Sunday, May 20, 2012

International Business To Business Payments

With the huge amounts of business transacted online, there is a growing concern amongst businesses about managing payments. Business to business (B2B) payments at the international level are a major concern since the amounts tend to be larger and the charges are appreciable. This results in some loss in profits, which makes global commerce less attractive. From the smallest business operating on the web to huge conglomerates that transfer large amounts of funds internationally, everyone wants cost efficiency in their payment system. The issue is, of course, larger in the international payment segment because there is the currency rate to consider as well. So both types of losses, in currency and in transfer charges, need to be kept to a minimum.
Third party ePayment systems -
These are popular but require the user to open an account, similar to a bank account. Finding the most efficient one for your size of company is also a little tricky. They come in many sizes from consumer-oriented PayPal and 2checkout.com to Orbian for large businesses. These e-Payment systems work fairly well and charge up to 5% of funds transferred.
Wire transfer -
This is the good, old fashioned method of transferring money directly from bank account to bank account. It is completed by the bank and requires the swift code of the recipient's bank and their account number. This is considered to be a safe and fairly efficient way to make international B2B payments. However, banks can charge quite a hefty amount in fees and charges. You must find out the currency rate as well, if that is a concern. Additionally one thing that is required to be kept in mind is to make absolutely certain that the company to whom the payment is being made is a legitimate and an authentic company as once the funds have left your account, they are not recoverable.

Credit cards/ corporate credit cards -
Many companies are less than willing to hand out corporate credit cards and employees will not use their personal ones for company business. So, unless you are a small business, the use of credit cards is rare in international business to business payments. It can also be fairly expensive.
Check -
Unless you have an already existing relationship with the businesses you are selling to, a check may not be the best way to receive payments from B2B sales on the internet. There are hardly any successful online businesses that are known to conduct business with this method of payment. However, this form of payment can be viable where a low transaction fee is important and the product does not have to be delivered immediately. Remember, you can never be certain of receiving the payment until the check is cleared and payment is credited to your account.
If you have an online business, be sure to check which form of payment integrates best with your business. For example, if you are selling online software, the consumer may want to make payment and download the product right away. A wire transfer may not be the best option. For subscription based or recurring payments, a platform like PayPal offers incomparable functionality. It allows you to automatically charge customers on a monthly basis and also sends you intimations of payment failures.
There are many options for receiving international payments. Your best bet would be to keep a couple of options open and decide on a case by case basis which suits you best for a particular B2B transaction.

How to Bow and Other Important Things in International Business - V2

The premier (Article I -in this series) left off with an example from my Russia experiences and observations of how not educating yourself in history, cultures and manners could and will get you expelled from a country! The two salesmen in the first story were real senior level people, oblivious of any international business education and responsibility for their failure. Their company hopefully learned from the Russian expulsion and quickly instituted a change that would better prepare their management and employees for international business. Remember one simple thing; "if it were easy...everyone would be doing it right!". You can not successfully perform International Business (IB) without cultural preparation, readiness education and practice...before...you go! All of the stories presented in the six part series come from my direct observations and experiences while working on multi-company programs or significant business negotiations in each country.
Our next example comes from South Africa where a multi-company program was responsible for surveying land to build an operations center, establish support services and assure security measures. So what went wrong in this seemingly simple task? Simply --untrained, un-managed youth! More specifically, young employees sent away for possibly the first time in their lives, to a foreign country, without any senior management, or corporate training, nor cultural education or strict observances corporate policies. The issue -was not only intoxicated in public- but causing a car accident while driving in the same condition which sent one of the local people to a hospital with a serious injury!
This accident should have never happened. Police were called and once again certain US workers were expelled from a country, heavy fines, restitution and allowances were paid upfront and now qualified replacements had to be made to continue the project. The cost was over $600,000 to fix! The three expelled employees action had a continuing effect on the firm and the mature business responsibilities, between legal and binding parties, than the young technicians fully appreciated. If the incident would have caused a death or permanent handicap, the entire company would have been expelled after massive sums of money and restitution deemed appropriate was paid and jointly closed. If you think about it, for smaller companies this would have immediately shut down the firm or caused a bankruptcy. The eventual newspaper article reference worldwide alone would have caused priceless long term damage.
So, as you will come to learn over the final next 4 installments, International Business (IB) is a serious matter, not to be taken lightly nor without the right education and assurances in place, and in practice, to make all your experiences a growing and rewarding calling. It is always worth it to do things right!

Sunday, May 6, 2012

International Business Program

Apparently, on the international arena, the international business involves the transactions between two nations. Most of the time economic resources are the primary goods of transactions such as skills, people and capital for several purposes such as finance, construction, banking and services. In the 21st century where technology, corporations and communications are vital, many are claiming that our world is now a global society with plenty of international issues related to business, even causing hot debates and controversies.
The international business career is entirely different from the domestic trade as it involves the understanding of diverse cultures. From there we can conclude that it is now a desirable skill in the market so it should be your ideal field of study or occupation if travelling, understand foreign cultures, and cultivating new languages are your interest forte. Besides, due to the need to deal with numerous different people, you should be well equipped with some math skills, brilliant communication skills as well as some passionate creative thinking.
Upon the implementation of international business, the current economy contains no strong national boundaries and they are constantly diminishing. It does not come with one primary factor; it is caused by the massive electronic communication, particularly the internet. The great sharing and transfer of immediate knowledge from one corner to another opposite side of the world allows the proliferation of information thus triggering the collaboration of marketing, sales, outsourcing and manufacturing. Besides, the wide networks of most financial institutions have helped in addressing currency problems as aid can be delivered almost instantaneously.
No doubt, the international business career is one potential field to develop. But of course, one who intends to specialize in this area should comprehend will the intricacies of establishing a strong business association with partners from other nations. The difference in culture, political systems, understanding and language is definitely a challenge in the business collaboration. Always perform sufficient research beforehand and carry an open mind to make the deal a success.

Preparing To Go To The International Business Scene

The reason why some people carry out international business is to obtain the goods that they don't possess. In exchange with what you have, you will get possession of different commodities that are scarce in your country.
International trade has forced the most influential men in the world to organize meetings in which they have to settle the growing conflicts between countries which have carried out international business together in the past.
Many points have to be put into consideration if you are willing to carry out international business. The way you are going to communicate with your foreign business partners should cross your mind because the cultures are different.
Your brain should be working most of the time because the people you are going to deal with have been in the business for some good time. You must be able to balance your books perfectly because any slight mistake you make, you will lose out completely.
Nowadays the government has no say concerning the number of people who are supposed to trade outside the boarders. This has been brought about by the internet which has many sites dealing in international business. This mkes it easy for the people to carry out their business without the knowledge of the government.
The different sites make it easy for the people to find out the number of products available on the market. This means that an individual finds it easy to make the best selection from which they make the deal and the goods are shipped into the country as soon as possible.
You can't just jump into this sort of business when you have no experience at it.Thus, you will profit from it as long as you have good connections with the best international business people on the globe.
International business will benefit you if you take some time to check out more information concerning the world markets and the different countries taking part. This will kick start you as you head for gloryy.

International Business Travel - How To Reduce The Stress

International business travel is an activity that is becoming more and more complex on a daily basis. You must be well prepared before you start your journey and be prepared for all eventualities.
Getting Ready for your International Business Travel
Unlike domestic travel, international travel is now full of regulations that must be understood in advance if you are to travel safely and trouble-free to you and from your destination.
You must prepare well for your journey, and pay special attention to:
o Your passport.
Do not travel with a passport that has an expiry date less than six months in the future. If you passport will be within that period, renew the passport before you travel.
Many countries will not even give you a visa if the passport has a short expiry time. You may need a visa while on your journey, so make sure about your passports validity.
o You're Health.
If you are on any medication, and will be taking those medications with you, have the doctor's prescriptions for them with you. If the medication is over-the-counter, have the box or original packaging for the medications with you as well. You may be challenged over these at any time and in any location.
o Local Weather.
There is no reason to take too many clothes with you. Do your research as to the destinations historical climate for the time of year you are visiting.
o Permitted Modes and Form of Dress.
Different countries have different customs. You can easily investigate these on the internet, and make sure whatever clothing you take with you and wear, is acceptable in your destination country

The Foreign Airport
An international business traveler will over a period of time, know a great deal about the world's airports. Navigating these world airports can be easy if you plan ahead and know about what to expect.
o The visa.
If you are traveling to a country where you need (and received a visa), and there was an invitation involved with it, take the invitation with you. Make sure the information on the visa is perfectly correct, and verify it from the consulate offices who give you the visa.
o Airport Layout.
Get a copy from the internet or airlines about your destination airport, especially if there are more than one terminal. Know where you are going and how to get there in advance. Be prepared.
o Business Lounges.
If you are making an international business trip, you may be flying business class, and thus be eligible for the business class lounge supplied by your airline.
If you are not, or there is not, you may wish to sign up for one of the business class lounge entry services, and make your stay (sometimes many hours) in the foreign airport less tedious.
o Duty Free.
The items may be duty free, but the prices can still be much higher than you local marketplace.
Do some shopping around (possible on the internet), and also check your local regulation about how much you are allowed to bring home (or to your destination if you are bringing gifts to locals) duty free.
The best bet may be to buy things locally or to modify what (and where) you bring.
Good Manners and Silence is Golden
While making an international business trip, one is advised to conduct oneself in the best manners possible. Also, it is a very good idea to speak to as few people as possible (especially if you destination is the United States), and none except employees of the airlines, airport stores or employees.
Designed By An Insurance | Proudly Powered by Blogger