2021-07-20
What do you need to know in advance?
Export trends
Entrepreneurs who plan to engage in foreign trade export can determine the products or product groups with potential in the foreign market within a period of time by analyzing the export trends (countries, regions and commodities). A study of trends over a five-year period is expected to produce very useful information.
Production capacity and product supply
Foreign trade exporters should choose products with sufficient production capacity in the country and be able to purchase the required quantity of products. Therefore, a stable supply base is essential to ensure that exporters are able to deliver goods to foreign buyers in accordance with the agreed delivery schedule.
Product adaptability
The same product may have great export potential in a market. However, in another market, the same product offered may leave a blank. The reason is very simple: physical conditions, functional requirements, cultural factors, consumer taste, technical level and technical development level may be different, so it needs to be improved in the products provided in another market.
If you want to succeed in foreign markets, you often need to change the design, color, size, taste, packaging and so on. This process of change is called product adaptability. Therefore, product adaptability is an important factor in the selection of export products.
Demand in potential export markets
The demand level of the target export market is an important factor in the selection of export products. The potential of products in the market can be evaluated by referring to the impact of the following dimensions:
1. Population and physical environment
2. Political environment
3. Economic environment
4. Social and cultural environment
5. Market access
6. Product potential
Trade restrictions
A country may impose restrictions on imports from other countries in the form of licensing or other quantitative restrictions. It has been observed that some countries have begun to impose import restrictions on certain areas. These countries are also resorting to anti-dumping duties, countervailing duties or safeguard duties to protect their domestic industries. Exporters should know whether these restrictions apply to products to be exported in the target market.
Export incentives
Exporters are likely to offer incentives to boost exports. These incentives involve tax rebates, duty-free import facilities for raw materials and other inputs required for the production of export products, and the import of capital goods to promote export at the concession rate of import tariff. These incentives should be taken into account when deciding on exports.
Quality and niche marketing
Some studies on import and export trade show that enterprises with sustained growth in sales and overall profits tend to emphasize quality and focus on niche markets.
In addition to the above contents that can be learned in advance before selecting products for foreign trade export, we can also pay attention to the hot selling products of major cross-border e-commerce platforms, but at the same time, we should also pay attention to the intellectual property rights of products to avoid corresponding legal risks.
Entrepreneurs who plan to engage in foreign trade export can determine the products or product groups with potential in the foreign market within a period of time by analyzing the export trends (countries, regions and commodities). A study of trends over a five-year period is expected to produce very useful information.
Production capacity and product supply
Foreign trade exporters should choose products with sufficient production capacity in the country and be able to purchase the required quantity of products. Therefore, a stable supply base is essential to ensure that exporters are able to deliver goods to foreign buyers in accordance with the agreed delivery schedule.
Product adaptability
The same product may have great export potential in a market. However, in another market, the same product offered may leave a blank. The reason is very simple: physical conditions, functional requirements, cultural factors, consumer taste, technical level and technical development level may be different, so it needs to be improved in the products provided in another market.
If you want to succeed in foreign markets, you often need to change the design, color, size, taste, packaging and so on. This process of change is called product adaptability. Therefore, product adaptability is an important factor in the selection of export products.
Demand in potential export markets
The demand level of the target export market is an important factor in the selection of export products. The potential of products in the market can be evaluated by referring to the impact of the following dimensions:
1. Population and physical environment
2. Political environment
3. Economic environment
4. Social and cultural environment
5. Market access
6. Product potential
Trade restrictions
A country may impose restrictions on imports from other countries in the form of licensing or other quantitative restrictions. It has been observed that some countries have begun to impose import restrictions on certain areas. These countries are also resorting to anti-dumping duties, countervailing duties or safeguard duties to protect their domestic industries. Exporters should know whether these restrictions apply to products to be exported in the target market.
Export incentives
Exporters are likely to offer incentives to boost exports. These incentives involve tax rebates, duty-free import facilities for raw materials and other inputs required for the production of export products, and the import of capital goods to promote export at the concession rate of import tariff. These incentives should be taken into account when deciding on exports.
Quality and niche marketing
Some studies on import and export trade show that enterprises with sustained growth in sales and overall profits tend to emphasize quality and focus on niche markets.
In addition to the above contents that can be learned in advance before selecting products for foreign trade export, we can also pay attention to the hot selling products of major cross-border e-commerce platforms, but at the same time, we should also pay attention to the intellectual property rights of products to avoid corresponding legal risks.
