Syllabus
Principles of Exports

Principles of Exports

IBUS-1301

Credit Fall 2017
08/28/2017 - 12/17/2017

Course Information

Section 001
Lecture
M 18:00 - 20:50
HLC1 2207
Bill Louden

Office Hours

  • M W
    10:30 - 11:30
    Cypress Creek Lobby
  • M T W
    4:30 - 5:30
    Highland Learning Center 2412
  • T Th
    Noon - 1:00
    Round Rock 2232.04

Course Requirements

Student Responsibilities

1.     ATTENDANCE AND LATE POLICY

I still expect to see regular attendance.  I define regular attendance as

·       attending class, being on-time, and staying through the entire period.

·       Checking BLACKBOARD at least once per week and acquiring required material and handouts.

2.     LATE ASSIGNMENTS will receive 10 percent point reduction per day.  Assignments turned in later than three days will not be accepted.

Written Assignment

Assignments are to be submitted via email in Microsoft WORD format, double-spaced, using Times Roman, 12 point font, with 1 inch margins and a cover page according to APA 6th edition style guidelines.  An abbreviated APA Style Guide booklet, AP Style:, Simplified for Success will be posted on Blackboard.  

Assignment Point Allocations       

            QUIZZES

                  1          Foreign Sales, Market Selection      5 points                      

                  2          Schedule B - Harmonized Codes      5 points

                  3          Trade Finance                                5 points

                  4          Incoterms 2010®                           5 points

                  5          Logistics, Documentation              5 points

            Target Country Market Research Paper           15 points

            Oral PPT Presentation                                    5 points

Target Country Export & Pricing Plan            25 points

            FINAL EXAM                                                 30 points

                                                                                    =======

                                                Total Points                100 Points

 

Readings

Required Textbooks:

A Basic Guide to Exporting-11th Edition (2008 by U.S. Department of Commerce, International Trade Administration ISBN 978-0-16-079204-5 alk.)

Import Export - 4th edition. Dr. Carl Nelson. ISBN 978-0071482554

            PDFs for above AVAILABLE through BLACKBOARD.

Reference:

Louden, W. (2010). APA Style Simplified for Success. Based on the APA Publication Manual, 6th ed. Washington, DC: American Psychological Association. [Posted on Blackboard.]

Course Subjects

Week

Topics

Principles of Exports

Readings

Assignments

1

Introduction of Class, Syllabus and Subject Matter

Why Export?

Export Statistics

NEI 2.0

Determining Export Readiness

Syllabus

Basic Guide, 3-22

Nelson, xxii-xxxiii

 

 

2

Structuring a Foreign Sale

Export Order Process

            Customer Credit worthiness

            Risk Assessment

            Controls (seller’s & buyer’s)

            Seller’s Quotation

                        Shipping & handling

                        Order process

            Commercial Documentation

            Export Clearance

            Shipping (Freight Forwarders)

            Document Delivery

Nelson Chapters 1 & 2

CISG Handout pp 33-42

Basic Guide, Ch. 1, 2, 9

 

Handout  IBT 1-18

 

 

3

Selecting Foreign Markets

Using Harmonized Codes

Product Classification (Schedule B)

            98 chapters – Introduction & Organization:

                        Live>>Most Organic>>Most inorganic

            How to search online the Government Database

Nelson, Ch. 3, 4

Schedule B, Introduction

Basic Guide, Ch. 5

4

 

Quiz 1 (covers Weeks 1-3)

 

Using Harmonized Codes

Product Classification (Schedule B) - 98 chapters

            Government databases, Tariffs, Taxes

https://dataweb.usitc.gov/scripts/INTRO.asp

Market Research

Introduction of semester project: Export Plan

Developing an Export Marketing Plan

Finding Foreign Markets

Government Services databases

Embargoes, Denied Persons, Denied Entity Overview

 

Schedule B,

Ch. 03, 52, 84, 95

 

Handouts

Links

·       http://www.export.gov

·       http://2016.export.gov

·       http://2016.export.gov/logistics/index.asp

·       https://www.export.gov/Finding-Foreign-Markets

·       https://www.bis.doc.gov/index.php/policy-guidance/lists-of-parties-of-concern

·       https://globaledge.msu.edu

 

5

 

What is a Contract?

Uniform Commercial Code

UN Contracts for the International Sale of Goods (CISG)

Negotiating your Contract

            Sales Contract (direct sales)

            Distribution Agreement (indirect sales)

Preparing your Product for Export

Country Commercial Guides, GlobalEDGE

Free Trade Agreements, NAFTA, Free-Trade Zones

 

Basic Guide Ch. 8, 10

Handout IBT 19-39

Links:

·       http://www.businesslawbasics.com/chapter-19-uniform-commercial-code

·       https://en.wikipedia.org/wiki/United_Nations_Convention_on_Contracts_for_the_International_Sale_of_Goods

 

6

 

Quiz 2 Covers weeks 4-5)

 

Registering as an Exporter (USPPI & EEI)

Documentation for Export Compliance

Export Documentation (AES) required

            Commercial Invoices, Quotations, Counter-offers

Foreign Market Entry Modes

Registering as an Exporter (USPPI & EEI)

Basic Guide Ch. 5, 6, 7, & 11

Nelson, Ch. 7

 

 

7

 

Country Research DUE

 

Pricing for International Markets

Getting Paid, Forms of Payment

            Financing the sale (EXIM Bank)

            Managing Cash Flow, Financial Risk

EXIM Bank Financing

 

Basic Guide, Ch. 13, 14 & 15

Trade Finance Guide,
pp. 1-28

www.exim.gov

EXIM PPT

8

 

Quiz 3 (covers week (6-7)

 

Logistics, Shipping, Freight Forwarders

IncoTerms®, International Chamber of Commerce

            Modes of Transportation, & Risk of Loss

Handouts

IncoTerms® 2010

IncoTerms® 2000

 

9

 

Insurance

Credit Risk Insurance: Coface, EXIM Bank

Political Risk Insurance: OPIC, LLoyds

Handouts

     Marine Insurance

10

 

Quiz 4 (Covers weeks 8-9)

 

Documentation, Packaging, Labeling

Certificate of Origin, Packing List, Bill of Lading

Foreign Market Import Restrictions

Foreign Standards and Certifications

Handouts

 

11

 

Export Documentation always required

            Commercial Invoice (Quotations, Counter-offers)

            Certificate of Origin

            Packing List

            Bill of Lading

            Shipper’s Export Declaration

Handouts

Sample Documents

12

 

Quiz 5 (Covers weeks 10-11)

 

Shippers Letter of Instruction

EEI through AES

Handouts

AES Guide

BIS, ITAR,

 

Export Controls, Dual Use, EAR

Bureau of Industry and Security (BIS)

Commerce Control List, Commerce Country Chart

International Trade in Arms Regulations (ITAR)

Foreign Market Restrictions, Embargoed Countries, etc.

Links

·       http://apps.export.gov/csl-search#/csl-search

 

14

Documentation Reviews

Handouts

Making Oral Presentations

15

Export Plan Reviews

Live Oral Presentations

 

16

 

Final Exam (comprehensive)

 

Complete Export Plan Due (with documentation)

 

 

 

 

Student Learning Outcomes/Learning Objectives

This course is designed to provide students with all the basics they need in order to take a small business international through exporting.  The course will provide students with the ability to

(a) determine export readiness,

(b) find target markets through market research,

(c) consider pricing, financial, and legal questions in the export process,

(d) determine the best market entry method,

(e) learn the mechanics of export logistic documentation,

(f) find and evaluate appropriate overseas partners, and

(g) sustain success in the chosen markets.

The course emphasizes a practical application of all these abilities through student use of actual products/services and selected target markets.  The final product will be a complete export plan using a product or service and target market selected by the student.