UPN, PASIÓN POR TRANSFORMAR VIDAS

INTERNATIONAL TRADE
OPERATIONS

English for business

Videoconference # 12

cesar.mejia@upn.pe UPN.EDU.PE
Session outline

What did you check and learn this week?

International trade, consumer and capital goods

Import vs export

Incoterms

Conclusions
Objective
You will be able to identify the Incoterms in a negotiation with a foreign
company.

¿Cuál es la importancia
del tema de hoy o cómo
puede aportar en su
carrera?

Idalberto
Chiavenato
What did you check and learn this week?
-Qué revisaron y aprendieron de la plataforma?
Give your opinion:
Watch the video and answer:
1) What’s “Incoterms”? DAT is now
2) Which incoterms do you know? DPU
https://www.youtube.com/watch?v=p1LGg1XxXuk
 International trade and goods
The international trade is the exchange of goods and services between 2
countries. It allows countries to expand their markets. Non-physical
(intangible)
It’s your turn!
Give examples of consumer goods, capital goods and services
Import vs export

Noun Verb
import import
export export
Import vs export
Benefits of imports:
-Bring new products to the market.
-Reduce costs (you can import cheaper products or import parts)
-Become a leader in the industry (import a product that is not in the market)
-Provide high quality products (manufacturers can give formative courses to use
their technology in the country that imports)

Benefits of exports:
-Increase sales potential (for medium and large companies once they have
saturated the local market. You can export franchises)
-Increase profits (orders abroad are higher, you export containers)
It’s your turn!
Now work in groups. Discuss what goods are imported to Peru, and what
goods are exported from Peru (Google this information).
Exports Imports
 Documents of international trade

• Air waybill (proof that goods have arrived and ready to be shipped)
• Certificate of origin
• Bill of lading - B/L (proof that goods have been shipped)
• Multimodal transport document (it indicates goods are shipped by different
modes of transport)
• Bill of exchange / Draft (a document that guarantees a future payment)
• Insurance policy / Certificate of insurance
• Packing list
• Inspection certificate (it proves that the products shipped have been checked by
the inspection office)
Incoterms
International Commercial Terms. It indicates the risks, costs and
responsibilities for exporters and importers.
Play a game!

https://quizizz.com/admin/quiz/6176db4e60940b001eb91180/incoterms
 Conclusions
-Incoterms indicate the risks, costs and responsibilities for exporters and importers.

-Export is…

-Import is…

Reflexión: Conociendo que

es una importación,
exportación y los incoterms
podrás negociar mejor con
empresas extranjeras.
Do you have any questions?
 Mission accomplished!
✓ Now you can identify the Incoterms in a negotiation with a foreign company.
 Next class:
You’ll learn the principles of finance, essential knowledge to understand money
decisions for your company.
 Go beyond! Additional resources:
✓ https://www.youtube.com/watch?v=fXODud06Fwo
✓ http://www.eximguru.com/exim/guides/export-
finance/ch_4_trade_documents.aspx
✓ https://www.shippingsolutions.com/blog/beginners-introduction-to-
incoterms#:~:text=Incoterms%202020%20rules%20are%20the,sales%20contracts%20for%20international%20tr
ade.