There are five (5) stages of export involvement:
Stages of export involvement
- Partial interest in exporting: Company fills unsolicited export orders but makes no effort to explore the feasibility of exporting regularly.
- Exploring exporting: Company actively explores the feasibility of exporting but currently exports less than 5% of its total sales.
- Experimental exporter: Company exports on an experimental basis to countries that either is geographically close to it or has a culture similar to its own. Exports represent more than 5% of its total sales.
- Experienced exporter with limited scope: Company is experienced and exports more than 5% of its total sales. It adjusts export offerings optimally in response to changes in the foreign environment (for example, exchange rates, tariffs, etc.), although it still exports only to countries that either are geographically close to it or have cultures similar to its own.
- Experienced exporter: Company is experienced and exports more that 5% of its total sales. However, it also explores the feasibility of exporting to either country that are not geographically close or have cultures dissimilar from its own.
Related Content of Import-Export:
- What is the Definition of Import?
- General Procedure of Import Trade
- Documents used in Import Trade
- What is the Definition of Export?
- Procedures for Export Trade
- Documents used in Export Trade
- Standard Terms of Sale