ACTIVIDAD 12 – EVIDENCIA 1

WRITTING AND ESSAY ABOUT LOGISTICS COST

CLAUDIA CECILIA QUIROGA FARFÁN

SERVICIO NACIONAL DE APRENDIZAJE – SENA

TECNOLOGÍA EN NEGOCIACIÓN INTERNACIONAL
JULY , 2019
 CONTENT

1. INTRODUCTION
2. MAIN POINTS
3. CONCLUSION
 1. INTRODUCTION

Introduction It is vitally important in an export process to have control of the different costs
to be paid, to have a real budget, and to avoid a cost increase within the process. For the
above, the present investigation is carried out, in order to analyze the impact of the costs in
the export process.
 2. MAIN POINT

Advantages and disadvantages of good calculation of costs in the International Physical

Distribution.

For any company wishing to carry out export processes, it must be clear about the
international transport and distribution processes and their costs, depending on the
destination market.

These factors must be handled correctly by the company, so that the product reaches its
destination within the established times and in excellent condition, in order to satisfy the
final customer.

Distribution costs are a disadvantage that companies should be afraid of, since they usually
tend to be high, thus generating an additional cost to the shipment of the merchandise.
For this reason, it is understandable that in this process several actors intervene, thus
forming a distribution chain.

Bearing in mind this, a failure in any of the established stages may suspend the distribution
system that affects international business.

For a company to expand and seek better opportunities in the market, it must consider the
investments of time, effort and capital, therefore, the correct logistics that it carries out is
possible to reduce production costs. That is the reason why the advantages of reducing
logistics costs can cause the company to be forced to increase its productivity, since it must
focus on being more competitive.

For this purpose, improvement must be made from the administration of the company,
therefore, the same results in the possibility of expanding markets through access to
products and markets that without the correct export process are unattainable and end in
one of the Best assets of companies: the increase of their customers.

In conclusion, this is the reason why strategies and international physical distribution
should be characterized by creating the capacity in companies to generate support to
internationalize from their production or from their market, always remembering corporate
success because it is no longer measured so easily. At present in the quantitative and
qualitative is a factor of competitiveness to generate profitability in import operations.
 3. CONCLUSION

A miscalculation of the costs in which an export process is incurred, can not

only stop the process, but terminate the business, generating losses to the
parties involved.