International Trade Questions And Answers

Question:

I have read through you info on this site and found it very informative.

In regards to due diligence as well as doing the checks by cold calling and checking their website, is there a pack which I should put together to ensure the least risk possible.

Any pointers in the right direction would be much appreciated as these people can seem very trustworthy and I myself or employees of mine can have a set procedure in place to make sure we have covered ourselves as well as we possibly could.

Answer:

I am not aware of a 'package' of details that you can check, except for the resources we have compiled on our company page at: http://www.importexporthelp.com/company.htm which you and your employees are free to use any time - just scroll down the page until you see the "Due Diligence" sub-title.

These are not all that are available, I am sure, but if you follow that list you should be able to find any negative details on someone, if there are any on record.

I am not sure if you are in the USA or not, but the US has a program through their embassies that you can pay a couple of hundred dollars to have the embassy rep do a background check on the potential importer.

Another thing you can do is ask for references of other businesses they have dealt with and then actually contact those references. I know of one supplement manufacturer who would not even bother following up a lead if they would not provide them with at least one reference.

You will want to cross reference the reference also to make sure you aren't calling the guys brother or brother in law who is in on the deal with him.

Last, confirmed letters of credit (LOC) are about the safest way to go when it comes to payment, but they are often very difficult to get and much more expensive than regular LOC's.

Ultimately there are no guarantees of keeping you from getting ripped off. I have personally talked with several exporters and importers who had worked for some time with their buyers/sellersin smaller quantity orders. Then a larger order comes in and they end up never getting paid for it or if they are the importer, they send the money and never receive the merchandise.

This last type of deal is the old confidence game where they use small orders to gain your confidence, pay for them up front or shipthem right away and then hit you with a big order which is never paid for and you can never seem to find the person in their office at any time.

It is an unfortunate fact of business life (and personal) that you have to approach every transaction as if it is a fraudulent one and be very firm in your requirements of the other party.

Fraudsters are everywhere - in every country - unfortunately much of the scams come from the very countries that need legitimate trade the most and they are in Africa.

Many (not all) people have come to realize Africa is the main origin for the fraudulent activities so many of the fraudsters have now resorted to faking emails and other correspondence with actual names of legitimate companies in China or India.

The fraudsters will use the actual graphics or letterhead from a legitimate company but place their (the fraudster's) email or phone number (which is usually forwarded) in the correspondence.

Another fraudster technique is to use a color copier to duplicate an actual money order or cashiers check from a legitimate bank. Looks legit, you deposit it, have the goods shipped only to find out about 3-4 weeks later when you get a call from the bank telling you it has been returned. Guess what - it isn't the bank's responsibility and they will take you to court, if necessary, to get the funds from you.

Your qualification requirements have to be so firm that most fraudsters will consider them not worth the effort and crawl back under the rock from which they came - these strict requirements may cost you a real transaction from time to time but it is better to walk away.

Fraudsters know most companies and individuals are desperate to make a sale and they use this against you. If a deal seems too good to be real - it is. If you ever run into a deal that you just can not seem to resist but would like my input, feel free to call me and tell me the details without revealing who the party is and I will be happy to give you my opinion.

In most instances, you will probably not like my recommendation but you always have the final decision.

Hope this has helped and I wish you the best.

MLM Online Success Tips: How to Talk to Prospects Rejection Free Part 2

In the previous post, lesson #1 about how to use ice breakers to talk to prospects rejection free from legend Tom Schreiter was covered. In lesson two, Tom will show you what NOT to say to prospects.

Following Tom's advice can help you find mlm online success as well as offline. Lesson 3, the secret to Ice Breakers, will follow in the next post.

I wish you success,

Monique
mentormonique@gmail.com
Skype: Monique371
Be A Mentor With A Servant's Heart

Chapters 10 and 11 answered all my questions about MLM. The same can happen to you! Grab your free ebook today: http://mentormonique.bigmlmtruths.com/?mad=9091

If you are looking for powerful tips, ideas, and secrets about achieving success, visit http://www.squidoo.com/tipstoexplodeyourhome-basedbusines

Lesson #2: What not to say to prospects.

Do we hope our prospects will just say: "Hey, have you
joined any new businesses lately that you would like to
tell me about?"

If we do, we won't have many presentations for our
business.

We have to take control of the conversation and get our
prospects interested in our product, service or
opportunity. And we have to get their interest high
enough to voluntarily ask us for a presentation.

I have a rule for my business.

"I only give presentations to prospects who ask me for
a presentation first."

Now, before you think I am going to starve, consider
this. I simply say things that will motivate the
prospect to ask for a presentation.

Currently, most distributors say things that motivate
the prospect NOT to ask for a presentation. They say
things like:

* "Boy, do I have an opportunity for you."

* "Do you keep your financial options open so that you
can enhance your lifestyle options?"

* "Let me tell you about a ground floor opportunity
that takes advantage of the buying power of Generation
X, Y & Z."

* "I am currently looking for business partners with a
fast-growing public company with extreme upside
potential."

* "How about coming to an opportunity meeting tonight
at the Holiday Inn? It only lasts 90 minutes and shows
you how to own your own life."

You have probably tested these sentences and noticed
that most prospects say:

"Run! Run! Save yourself!"

"I'm busy."

"It's a pyramid!"

"I'm not a salesman."

This isn't the reaction we want from a prospect. We
want our prospects to lean forward and ask us for a
presentation.

If we want different results - we should say different
things. :)


Lesson #3 is coming in a few days. In Lesson #3, I will
show you the secret to getting prospects to say anything
you want.


- Tom 'Big Al' Schreiter

Last minute model is on hiatus - but is it dead? Wotif to go 365 days

This logo on the left is a relatively recent version of the Wotif.com logo. Two simple things in the logo - the name and the model. Clear indication of what Wotif is all about - "28 days of great deals". But here is a copy of the new logo that has justed started to appear. Can you spot the difference - and I am not referring to the change in colouring. Rumours have been running around for Australia for weeks now that Wotif is going to be abandoning its last mintue model and moving to have inventory available 365 days per year.
When Wotif first launched it was only 14 days out. Then in 2004 they extended to 28 days. Now a couple of months after entering into the full service business with the acquisition of Travel.com.au, Wotif is on the verge of abandoning a big tenet of its brand - last minute deals?

I have been thinking about this for the last few weeks and wondering if this is an indication of a wider trend that I have been watching. I had been noticing that Lastminute.com's hotel growth was coming from its secret hotels, not last minute purchases. I could not help but read about Booking.com's continued growth in Europe - the sense I get (no data to back it) is that there is nothing particularly last minute about this non-stop growth. Other players have been extending their booking windows also. Finally - despite softening in the US economy and high oil prices it is still boom time for hotels. With occupancy rates so high, hoteliers seem less and less interested in seeking help for last minute distribution. Bring these together and it looks like until we see another change industry dynamics there is at the very least a hiatus in the last minute model. But I am not convinced that the model is dead, another shift in demand (read continuing economic downturns) and hotels will look to last minute again and the distribution houses will be right there to pick it up. Meanwhile - look for the Wotif goes 365 press release very soon.

What do you think? Am I right in sensing a movement away from last minute distribution of hotels? If so do you agree that its just due to the economic environment or there a more fundamental shift here.

UPDATE - thanks to a reader that sent through an ASX filed presentation from Wotif. From 8 May this presentation is an update given to brokers. It includes on slides 9 and 31 commentary that 365 day inventory is "in development" and "coming". Also updates on travel.com.au and AsiaWebDirect. You can find a copy here

BOOT Recommends - stayed at and love the Luton Hoo Hotel Golf & Spa

In the early days of the BOOT I was asked by Guillaume Thevenot at hotel-blogs what the top three hotels were that I had stayed at. It was an easy choice at the time -Palazzo Versace, Gold Coast, Queensland Australia, Banyan Tree, Bangkok, Thailand and Le Meridien Piccadilly, London, England.

But I now have a new clear and unambiguous winner of the BOOT's top choice award. Last month I spent an amazing weekend at The Luton Hoo Hotel Golf & Spa in Bedfordshire England.

The first thing that strikes you about this hotel is the arrival. A long drive up an entranceway lined with green fields, trees and (I'm serious) wandering pheasant. The approach is rounded out by the building itself. A magnificent example of your ideas of a what an English country estate should look like. A beautiful front view on a water feature, side areas with manicured lawns and fountains, an entrance way with high arches, columns and waiting attendants. Beautiful. The hotel conversion has only just be completed so the facilities are all near perfect and new. High ceilings, large rooms, huge bathtubs, period but comfortable furniture...everything you could need to sink into the world of a luxury weekend in the country. Facilities are rounded out with a top class swimming pool, fair sized gym, near perfect croquet lawn (what a view) and a number of bars, high tea lounges and dining areas.

I looked for some areas to imperfection and found only one. The restaurants and food service areas (like the rest of the hotel) are new. As a result they have a few teething problems around getting good out one time (and accurately). This was annoying at meal times but did not detract from an amazing experience and would expect it to improve as the staff get used to the new set up. The prices are not cheap and this one was on my own dime. But it was a fantastic experience and re-defined in my mind the whole concept of spending a weekend in Luton.

The Airline Industry - NPR Style - Interview with Scott McCartney of the WSJ's Middle Seat

Interesting listen via a NPR Fresh Air Podcast with an interview with Scott McCartney, of the "Middle Seat" column for The Wall Street Journal. Interview discusses domestic air travel issues in the US, particularly the trend towards more and more hidden fees such as bag check in and changing approaches around being standard on the tarmac. I touched on this in my Gotcha Capitalism post. While the interview is targeted at consumers not industry insiders I found it a good update on the last year's worth of effort by US based airlines to extract extra bucks from consumers. At the thirty minute mark McCartney discusses some the revenge tactics that wronged consumers have been using against airlines - through the leaving of discussing things in the middle seat.