Best Incoterm for Exporter

This is always a question with which many exporters struggle, and possibly also importers, but the selection of the most appropriate Incoterm depends, as I said earlier on many issues. It depends on the longer term objectivity of the exporter in cultivating a sustainable and ongoing relationship with their particular buyer, and it also may depend on the level of development of the exporter. If an exporter is new to the international scene it would probably be advisable for that exporter to consider adopting an Incoterm that did not take that exporter’s liability too far away from the exporter’s own factory.

On the other hand you may have a mature exporter who looks at creating a long-standing sustainable relationship with a buyer, and of course, we all know that the most favorable term for a buyer might be to have the goods delivered to their premises. So if they identify a supplier who is willing and capable to do that without any distress to the buyer, then, of course, the buyer is likely to look favorably towards that supplier as an ongoing supplier.

 

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