (Full
name, Phone numbers, Address) to help populate the fields. You can keep notes in the large
unlabeled box on the right hand side of the contact window.
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The Full Name button will help with the entry of name details.
Type the contact's name in the dialogue box, structuring the data according to first, middle and
last name.
This is the default dialogue for entering a telephone number. You can record up to four
telephone numbers.
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You can enter three addresses. Use the Check Address dialogue box to structure the address
correctly.
Outlook enables you to enter several address for the same contact, e.g. Business, Home, Other.
Select the drop down list box to the left of the address box and enter the new address. You can
also designate one of the addresses as the "mailing address".
You can assign a contact to any number of categories. It is unlikely that the default categories are
the ones you will use. Decide on how you want to catagorise your contacts and then set up the
categories in Master Category List.
Outlook can display contacts grouped according to the categories you have assigned.
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The blank box to the right of the address and below the email address can be used to record
notes. For example you could keep a record of conversations you had with the contact. The
choice is up to you as to what you use the note for.
More advanced users can link documents, e.g. emails and letters, to a contact record.
This in only a very brief introduction to the Contact Utility in Outlook.
Do not forget to regularly backup your Outlook data.
See also:
Office Productivity Software 110
Outlook Backup Utility 110
5.6.1
Accountancy companies
Occasionally you will be asked for introductions to financial advisors or accountancy companies.
You should maintain a list of 5 or 6 practices, with contact names in each. Some of these
consultancies may specialise in product sectors, e.g. construction. This would be of particular
interest to exporters of construction services. Provide the enquirer with several names, and let the
enquirer decide which to use.
5.6.2
Public relations agencies
Maintain a list of 4 or 5 such companies. Include some big companies and small ones, with a brief
note on each. You should establish contacts in each agency.
If you get an enquiry, refer the exporter to two companies.
You may need the services of a PR company to help you issue a press release.
See also:
Issuing a Press Release 100 .
5.6.3
Lawyers
Keep a short list of legal advisers who specialise in commercial law. Include one or two large
practices and several small ones.
Occasionally you will be asked for the name of a local lawyer. Provide the enquirer with the
names of at least two legal advisers. Let the enquirer decide which to use.
5.6.4
Hotels
You should have a list of hotels, in various price ranges, that you can refer exporters to.
You should negotiate commercial deals with a number of hotels. This will ensure that your
exporters get commercial and corporate rates.
Depending on the number of exporters that pass through you office, you could ask a number of
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hotels to bid for the business. You may have to guarantee a minimum number of room nights per
year.
5.6.5
Journalists
Identify key journalists in your area who specialise in the product sectors you work with.
For example, if the majority of your clients are food companies and construction companies, you
should know the names of journalists who work in these areas.
See also:
Issuing a Press Release 100
5.7
Market brief
During the course of your work you will be asked to prepare a brief on your market.
What is a market brief?
A Market Brief is a document which describes the key features of your market and the
activities of the TPO within the market.
It is used to brief senior management, government officials, stakeholders and VIPs on important
issues within your market.
Depending on the recipient, the document may address trade promotional issues.
It is a factual document. Sections of it may be extracted for use in press releases and for speech
material.
You may have received guidelines or templates for the preparation of a Market Brief from your
head office. If so, you must follow such guidelines.
In the absence of guidelines you should follow the suggestions in this manual.
5.7.1
Guidelines for writing a market brief
The headings are:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
Level of exports / ranking as export market / trends
TPO presence in the market
Market conditions and economic outlook
Opportunities areas for exporters
Development programmes and projects
A list of the top 10 Exporters
A list of your 10 top exporter clients
Appendix: Import / Export Statistics
Appendix: List of clients serviced by the office during the past year.
Appendix: Economic indicators (Exchange Rate; Inflation: Employment Statistics)
The document should be no more than 3 pages long, plus the appendices.
Once you have this information prepared, you can re-use it and re-package it for different
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recipients. You can use it to add value to all sorts of questions.
A market brief is time consuming to write. You are likely to be given very short notice to prepare a
market brief. So be prepared.
Use the period when you are not busy with exporters to prepare these files.
5.7.2
Example of a market brief
Level of Exports / Rank as Export Market / Trends
<Market> accounts For X% of total exports and is our tenth largest export market. In 2000
total exports to <Market> actually fell by 0.Y% from US$Xm In 1999 To US$Ym In 2000. The
main products exported to Sweden include: chemicals/ pharmaceuticals; agricultural
products; alcoholic beverages; transport equipment and electrical machinery.
Details of TPO presence in the market
Our office in <Location> is located within the Embassy. It has a full time staff of 3, which
included the trade representative, an assistant trade representative and a secretary. Our
annual operational budget is US$X.
Exporter Clients
During the past 6 months this office responded to requests for assistance from Z exporters.
The bulk of these requests are ….We set up business missions for X exporters which
resulted in the appointment of Y numbers of importer / distributors. Our market research
activities are …… List the exporters the office worked for, during a specific period, in the
appendix.
Development Programmes and Projects
Much of our work is on a "one-to-one" basis with exporters. In many cases we are supporting
companies to either enter the market (by direct sales or by appointing a distributor) or to
further develop their sales by seeking out new clients or by better managing existing ones.
Specific projects are being undertaken in areas as diverse as X, Y and Z. Group promotion
projects are: Trade Fair X, and ….. The number of companies participating in each project is:
X.
5.8
Market sector briefs
Good market sector briefs enable you to establish credibility with exporters. They are not
theoretical or academic treatises, but practical documents dealing with current market conditions.
They contain your intellectual input, interpretations and opinions. You are the local expert, and the
person that the exporter turns to for advice.
Documents of this nature do not have to be long. 3 or 4 pages are all that is necessary.
You should write briefs for the top three export sectors or categories.
For example, if the top export sectors into your market are fruit & vegetables, and construction
materials, you should have authoritative documents on both sectors. The document should
address such issues as distribution channels, competition, trends, who the main players and
importers are, and any other issues of a commercial nature. You might even include a comment
about business culture within the sector. The information is much more detailed than a Market
Brief 92 .
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During the course of your year's work, there will be times when you are extremely busy. On other
occasions there will be a lull in exporter activities. Use the quiet period to build documents on
market sectors. Start drafting the script before it is needed. Then all you have to do is to update
critical pieces of information. Do not postpone the task until you get the request.
Market sector briefs are time consuming to write. Much of the information contained in them is
based on your market experience.
The Market Brief
5.9
92
is for management and government.
Exporter information brief
In most cases all that is required is a verbal brief. This will cover such issues as local business
practices, comments on cultural differences, and other issues.
In some markets cultural differences may be so great that it warrants the preparation of a special
briefing document. For example, a European or South American visitor to India, Japan or China
would benefit from such a briefing. Similarly, a visitor from China to Europe or South America
would equally benefit.
You might include emergency telephone numbers (doctor, dentist, police, etc) your home and
mobile telephone numbers. This is a matter for your personal judgement.
As the resident trade representative, you must be the judge as to what is required.
Once you have identified the issues, and the information is assembled, it will be easy to keep
updated.
5.10
List of client exporters
This is a list, which can be organised alphabetically or by month, of exporters you worked for
during the year-to-date.
The information could form part of your monthly report, and constitutes a record of activities.
Keep the information in Excel or Access, and up date it every week, or month. You could even
keep it in a Word document. Management will ask for some or all of this information on a monthly
or quarterly basis. It is likely to be used in summary form in the Annual Report, and in reports to
the TPO's board and to government. If you do not keep this information up to date, it may prove
extremely difficult to collect after the event.
This is what you need:
1.
2.
3.
4.
5.
The names of the clients you serviced on a monthly basis
A one line description of what you did for each company. (Note: If you undertake several
assignments for the same company, make a note of each assignment.)
The results of your work – if known. In most cases the results will not be known.
The amount of time and resources devoted to each assignment. This may be difficult to
estimate. Did you devote a half-day, a full day or a week? Your time management 86 records
may have the information.
Any other comments
You could use the following headings in Excel to keep a record of the data:
Rev 1.90
Date
Exporter
Service
Mar 03
Natural Products Ltd
Distributor
2 weeks
search. Prepared
itinerary for co.
Mar 03
Paints Ltd
Mar 03
Resources Outcome
Enquiry re
Tel call
customs
clearance agents
Alpha Engineering Ltd We made
1 day
representation on
cos behalf re
certification.
Company now
working with
ABC Importers
Ltd
n/a
Problem is
solved
95
Comment
Co currently
exports
$150K.
Expect to
reach $350K
by year end.
None
This exporter
is part of a
consortium
bidding on a
construction
project.
Once the data is in Excel, it can be sorted by date, company name, or service type.
Keep a record of everything you do for exporters.
Included telephone calls to your office from an exporter. If the exporter is looking for your advice
or opinion on a marketing issue, you should always keep a record of the call.
This data is very easy to maintain, provided you keep it up to date.
5.11
List of other users
This is a list of non-exporters you worked for during the year-to-date. They could include a
chamber of commerce, an industry association, government ministry, local representational
organisation, etc.
Servicing these organisations can be very time consuming. It is important you keep a record.
5.12
Cost of running a local sales office
You should know the cost of running a local sales office. The cost headings are:
1.
2.
3.
4.
5.
6.
7.
8.
Lease on the office
Communications: telephone, fax, and e-mail
Utility charges: electricity, water, waste and other service charges
Insurance
Social security costs
Secretarial services or the cost of hiring a secretary
Cost of a sales person. Someone with approx. 5 to 10 years experience
Transportation and travel costs associated with a sales person
You will use this information during your discussions with exporters. You need good estimates or
average costs.
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96
5.13
Public holidays
You will constantly refer to a listing of public holidays. It is important to warn exporters not to visit
a market during a local holiday. They are likely to waste their time.
Also keep a list of major sporting events. An exporter visit to your market which coincides with a
major international football match, held locally, is not a good idea.
5.14
Market Research Consultants
There are several reasons why you may need the services of a market research consultant.
1. If you have more work than you can handle you can sub-contract portion to a market
research consultant. For example, you are organising business meetings for a group of 20
companies who are part of a trade mission. The consultant handles portion of the work load.
2.
You have responsibility for a large market area, e.g. China. You may even have
responsibility for several countries, e.g. Spain and Portugal; Sweden, Norway and Finland.
Or you are based in Washington and need assistance with a project on the West Coast. You
retain the services of a consultant in remote areas to give local knowledge and coverage.
The advantages of hiring local assistance are that you get market coverage at a fraction of
the cost of opening an office.
3. The project is specialised, so you retain a consultant with specialised knowledge.
5.14.1 Management of consultants
1. Guidelines are:
· The consultant works under your direction.
· The assignments are normally identical to what you do for an exporter. The majority of
these are: introductions for exporters, preparing business missions, assistance with
securing access to buyers and procurement personnel, and securing an opinion on
prospects. The assignments are normally not large market research jobs. Typically, they
will last between several hours and 5 days.
· The type of consultancy most useful to a trade representative is a small practice, or an
individual working alone. Best results are gained by working with individuals, with expertise
in a particular area. If you are looking for expertise in selling food and vegetable products
into Northern Brazil, the individual most likely to be of assistance is someone with a
background in food distribution.
· Once you build up a relationship with a consultant, and you get to trust and respect the
individual's judgements, assignments can be commissioned on the basis of a telephone
call.
· It will be necessary to draw up terms of reference for specialised assignments.
· You can work with more than one consultant in a market.
· The consultant should not accept an assignment directly from one of your exporters without
your prior written agreement. If the consultant works for an exporter without your
Rev 1.90
97
agreement, the TPO is not responsible for payment.
2. Tasks which can be assigned to a trade consultant are:
· assessing market potential for specific products
· reporting on distribution / selling systems in various market sectors
· obtaining information on an exporter's competitors
· checking standards, technical requirements and specifications
· buying samples of local products and forwarding these to named exporters or to your office
· introducing exporters to local business contacts
· preparing business mission programmes for visiting exporters
3. Other issues:
· It should be made clear from the beginning that the consultant is not an employee of the
TPO and may not bind the TPO in any way without a power of attorney having been given
in writing, in advance.
· Any specific contractual arrangements that the consultant wishes to enter into with
exporting companies must be authorised in writing, in advance.
· For all legal and practical purposes the consultant is acting as an independent contractor.
5.14.2 Where do you locate a consultant?
You can locate potential candidates by using a combination of sources. Some of these are:
· Existing distributors with whom you have a relationship. They may know of someone active in
the market area that you are interested in.
· Exporter referrals and recommendations
· Recommendation from other trade representatives in your market
Trade Consultants should be selected for their business acumen, local contacts, trading ability,
commercial track record and their ability to relate to your exporters.
The overriding requirement is that the individual is commercial, honest, has local contacts, and is
respected by client exporters.
Small consultancy practices are not easy to find. In some cases, you may have to develop an
individual to fill the role. There are no hard and fast rules.
The individual must:
· be resident in the market in question and have a good grasp of economic and commercial
issues.
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98
· understand and empathise with the scale and level of competence of your exporters.
· understand the needs of small companies.
· have realistic expectations regarding the amount of work assignments.
5.15
Managing the library
The library and Internet are the first places to look for information when you start a market
research project. A properly stocked library is an important tool.
The library will contain printed material, such as directories, catalogues, trade magazines, etc.
One of your responsibilities is to keep the material up to date. You should have an annual budget
to maintain the library. You should also have a good deal of autonomy as to what you spend it on.
A trade office library should contain the following:
1. Directories
Directories are probably the most important source of information. You should have up to
date copies of major directories relevant to your market. You will find them published by
industry associations, national and regional chambers of commerce and organisations like
Kompass (www.kompass.com). Some directories have a life span of two or three years.
Others go out of date within a year.
Information in directories is dated by the time the directory is published. Never rely on
information in a directory. It is referred to as "unqualified information". Always check it, before
using it in a report or referring an exporter to a contact you extracted form a directory. When
you have checked the information, probably by means of a telephone call, it is then
"qualified".
2. Trade magazines
There are numerous business publications that serve specific industries, trades or
professions. Their circulation tends to be relatively small but covers a wide geographical
area. They regularly publish news and other information not carried by more general
publications. They are a very important source of information. Many are free publications.
You should ensure you get on the mailing list. Where necessary, purchase copies. Industry
sectors that are likely to have several specialised trade journals are: food and agriculture,
electronics, engineering and the construction sectors. Trade magazines regularly run features
on industry issues and publish listings of top companies. You will get a lot of information from
these magazines by noting who is advertising. Many of these specialised trade magazines
rely on press releases for information.
See also:
Issuing a Press Release 100 .
3. Business journals and newspapers
Business journals and the financial section of local newspapers are important source of
information. Keep back issues. The problem with business journals and with newspapers is
that you can never find the information when you want it. You may be able to subscribe to an
on-line version of a business journal. The on-line subscription will give you access to a
searchable archive. However, on-line subscriptions can be expensive, and might put too
much of a strain on your library budget. You be the judge.
If there is nothing relevant in a newspaper or magazine, do not hold onto it. Stacks of old
Rev 1.90
99
newspapers are rarely referred to, and will only take up space in the library. Cut articles out of
newspapers and store them in folders.
4. Trade fair catalogues
You should have copies of all national and regional trade fair catalogues. Some catalogues
are much more useful than others. Some will include a listing of all agencies held by a trade
fair participant. This is valuable, particularly if it is properly indexed. A typical example is the
catalogue for CeBIT in Germany.
5. Official journals
Useful if you are monitoring government tenders. If not, they are of marginal use.
6. Customs' reports and import licences
In some markets, Spain is an example, you can get a listing of imports by category and
details of who the shipments were consigned to. This is very useful data if you are trying to
identify an importer. You will find the importers listed in the customs data. The downside is
that the consignee may not be the ultimate destination of the goods. However, it is still very
useful information.
7. Market research reports
Market research companies publish these reports. Invariably they are expensive, and of
limited use to a trade office. Before you purchase one of these reports, ask yourself the
question: Could I spend this money elsewhere and get a greater return? The reports may
cover a sector and provide statistics on sales, brand shares and the value of the market.
They have a limited audience, and go out of date quickly. The number of companies likely to
make use of one of these reports is limited. You could purchase some of these reports on a
shared basis with several exporters.
See also:
Cost sharing
19
8. Internet
You should have all of the local search engines 114 and web information sources
bookmarked.
9. Electronic directories
Directories are frequently available in electronic versions on CD-ROM. The advantages of
CD is that you have unlimited search capability. Directories you will find on CD-ROM are:
Dunn & Bradstreet
European Information Service (EIS)
European Kompass EKOD
Financial Times
McCarthy on CD ROM
Software Users Yearbook (UK)
Thomas Register
Thomas Flood Register (Dialog on disc)
World Drug Market Manual
10. On-line databases
Useful, but can be very expensive. Normally a local trade office will not subscribe to on-line
database facilities. Your head office may do so, and give you access to the information.
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100
5.15.1 Library control system
The more trade magazines, business journals, and newspapers you have in the library, the more
of a problem you will have trying to find things. You must devise a system to maintain control.
When you scan a trade magazine and come across an article that is relevant to some on your
exporters, make a note on the cover of the magazine. You might scribble: "Survey of food
importers, Page X" on the cover, or "Members of a Construction Consortium, Page XX". Before
the magazine or newspaper is filed in the library enter the information on an index card. The
index card should enable you to trace the article.
An even better way is to enter the data into Excel or into an Access Database. Remember, that
information is useless unless you can find it, when you need it.
An elaborate recording and storage system is rarely necessary.
Out of dated information is misleading. Few directories have further use after replacement by
later editions. Some books and studies have extended or permanent reference value, but most
date rather rapidly, and should be discarded.
Periodicals, trade journals and some of the complimentary publications you receive may be of
value, but if they are numerous, they can create handling problems.
Avoid clutter
The single biggest cause of clutter is company brochures and samples. Brochures go out of
date very quickly, so do not allocate library space to them. If you are going to do new work for the
exporter, get a fresh supply of company literature.
Regularly review the list of publications you pay for. If you no longer need them, cancel the
subscriptions. Do not store magazines and publications that you know will never be referred to.
5.16
Issuing a Press Release
Prior to major promotional events you will want to issue a press release. Typically these events
are a trade mission or participation in a trade fair. In the case of a trade fair you might want to
issue press information on behalf of each of the participants. At other times you might want to
issue a release on behalf of an exporter.
Writing a press release is a specialised task. The most effective way of preparing a press release
is to retain the services of a public relations (PR) agency.
If you have a background in journalism, or experience writing for the press, you could draft a
press release yourself. You must think like a journalist. However, it is not normally part of a trade
representative's job. You run the risk that it will not be picked up by the target media. The vast
majority of press releases are thrown away without being read. Even if you use the services of a
PR agency, you will have no guarantee that the release will be published. However, you
significantly increase the odds in your favour if you retain the services of a specialist.
A news editor is likely to get hundreds of press releases per day or per week. Many contain
commercial announcements and marketing blurb. Most end up in the waste paper basket. Yours
must stand out.
Concentrate on releases that match the interests of a limited number of publications rather than
on general press releases.
Rev 1.90
101
If you must write the press release yourself, follow the suggestions in Tips for writing Press
Releases 101 .
5.16.1 Send the Press Release to the correct person
Getting to know journalists can help you to gain a better understanding of their publications' needs
and to make them more receptive to publishing your press releases.
You should develop relationships with journalists who specialise in the main product sectors
you handle.
In order to ensure that the press release reaches the correct person, you should:
1.
2.
3.
4.
5.
6.
7.
8.
9.
Select the newspaper or magazine
Get the name of an individual. Is it a journalist, a news editor, a feature editor or the business
editor that you want to send the release to? Make sure you have the correct person.
Telephone and check the name, title, e-mail address and direct telephone number.
Check again that you have this information correct, before you send out the press release.
(The editor you dealt with some time ago may have changed jobs!).
Send the press release in hard copy in an envelope with a hand written name and address.
By hand writing the name and address you increase the possibility that the contents will be
read. You also increase the odds by having it hand delivered.
Send it by hand. Use a messenger or courier.
Attach your business card to the hard copy.
If you get to speak to the editor, say that the release will be hand delivered. Also tell the
editor that you will send a copy by e-mail. Make sure the e-mail is personalised.
Do not send out unsolicited e-mails.
Keep your fingers crossed, and watch the papers!
5.16.2 Tips for writing a press releases
The press release must contain news.
1. News must be:
· Factual: Avoid vague generalities
· Timely: Relate the story to some current news event.
· Meaningful: The story should be of relevance and of interest to the readers of the
publication.
2. The elements of a good press release are:
· Headline: A brief headline that identifies the subject and gives the core of the story. Limit
the headline to a maximum of 8 words.
· The first paragraph: You must grasp the editor's attention in the first paragraph. It must
contain all of the information related to your message. The paragraph should answer the
following questions:
Who?
What?
Where?
When?
Why?
Rev 1.90
102
How?
· Write in the style and format used by the publication (newspaper, magazine, or journal).
Use short, simple sentences and brief paragraphs. Each publication will have its own house
style. Adopt the relevant style. Check the style from previous publications.
· Main script: The main body of the script should develop the message further.
· Paragraphs: Keep them short. If the editor is short of space, the size of your script will be
reduced by deleting paragraphs. So make sure each paragraph contains a self contained
message.
· Contact name: Give your name, a daytime phone number and a mobile number. The
release should indicate where the editor can get further information.
5.16.3 Layout of a Press Release
The quickest way to learn about correct layout is to get several examples of successful press
releases. You will likely get this information by simply telephoning the publication and asking for a
few sample press releases. You will probably have to send someone to collect them. Alternatively
if you have a relationship with a journalist, ask for samples.
The following is a normal layout:
1.
2.
3.
4.
5.
6.
7.
8.
9.
5.17
Use paper with a heading specially printed for your press releases, with the words "News
release" or "Press release" spread across the top in fairly large type.
The name of your organisation should also be prominent, even if the release is issued by a
PR agency. If you are using a PR agency you should ensure that this happens. Your name
can go on the top of the page or the bottom, not the name of the PR agency.
Use only one side of the page.
Double space, with wide margins on either side.
Always place the date of the story at the top. If the story is not for immediate release, state
on top "Not for release until (date; time if relevant)".
No underlining. No capitals except for initials and to begin sentences and proper names. No
bold type or other fancy formatting.
If possible use a quote, and insert in inverted commas.
If the story runs over on page, put "MORE" at the bottom of each page. Staple sheets
together at the upper left corner.
At the end of the page indicate the source of the information: name, telephone, mobile, fax,
e-mail, postal address.
Trade Literature in a Foreign Language
The two occasions when you will need to translate material into a local language are:
1.
2.
3.
You are asked for assistance by an exporter
You advise the exporter to produce a brochure or a piece of literature in a local language
Entry for a trade fair catalogue
Why bother translating literature?
The exporter will always have competitors. Every means must be used to improve
competitiveness. Sales and technical literature are important marketing tools. In many instances
they are only useful if they are in a local language. This is particularly true for consumer products.
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Producing literature and brochures is expensive. Consequently the translation must be clear,
persuasive and accurate. It must be fully understood by the target audience. A poor translation is
counter-productive.
The unequivocal advice for translating literature into a foreign language is:
1. Use a native speaker.
2. Use someone familiar with the jargon used in the particular business sector.
3. Check if the local distributor or agent will do the translation. The local distributor has a
vested interest in "getting it right".
4. The exporter should have the translation proof read by their local distributor or agent.
5. Ideally, the cost of producing the literature should be shared by the distributor or agent. (This
may not always be possible.)
6. If you are going to use a Translation Agency make sure they have a technical background in
the product sector. If they do not have the jargon and background in the sector, the
translation is likely to be incorrect.
7. Before the script is printed, have it checked, and checked again, by a native speaker.
8. Do not translate the material yourself unless you have fluency, verging on native fluency, in
the local language.
5.18
Information technology
In a large organisation you will be surrounded by an information technology (IT) support structure.
If something goes wrong you can call IT Support or the system administrator, or a colleague. If a
PC or laptop goes down you will probably have access to another machine and can continue
working.
In a trade office you may not have access to this support structure. In all probability you will not. If
you are permanently linked into a network, system administration may be able to log into a PC,
diagnose a problem and fix it. You may also get head office approval and be able to hire an "on
call" local IT consultant, but this could be costly. You may not have these luxuries. Even if you
have this support structure there are certain housekeeping tasks that you must attend to. These
are:
1.
2.
3.
4.
Ensuring all reporting staff adhere to your organisation's IT policy.
Ensuring your firewall and antivirus software are up to date.
Backup your work files on a regular basis.
Test the backups.
It cannot be overemphasised the importance of regularly taking backups of your office's work
files. If a PC goes down, your system administrator or IT Support may be able to recover it.
However, if your work files are corrupted, you are likely to loose days', weeks' or maybe months'
work. If you are in the middle of an important project the consequences are obvious. So regularly
run backups. And ensure that your reporting staff does likewise.
Test the backups to ensure that you can recover the data.
In a small office the trade representative assumes the role of a "system administrator".
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5.18.1 Teleworking
The words e-working, teleworking, electronic working or telecommuting mean the same thing, and
are interchangeable. For consistency the term used here is teleworking.
Teleworking allows the trade representative to carry out tasks irrespective of location, through the
use of information and telecommunications technologies. Management culture within a TPO will
determine whether teleworking will succeed or not. Traditional hierarchical management
structures tend to equate the physical presence of an employee with work. In such organisations,
teleworking is equated with loss of management control.
Teleworking is increasingly a fact of life and is increasingly common within knowledge based
industries. Many of the most successful TPOs, manufacturing, service and consulting
organisations have adopted teleworking.
Frequently asked questions
The following are some frequently asked questions about trade promotion and teleworking:
Can a trade representative telework?
Yes. Provided:
1. You have access to information technologies
2. You have access to adequate telecommunications facilities.
3. You are an experienced trade representative.
4. You are highly motivated and have self-discipline.
5. You have adequate IT (information technology) skills and are comfortable with technology.
6. You are a good communicator.
7. You are good at time-management 86 .
What is involved in teleworking?
A trade representative engaged in teleworking:
1. Spends a substantial amount of time working outside of an office
2. Keeps in contact with exporters and head office by telephone, e-mail, and remote computer
access.
3. Can log onto the TPO's network or central computer remotely, and has remote access via the
Internet.
4. Sends and receives reports by e-mail.
Why is trade representation suitable for teleworking?
Trade representation lends itself to teleworking because:
1. It has a high level of intellectual input.
2. It involves a high level of information processing.
3. There is a clearly defined work programme.
4. Objectives and outputs are measurable.
5. The job requires a minimum of supervision.
What are the advantages of teleworking?
The advantages of teleworking are:
1. Reduced costs.
2. Saving on staff time and office space.
3. Significantly reduces travel times
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Further information on teleworking can be obtained from the International Telework Association
and Council (ITAC). This is a non-profit organisation dedicated to the growth of teleworking. You
will locate their web site at www.telecommute.org.
See also:
Establishing trade representation
16
5.18.2 IT Policy
You should adhere to your organisation's IT Policy and ensure that it is followed by all of your
reporting staff.
An IT Policy usually covers:
1.
2.
3.
4.
5.
6.
Usage of PC and laptops
Usage of the Internet
Usage of e-mail
Licensed Software. Ensure that the software installed on your office PCs and laptops is fully
licensed. It is illegal to use unlicensed software.
Non-business related software. This includes games, free software published by magazines,
disks you might receive from friends, etc. Do not install non-business related software on
office PCs. Only install evaluation copies of software you know are from reputable sources.
Rules regarding security, confidentiality of login names, user names and passwords.
If you have no formal guidelines regarding IT you should lay down some basic rules to govern the
usage of IT by your reporting staff.
5.18.3 Managing PCs
In an overseas office you may have the responsibility of managing your office PCs
The tasks you must become familiar with are:
1.
2.
3.
4.
5.
Backing up you data 105
Installing antivirus software and keeping it up to date 105
Using a firewall 105
Checking for updates to the operating system 105
Security 107
You will find Microsoft's advice on computer security at www.microsoft.com/security/product.
1. Backing up your data
PC fail, hard disks crash, laptops get stolen or dropped, files become corrupted and
unreadable. It happens and will continue to happen. Loss of critical files during the
preparation of a promotional project could result in cancellation of the project.
You should backup all PCs in your office at least once or twice per week. Run the backup at
the same time each week.
When you are working on a project, you should backup the project files on a daily basis. That
way, if anything happens, you will only loose a day's work.
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If you use Outlook, and if you are connected to a network, your Outlook data may be backed
up on a server. You should check with your system administrator, and if in any doubt run a
separate backup on Outlook. The backup will contain copies of your Calendar, E-mails,
Contacts, Notes, To Dos and Outlook Archive files. Your system administrator will tell you
how to backup Outlook data.
Use WinZip to compress data.
Test the backups. Make sure they work and that you can recover the data.
Modern PCs come equipped with CD-ROMs and utilities which will enable you to store data
to CD. A CD will typically store up to 700Mg per disk. This is a vast amount of data,
particularly if you are only storing text files.
Microsoft has recently released a Microsoft Outlook Personal Folders Backup Tool 110 . It
is a free utility which automates the backup of Outlook Personal Folder files (.pst). It is a very
useful piece of software, and it is free.
2. Installing antivirus software and keeping it up to date
Install antivirus software on all PCs and laptops.
Regularly check for updates, ideally on a daily basis. You should be able to set your antivirus
software to do so automatically. Out-of-date antivirus software means that your PC is not
protected. Antivirus software relies on regular updates to help protect against the latest
threats. You must subscribe to these updates.
3. Firewall
Before you connect office a PC to the Internet, you should install a firewall.
An Internet firewall is a piece of software or hardware that helps screen out hackers, viruses,
and worms which try to reach your computer over the Internet. Installing a firewall is the most
effective and important first step you can take to help protect your computer. It is important to
have a firewall and antivirus software turned on before you connect to the Internet.
If your computer is not protected when you connect to the Internet, hackers can gain access
to your office PC. They can install code that copies, changes or destroys files. A firewall is
one of your first lines of defence.
If you are using broadband a firewall is an absolute necessity.
4. Checking for updates to the operating system
This is important for security reasons. For example, Microsoft regularly issue security
updates. Check if the version of Windows you are using has an Automatic Updates feature. If
so, you should use it. The Microsoft Windows XP operating system includes an automatic
update feature, which can automatically download the latest Microsoft security updates while
your computer is connected to the Internet.
Microsoft Office also has an update feature. You should check for updates on a regular basis.
Many of the updates are described as "security updates".
See also:
Useful software 110 .
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5.18.4 PC and laptop security
You will find Microsoft's advice on computer security at www.microsoft.com/security/product.
Basic security measures for PCs and laptops are:
1. Choose a secure operating system. Windows 2000 Professional and Windows XP
Professional both offer secure logon, file level security, and the ability to encrypt data. If you
are running Windows 95/98/Me your files are not secure and anyone with a little knowledge
will be able to access your data.
2. Use secure passwords 107 . Do not write the password down and do not share the password
with anyone. Change your password every few months or if you think it has been
compromised.
3. If you are using Windows 2000 Professional and Windows XP Professional, encrypt your
files. It is important to encrypt files on a laptop due the increased risk of theft.
4. Use a password protected screen saver. The screen saver should be set to come on if you
leave the PC unattended for a specified period of time. Say 5 minutes.
5. Use a firewall.
6. Take special precaution to protect a laptop from being stolen.
7. Use antivirus software, and update it on a daily basis. Only use an antivirus package that you
can update via the Internet.
8. Regularly backup data, and keep the backup of data separate from you PC or laptop.
Consider keeping a backup copy of your data off-site. Test the backups to ensure that they
work and that you can recover the data.
9. Consider a third party encryption 110 programme for use on a laptop, if you have no built in
encryption utility.
See also:
Software 110
Protecting a laptop 109
5.18.4.1 Passwords
Your user name and password protect your PC or laptop and your network accounts. Passwords
are critical for computer security. Your password should be secure and difficult for a hacker to
break.
Computer hackers are extremely resourceful. Do not use a password that a hacker can guess, or
break by brute force. Brute force is a system which tries millions of possible combinations per
minute. This includes every possible combination of letters, numbers and punctuations. However,
there are certain steps you can take to make you password very difficult to break.
Do not use:
1. Any part of your name - first name, last name, or middle name.
2. Names of your wife, husband, girlfriend, boyfriend, children, or members of your family.
3. Name of your pet.
4. Your tax, national identity number, or social security number.
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5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
Do use
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
Do not:
1.
2.
3.
4.
Any variation of the numbers in your birthday.
Phone numbers, mobile numbers or addresses
Any information related to your car. For example, the license number.
Place names, such as towns, cities or monuments.
Words from the Oxford English Dictionary.
Words from Webster American English Dictionary.
Words from a dictionary in any language.
Your user name or login name.
Your computer's name.
Repetition of the same letter or number, e.g. bbbbbbb, or 222222.
Sequences of keyboard keys, e.g. qwety, or zxcvb.
Any minor variation of the above, such as, spelling your name backwards!
A combination of letters and numbers. This is called alphanumeric.
A password that is easy to remember, so you never have to write it down.
A password that you can type quickly.
Use special characters mixed with letters and numbers.
Mixed upper- and lower-case letters.
Nonsense words that are easy to pronounce but are not in any dictionary.
Six or more characters. The more characters, the more secure the password.
Change your password every few months.
Change it immediately if you suspect that someone knows it.
Common sense. Avoid letting someone observe you typing your password.
Use a password protected screen saver, which will come on if you leave your desk for a
few minutes. This will block anyone getting access to your PC and to your network
account if you leave you desk.
Give anyone your computer or network password.
Write it down
Carry it in your wallet
Share the password with anyone.
A method for choosing a secure password that is easy to remember
1. Choose a line from a poem or a song. If you are a fan of the Beetles, you will know that:
"Money can't buy you love". Using the first character of each word gives: Mcbyl.
Combine this with the year you were born or mix punctuation marks and numbers and
you have a password that will be difficult to break. For example, if you were born in
1956, you could convert: Mcbyl to Mcbyl56, or Mcbyl? or Mc56byl. (Do not use these
passwords.)
2. Alternatively, choose two unrelated words and combine them with a punctuation
character or characters. For example: bird and light. Join them like this: bird?light2. or
bird+light5. (Do not use these passwords.)
The reality is that you will have several passwords, and bank PIN numbers and you may have to
make a record of them somewhere. If you must write passwords down, make sure they are stored
in a safe place. Probably within a safe. Do not write them down on a Post It and stick it to your
monitor. Never, put your user name or user ID with your password.
Rev 1.90
109
5.18.4.2 Backups
The data on your computer is more valuable than the PC or laptop.
A PC or laptop can be easily replaced if damaged or stolen. How would you replace your data if
you had a catastrophic failure of the hard disk, or if a laptop was stolen?
What would you do if you lost all of your files?
Options for backing up data are:
1. Backup your files across a network. You may have a server in your office. If so you can
backup files to an external hard disk. Refer to your system administrator. This option may not
be available to you.
2. Copy all of your files to Zip disks. Zip disks have storage capacities ranging from 100 MB to
250 MB. You will need a zip drive to do this.
4. Copy your files to CD. The process is called "burning". Typically a RW-CD will store up to
700 MB of data. Most new PCs and laptops are, or can be, fitted with a CD burner. Blank
CDs are cheap.
5. A favourite new toy is a USB Memory Key. They plug into a USB slot. Typically they range
in storage from 16 MB to 1GB. Memory Keys are small and can fit on a key ring. You will find
information on memory keys at this web address: www.mydisgo.com. These devices are very
convenient.
If you use a compression utility, such as WinZip, you can compress files and folders, and fit
significantly more data on the storage media. For example, compression rates can be as high as
80% on Word documents.
See also:
Outlook Backup Utility 110
Software 110
5.18.4.3 Protecting a laptop
Laptops are special cases. They are easily stolen.
Many laptops are stolen from offices. It is an opportunistic theft. Take the case of where you are
working at your desk on a laptop. You leave it unattended for 1 minute, while you go to get a cup
of coffee. When you return the laptop is gone. Nobody knows where it went. Nobody has seen
anything. But the laptop, which is probably full of information you will not easily replace, is gone.
Of course, you have a backup of the information!
Never assume that your unattended laptop is safe.
Steps you can take to protect a laptop:
1.
2.
Rev 1.90
Use a Kensington Lock or a similar device. This is your first line of defence and probably
the single most important thing you can do. Most laptops are equipped with a security slot.
This allows you to attach a steel cable to the laptop and to attach the other end to your desk,
radiator, car, train seat, or some other immovable object. You can attach a Kensington Lock
to a laptop in less than 1 minute. The cable is normally 1.8m long. This system protects
against casual and opportunistic thieves. A Kensington Lock is particularly useful if you leave
a laptop in a hotel bedroom.
Switch on encryption. Windows 2000 and Windows XP Professional have a powerful
encryption system which acts as a security for drives, folders and files. The system will stop a
hacker from physically dismantling the laptop, removing the hard drive, and installing the
110
3.
4.
5.
6.
7.
hard drive on another machine. You should encrypt folders. All files within the folder are
automatically encrypted. If an encryption utility is not included in the operating system
consider a third party encryption utility. Exercise extreme caution with third party encryption
utilities, and seek professional advice. Most of the encryption utilities are so strong that if you
loose or forget your password or key, your data is gone. Forever!
Be careful with the infrared port (IR) on a laptop. It is a window into the machine. If you do
not use infrared, and you probably do not, disable the IR port. You will have to access the
BIOS to do this. A simpler way is to cover it up with a piece of tape.
Backup your files and keep the backup separate from the laptop. Do not carry the
backup in the laptop case! Test the backups, to ensure they work.
Carry the machine in a nondescript case or rucksack. Leave the fancy leather laptop
briefcases in the office.
Be particularly vigilant in hotels, restaurants and bars.
Be vigilant in airports, particularly at check-in and at security check-in.
5.18.5 Software
Certain pieces of software are absolutely essential. Other software, though not essential, is
extremely useful.
These software recommendations are based on personal experience and best information
available at the time of writing. Before installing or using any of this software you are
strongly advised to check with your system administrator.
Operating system
Microsoft Windows XP Professional. Microsoft is the market leader in office automation.
Office productivity software
Microsoft Office Small Business Edition. This includes:
Word - Word Processor
PowerPoint - Presentations graphics
Excel - Spreadsheet
Explorer - Internet Browser
Outlook. Included in Outlook are an E-mail utility, Contact Manager, Calendar and Tasks/ To
Do Manager.
StarOffice 7 is a credible alternative to Microsoft Office. It is available from Sun Microsystems
(www.sun.com/staroffice) and is extraordinary good value for money. It offers word processing,
spreadsheet, presentation, drawing, and database capabilities.
StarOffice 7 can save files in PDF format. This functionality is not currently available in Word. If
you are on a tight budget StatOffice 7 is definitely worth looking at.
Antivirus software
Essential. It is critically important that your antivirus software is kept up to data. Norton Antivirus
(www.symantec.com) is a popular antivirus utility produced by Symantec Corp.
Other antivirus software vendors are: McAfee (www.mcafee.com) and F-Prot (www.f-prot.com).
Firewall
Rev 1.90
111
Essential if you have broadband. ZoneAlarm Pro (www.zonelabs.com) is one of the more
popular. Another option is Symantec's Norton Personal Firewall 2004 Small Office Pack
(www.symantec.com).
Outlook Backup Utility
1.
2.
Microsoft Outlook Personal Folders Backup Tool 110
ABF Outlook Backup 110
These two utilities will take much of the guess work out of running a backup on your Outlook data.
Microsoft Outlook Personal Folders Backup Tool
A free utility for backing up Microsoft Outlook Personal Folders.
The tool is designed for use with Outlook 2000 and the later versions and the operating
systems that support each respective Outlook version. The tool provides a quick and easy
way to back up the Outlook information of your choice to your hard disk or network server or
share.
After you back up your information, you can copy these duplicates of your Outlook data to a
removable media such as a CD or DVD. The backup files are exact copies of the original
files and are saved in the same file format. You can receive periodic reminders to back up
your files.
You may have several Outlook Personal Folder files (.pst) on your PC. The advantages of
this tool are that you can back up all your .pst files to a single location.
Even when you have a Microsoft Exchange Server account, you can back up data to a .pst
file, which is stored locally on your computer rather than on the e-mail server.
Seek advice from your system administrator. However, remember it is your responsibility to
back up your data.
You will be able to download the Microsoft Outlook Personal Folders Backup Tool from this
location: http://office.microsoft.com/assistance/. Search for "Personal Folders Backup Tool"
to locate the link.
Alternatively, try: http://office.microsoft.com/home/default.aspx and search for "Personal
Folders Backup".
WinZip
Used for compressing files and reducing file size. Very useful if you have to transmit large files
over the e-mail system. See: www.winzip.com. WinZip is the industry standard.
Adobe Acrobat Reader
Essential. You will not be able to run your office without this utility as you will frequently come
across Acrobat files during the course of your work.
Files with extensions .PDF indicate that the file is in Portable Document Format. This format,
developed by Adobe Systems, Inc., is commonly used to make documents available online.
Company brochures, annual reports, white papers are typically posted to the web in PDF format.
In order to view PDF files, you need Acrobat Reader from Adobe. This application can be
downloaded for free from the Adobe home page at: http://www.adobe.com/products/acrobat/
Rev 1.90
112
Adobe Acrobat
Not essential, but extremely useful. You should seriously consider converting all documents and
reports to Adobe Portable Document Format (PDF) before sending them to exporters and
business contacts. It is a safe way of transmitting files over the e-mail system. It protects against
the transmission of viruses and preserves the integrity of the original document. PDF is an
industry standard. You will find Adobe Acrobat at: http://www.adobe.com.
Alternatively, your system administrator may have a licence for Acrobat and convert the
documents for you, before you transmit them to your clients. Just remember, that a PDF file
cannot normally be edited or changed. If you want to make changes you must do so to the original
source file. The source file will probable be in Word format.
Defragmentation tool - Diskeeper
A defragmentation utility. Diskeeper by Executive Software International Inc (www.diskeeper.com)
is a popular utility. A fragmented disk, where parts of files are scattered (fragmented) all over the
disk, causes the PC to slow down. The more fragmented the disk, the more noticeable the
problem.
You can set Diskeeper and forget about it. It will work in the background.
Using Diskeeper is like sending your PC to the gym everyday. It keeps it fit!
Spam Filtering Software
The filters in Outlook are becoming more and more effective at catching unwanted mail. If you
need something more robust check the Internet for anti spam utilities. Symantec's Norton
AntiSpam 2004 Small Office Pack is an option (www.symantec.com).
Anti-Spyware
If you use the internet, your are under threat from spyware. Spyware are programmes the sneak
into you PC when you are connected to the Internet. They do not ask permission. They can
monitor your surfing habits, send data about the sites you visit to third party, profile your shopping
preferences, change your browser start page or pages, alter system files, and can do this without
your knowledge or permission. The security and privacy implications are obvious. Some of the
names used to describe these programmes are: cookies, tracking software, spyware, data miners,
etc. If you are in any doubt as to the existence of these programmes on your PC you should run
an anti-spyware utility. Anti-virus software may not remove these programmes from your PC.
Further information on this subject can be found at www.safer-networking.org and on Lavasoft's
web site at www.lavasoft.de. Lavasoft has a professional anti-spyware utility Ad-Aware SE which
is designed for commercial use. Another useful anti-spyware utilities is Spybot- Search &
Destroy (www.safer-networking.org).
Many PC users install both Ad-Aware and Spybot-Search & Destroy on the same machine.
Utility for searching for files and documents
The built in file search utility in Windows XP may be the only file search utility you will ever need.
However, if you are looking for something more powerful, try Mythisoft's Agent Ransack or the
professional version, FileLocator Pro. Agent Ransack is a freeware utility. You will find these
utilities at www.mythicsoft.com.
FileLocator Pro does not build an index your hard disk. There are however many utilities that build
an index. They are extremely fast at finding information. However they can slow down a PC and
Rev 1.90
113
some commentators believe utilities that index the contents of a hard disk are a security risk. If in
doubt, check with your system administrator.
5.18.6 Useful web sites
There is a wealth of information on the Internet. You can use search engines 114 to find it.
Useful web sites are:
http://www.intracen.org/home.htm
http://www.intracen.org/menus/countries.htm
Index to Internet trade information sources
providing references and direct links to a
selection of websites covering various
aspects of international trade such as:
country profiles, market access conditions,
contact information, market news, etc.
TPONet
http://www.tpo-net.com
A virtual network of TPOs with links to over
100 leading trade promotion organisations.
Rev 1.90
European Union
Gateway to the European Union
http://europa.eu.int/index_en.htm
EuroLex
Portal to European Union law
http://europa.eu.int/eur-lex/en/index.html
Europages
European Business Directory
http://www.europages.net/
114
5.18.7 Internet search engines
The following are 13 popular search engines. You should bookmark the web addresses.
Search engine
URL and Description
1
Alltheweb
www.alltheweb.com
2
AltaVista
www.altavista.com
A very powerful search engine and one of the most popular.
3
Ask Jeeves
www.ask.co.uk and www.ask.com
4
CNET's Search.com
www.search.com
Search.com searches Google, Ask Jeeves, LookSmart and
dozens of other leading search engines.
5
Dogpile
www.dogpile.com
Dogpile uses metasearch technology to search other search
engines, including Google, Yahoo, AltaVista, Ask Jeeves,
About, FAST, FindWhat, LookSmart, and many more.
6
Euro Pages
www.euronline.fr
European Business Directory
7
EuroSeek.com
www.euroseek.com
8
Google
www.google.com
One of the most popular search engines.
9
MetaCrawler
www.metacrawler.com
MetaCrawler uses metasearch technology to search other
search engines, including Google, Yahoo, AltaVista, Ask
Jeeves, About, FAST, FindWhat, LookSmart, and many more.
Similar to Dogpile.
10
MSN Search Worldwide
http://search.msn.com
11
SnowBall
http://www.snowboll.org/search.htm
Lists dozens of search engines.
12
Yahoo
www.yahoo.com
A popular search engine.
13
Information Security
Search Engine
www.the-search-directory.com/
Check if there are search engines specific to your market. You should locate them and bookmark
the web addresses. They are indispensable for market research.
Useful links to information services and other search engines can be found on ITC's web site at:
www.intracen.org/tirc/welcome.htm
Rev 1.90
Part
VI
Annex
116
6
Annex
6.1
Frequently Asked Questions
How do I print the manual?
Open Trade_Reps.pdf using Adobe Acrobat. You will then be able to print a copy of the manual,
including a Table of Contents, and Index. This file will give you an attractive printout. You cannot
edit a PDF file.
How do I install Help on my PC?
If you are running Windows 98, or any later version of Windows, install HTML Help.
1.
2.
3.
4.
5.
6.
Create a new folder on your PC.
Locate the folder HTML Help and open it.
Copy Trade_Reps.chm to the new folder on your PC.
Double click on Trade_Reps.chm.
The Help engine will open and run the file.
You can put a shortcut to this file on your desktop.
I am running Windows 95 on an old PC. What are my options?
You must install Classic WinHelp.
1.
2.
3.
4.
5.
6.
Create a new folder on your PC.
Locate the folder WinHelp and open it.
Copy the following two files to the new folder on you PC: Trade_Reps.cnt and
Trade_Reps.hlp.
Double click on Trade_Reps.hlp.
The Help engine will open and run the file.
You can put a shortcut to this file on your desktop.
How do I create a shortcut?
1. Right click on the file.
2. Select Create Shortcut
3. Now drag the Shortcut to your desktop.
I would like to add some material and notes to the manual. How can I edit the manual?
You can edit the rich text file with most word processors, and with all versions of Word. You will
find the rich text file in the Word folder.
Because of the nature of rich text, the file contains very limited formatting. However, you can
edit, add and delete at will. You can print this file, but it will not give you an attractive output.
Keep a copy of the original - just in case!
Can I have the manual customised?
Yes. You should contact Philip Williams in ITC, Geneva who will help you. You will find Philip at:
[email protected].
How can I install the manual on an intranet?
Rev 1.90
Annex
117
You will have to transfer all of the HTML files. You will find these in the folder entitled: HTML.
This is a specialised operation. If in any doubt, you should talk to your system administrator.
Can I edit the HTML files?
Yes, you can. Make sure you know what you are doing, and keep a backup of the originals.
I have suggestions on how the material can be improved. Who do I contact?
ITC welcomes your suggestions and feedback on how to improve and update this material. You
should e-mail your suggestions to: Philip Williams at [email protected]. Please refer to the
Document Title and Revision No. in you correspondence.
How old is the manual and can I get an update?
You will find this information in the Forward. It is also located in the footer of the printed manual.
Updates are available from ITC.
Rev 1.90
Index
cost sharing 17, 19
policy issues 17
recovery of expenses
time based 19
Index
-Bbackups 48, 109
benchmarking 86
bilateral chambers of commerce 24
board of the TPO 25
brochures and trade literature 74
building relationship with clients 27
business journals 98
business leaders 23, 24, 78
business mission 59, 60
examples 60
how to prepare a 59
buyers 80, 82
inward visits 68
tips for dealing with
82
-CCD 6
Classic Winhelp
HTML 6
HTML Help 6
PDF 6
Word RTF 6
6
CeBIT 71
charging for services 17, 18, 19
assignment bases 19
cost recovery 18
Copyright
17
Classic Winhelp 6
client database 87
client exporters 94
client satisfaction surveys 31
clients 14, 26, 27, 35, 94
building relationships 27
consultation 35
importance of listening 27
influencing 35
who are they? 14
-Aaccountants 34, 86, 91
acquisitions 58
Ad-Aware SE 110
Adobe Acrobat 83, 110
agents 58
anti-spyware 110
antivirus software 110
Asociacion de Consejeros Economicos y
Comerciales de America Latina 23
assignment based charging for services
119
19
commercial attaché 6
commercial representative 6
communicating with exporters 42
communications with clients 28
company database 86
competition between trade representatives
confidentiality 27
consultancy services 17, 19
charging 17, 19
15
consultants 86, 96, 97
locating 97
managing 96
market research 86, 96
consultation 26
consultation with a client 35
consultation with an exporter 35
consultations with industry 31
contact management 24, 88
contributors 9
cost recovery 18
cost sharing 19
CRM 86
customer relationship management
customs brokers 24, 34
customs reports 98
86
-Ddatabase 15, 26, 27, 63, 86, 87, 98, 100, 110
library control system 100
defragmentation tool
desk research 40
110
120
developing maket knowledge 23
different file formats
116
direct selling 58
directories 98
distribution strategy 35
distributor agreements 53
distributors 26, 50, 51, 52, 53, 54, 55, 56, 74
background information on 52
characteristics 53
disadvantages 53
dismissing 53
finding a 53
idenfitying 54
large vs small 55
non-performance 53
relationship with 51
selection criteria 54
support programmes 56
unsolicited contact from 55
what they do 51
worries 56
Dunn & Bradstreet
98
-Eelectronic directories 98
e-mail 83, 84
attachments 83, 84
usage 83
-Ffeedback to exporters 28
field research 40
financial consultants 34
financial incentives 19
Financial Times 98
firewall 110
foreign trade representative
franchising 59
6
-G-
embassy 16
enquiries 23, 26, 34
evaluating 26
responding 34
sent to all offices 26
General Agreement on Tariffs and Trade (GATT)
8
government 25
enquiries from exporters 86
entertainment 23
equipment for a trade office 86
EuroLex 113
Europages 113
European Information Service (EIS)
European Kompass (EKOD) 98
European Union 63, 113
Official Journal 63
OJS 63
tenders 63
evaluating enquiries 26
evaluation of TPO activities
experience 23
Expomark 72
export of services 29
export performance as a measure of TPO
performance 31
exporter business missions 23
exporter business visit 59
exporter information brief 94
exporters 15, 25, 26, 27, 35, 42, 62, 94
accompanying to meetings 62
building relationships 27
communicating with 42
consultation 35
enquiries from 26
establishing a relationship with 15
influencing 35
the importance of listening 27
31
-H98
hospitality and entertainment
host community 24
hotels 91
HTML 6
HTML Help 6
23
-Iimport licences 40, 98
importance of trade promotion
12
Copyright
Index
importers 25, 80
machinery 25
raw material 25
-M-
importing into the home country 6
income 31
measure of performance 31
managing PCs 105
Manual for trade representatives
printing 6
industry representative organisations 25
information technology 103, 104, 105
policy 105
teleworking 104
market brief 86, 92, 93
example 93
guidelines for writing 92
institutional setting 13
in-store promotions 76, 77
factors to consider 77
guidelines 76
negotiating guidelines 77
the role of the trade representative
International Trade Centre 8, 113
internationally traded services 29
Internet 98
Internet search engines 114
inward buyer visit 68
ITC 8, 113
-Jjoint projects 31
joint ventures 59
journalists 86, 92, 100
-Kkeep this information up to date
keeping track of work 34
-Llaptops 109
lawyers 34, 91
legal advisors 86, 91
library 98, 100
clutter 100
indexing 100
listening 27
local commercial law 53
local sales office 86, 95
Copyright
121
86
77
6
market conditions 86
market enquiries 55
unsolicited 55
market entry strategies 49
acquisition 49
agent 49
direct selling 49
distributor 49
franchising 49
joint venture 49
licensing 49
sales subsidiary 49
market knowledge 62
developing 62
market research
analysis 41
brief 38
contingencies
desk research
field research
plan 40
report 42
report writing
resources 39
37, 38, 39, 40, 41, 42
41
40
40
41
market research consultants 86, 96
market research reports 98
market sector briefs 93
marketing plan 26, 35, 36, 72, 75
diagnostic tool 35, 36
trade fairs 72, 75
markets 15
what market to concentrate on
McCarthy on CD ROM 98
meetings 62
meetings with clients 27
meetings with exporters 28
Microsoft Office 110
monthly reports 87
15
122
trade fairs 64
trade missions 64
VIP visits 64
-N-
promotional event 64
trade mission 64
naming files 48
national stand 68
networking 23
newspapers 98
promotional events
store promotions
trade fairs 64
VIP visits 64
-O-
proof reading 48
protecting a laptop 109
public holidays 86, 96
public relations agencies
objective of the manual 6
official journals 98
OJS 63
on-line databases 98
operating system 110
operational policy issues 14
Outlook 24, 110
Outlook Contacts 88
overstretching 29
passive indicators 31
passwords 107
PC and laptop security 107, 109
backups 109
passwords 107
protecting a laptop 109
31
46
PR 74
PR agencies 91, 100
press 74
press pack 74, 75
press release 100, 101, 102
layout 102
tips for writing 101
printing the manual 116
proactive 12, 28, 86
projects 64
store promotions 64
86, 91
-R-
-P-
PDF 6
performance measurement
photographs 80
policy issues 13, 14
PowerPoint 46, 48
tips for using 46
ultimate backup system
64, 68, 100
64
range of services 17
relationship with host community 24
relationship with stakeholders 25
reports 41, 42, 43, 46, 48, 87
appendices 43
backup you work files 48
executive summary 43
format 43
index 43
introduction 43
length 46
methodology 43
monthly 87
PowerPoint 48
proof reading 42, 48
recommendations 43
revision control 48
Table of contents 43
tips for writing 48
use of padding 43, 48
use of PowerPoint 43
use of Word 43
version control 48
writing 41, 42, 43
representational activities 23
research assignments 23
responding to enquiries 34
role of a trade representative 22
Copyright
Index
-Ssales subsidiary 57, 95
search engines 114
search utilities 110
security 107
selection of markets 15
senior management 25
services 29
export of 29
software 83, 110
Adobe Acrobat 83
WinZip 83
Software Users Yearbook (UK) 98
spam filtering 110
speaking engagements 23, 46
speed 12
the importance of 12
Spy Sweeper 110
Spybot - Search & Destroy
spyware 110
stakeholders 25
StarOffice 110
store promotions 64
successful exporters 26
Sun Microsystems 110
110
trade journals 98
trade literature 74, 102
translating 102
trade magazines 98
trade missions 64, 65, 66
frequently asked questions
logistics 65
VIP 64, 66
66
trade policy 6, 13, 66, 79
trade promotion 12
importance 12
teleworking 104
tenders 24, 63, 98
EU 63
trade promotion organisations
institutional setting 13
19
TPONet 113
trade attaché 6
trade commissioner 6
trade fair catalogues 98
trade fairs 64, 68, 69, 70, 71, 72, 73, 74, 75, 76
budget 69
Copyright
70
trade office 16, 17, 86
equipment 86
establishing 16
location 16
services 17
-TThomas Flood Register 98
Thomas Register 98
time based charging for services
time management 86
TPO 17, 95
services 17
users of services 95
contribution from the exhibitors
decision to exhibit 70
evaluation 75
Expomark 72
general 71
independent audits 72
marketing plan 72, 75
objectives 73
planning 76
preperation 73
press pack 74, 75
promotion 74
selecting 71
specialist 71
VIP 74, 75
web site 74
123
13
trade representative 6, 12, 24, 25
profession of 12
relationship with host community 24
relationship with stakeholders 25
role 22
translations
102
-UUN 8
UNCTAD/WTO 8
unsolicited enquiries
55
124
-VVIP 64, 66, 74, 75, 78, 79, 80, 92
hotels 80
management issues 78
preparing a briefing document 78
press and PR 78, 80
trade fairs 74, 75
trade missions 79
transportation 80
visits 64
visits to exporters
28
-Wweb sites
useful
113
113
Why the publication? 6
WinZip 83, 110
Word 46
Word RTF 6
World Drug Market Manual
writing reports 48
98
Copyright

Manual for Trade Representatives

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