Author Question: What is the process of setting an export price?[br][br][b][color=green]Question ... (Read 88 times)

Bernana · **on:** Jun 29, 2018

What is the process of setting an export price?

Question 2

In TCO for a service, _____ include all costs associated with the performance of the service that are not included in the purchase price.
a. invoice costs
b. usage costs
c. acquisition costs
d. end of life costsend of life costs
e. interest costs

asware1 · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

The process of setting an export price must start with the determination of an appropriate cost baseline and should include variables such as export-related costs to avoid compromising the desired profit margin. The quotation needs to spell out the respective responsibilities of the buyer and the seller in getting the goods to the intended destination. The terms of sale indicate these responsibilities but may also be used as a competitive tool. The terms of payment have to be clarified to ensure that the export will indeed get paid for the products and services rendered. Facilitating agents such as freight forwarders and banks are often used to absorb some of the risk and uncertainty in preparing price quotations and establishing terms of payment.

Answer to Question 2

b