Learning unit: the Export department. International Director. Syllabus:
Learning unit objectives:
This will be achieved by:
Sample of the learning unit - The Export department:
Learning unit summary (The Export department)
Every company wishing to consolidate its export activity has to create its own Foreign trade department so it can handle the different tasks that enable its continued presence in international markets.
As sales are solely the result of a marketing policy, the export department might be described as an instrument that carries out all the tasks generated by International marketing policies of the company.
The export department has very definite goals: to perform all tasks related to international sales.
Upon analyzing the export activities of the companies that have experienced stable growth in their exports, one observes that, historically, their International contacts started out sporadically and only later started to consolidate.
That was when they made the decision to expand their the international trading staff to penetrate other markets to a greater extent and better.
When interviewing companies with consolidated foreign departments, we
discover that their reasons for creating the export structures have nothing to
do with academic reasoning, instead the reasons were:
This in turn resulted from insufficient penetration of the local market, product quality problems, pricing, even distribution problems or lack of promotion. We note that companies which are large in terms of their sales, number of employees, or own resources, export greater volumes of products. There are many common elements in the paths taken by various companies to create an Export department.