| Exhibiting overseas is one of the fastest and most | | | | sales. Top-level management attend these shows |
| cost effective ways to identify the best foreign | | | | expecting to place orders. They expect, and want, to |
| markets for your products/services. International trade | | | | deal with their counterparts in your company. They |
| shows and fairs offer opportunities for multilateral | | | | expect to spend time discussing technical details and |
| contacts and business deals. They allow you to test | | | | will often want to close major deals on the show floor. |
| your product's export suitability; explore the strength | | | | Technical staff, sales people and in-country |
| and scope of your competition; and gain exposure to | | | | representatives will help form a complete team.Nail |
| potential suppliers, in-country distributors and customers | | | | negotiating. Negotiating in international business is |
| before making any sizable financial commitments. | | | | extremely complex. Socializing is often considered |
| However, to effectively trade internationally, top | | | | essential to the negotiating process. Learn the cultural |
| management must commit to developing foreign | | | | rules, especially as they relate to timing and how |
| markets.More than 2,000 shows are organized | | | | business is conducted. Patience is often a real |
| worldwide each year, and approximately 150 of these | | | | virtue.Offer quality and uniqueness. High quality |
| events have significant global attraction. Most are held | | | | products and services are expected, particularly when |
| in the major trade show centers in the United States, | | | | dealing with the Japanese and South Koreans. The |
| Germany, France, Italy and the United Kingdom. The | | | | packaging is as important as the product. If your |
| following A-Z guidelines will help to take the fear and | | | | products and services compete directly with native |
| anxiety out of your overseas exhibiting ventures:Ask | | | | companies, there needs to be something unique in the |
| questions and thoroughly research overseas shows to | | | | technology, innovation, design, styling or image to gain |
| find the ones that attract your target market. A good | | | | acceptance in the Asian market.Plan on having a |
| starting point is the U.S. Foreign Commercial Service | | | | third-party contact. Many Asian and Latin American |
| (FSC), part of the International Trade Administration of | | | | cultures prefer to do business with people they know. |
| the Department of Commerce. Other sources of | | | | Meeting the right people often depends on having the |
| information include banks, trade associations, foreign | | | | right introduction. If the person you wish to meet |
| embassies and consulates, bi-national chambers of | | | | respects your intermediary, then chances are you too |
| commerce and the Internet.Book space early. | | | | will be respected.Question whether "no" really means |
| Allocation for space is a "first-come, first-served" basis. | | | | "no." Much confusion, frustration and irritation can occur |
| Applications for space need to be submitted as early | | | | when different cultures communicate real meaning. In |
| as possible - 12-18 months prior to the event. | | | | some countries, such as France, "no" can often mean |
| Reservations are made with the show organizer or | | | | "maybe' and "maybe" can mean "no." In many Asian |
| their international representative. Most of the large | | | | cultures, individuals will not say "no" outright. Rather, |
| shows, especially the German ones, have global sales | | | | they use subtle clues, for example, saying "It's very |
| offices.Coordinate shipping arrangements. Most | | | | difficult," or "I'll consider it." A "yes" or a nod of the head |
| international trade shows have an officially designated | | | | may very well mean "maybe" or "I understand," instead |
| freight forwarder who is familiar with all the relevant | | | | of it being the affirmative response you might interpret. |
| details. They will handle the invoicing, arrange for | | | | To avoid saying "no," Koreans in particular will often |
| licenses and declarations, prepare packing list, issue bills | | | | give you the answer they think you want to hear. |
| of lading, handle insurance and prepare all necessary | | | | Learn to listen to the subtleties by asking open-ended |
| documentation. A duty charge is not normally | | | | questions. It is at times like these that a cultural mentor |
| assessed on equipment, unless it is destined to remain | | | | can be particularly helpful.Recognize the role of |
| in the country after the show ends. An international | | | | women in business. Research the customs of the |
| carnet facilitates importation and movement of | | | | country you are visiting as they apply to women. |
| samples and professional equipment between | | | | Although female business travelers account for one of |
| countries.Determine that your product complies with | | | | the fastest growing segments of the travel industry, |
| international technical and safety standards. Germany, | | | | problems still exist. Be prepared to prove yourself as |
| in particular, has extremely stringent laws regarding | | | | you may not be taken as seriously as your male |
| testing products to comply with applicable | | | | counterparts. Familiarize yourself with local and regional |
| specifications. Overseas companies are allowed to | | | | attitudes and cultural differences about women in |
| exhibit products at German trade fairs before their | | | | business. This will help to define your approach and |
| products have been inspected. Formal certification of | | | | avoid potential problems and embarrassing situations. |
| required is necessary to legally sell your products in | | | | However, business overseas is based on trust and |
| Germany. Certain types of merchandise are also | | | | relationships. And women, like men, are responsible for |
| subject to specialized safety codes and technical | | | | creating the necessary rapport to accomplish their |
| requirements. It is advisable to use a local consultant to | | | | goals.Supply all your company representatives with |
| help you through the compliance process.Establish a | | | | bi-lingual business cards. In Europe and Asian societies, |
| realistic budget. Costs of overseas shows vary widely, | | | | business cards are essential. They act like a business |
| depending on a host of variables, for example, location, | | | | passport. For countries where English is not widely |
| exchange rates, time of the year. In addition to your | | | | spoken, have cards printed on the reverse side in the |
| display, shipping, promotional and staff costs, also take | | | | local language. This is best done in the country you are |
| into consideration, import duties and export regulations. | | | | visiting. Also be aware of the specific etiquette that |
| As a safety net, add 25% to your budget to cover | | | | exists, particularly in Asian countries, for presenting |
| unexpected costs, tipping and exchange rate | | | | cards. For example, in Japan, business cards are |
| fluctuations.Familiarize yourself with overseas union | | | | exchanged ceremoniously using both hands and a |
| policies. Strong unions exist in the U.K., France and Italy. | | | | bow. Both parties will read and study the card. It is |
| Understand and appreciate the rules and treat | | | | extremely impolite to write notes on the card or shove |
| everyone with respect. Offering to buy your union | | | | it in your pocket.Train your people. Make sure that the |
| labor lunch or a beer, as well as tipping, often helps to | | | | people who represent your company at overseas |
| minimize pilfering, loss and damage. When working with | | | | shows are well trained and know and understand the |
| contractors, always have someone who can speak | | | | cultural differences of the people with whom they will |
| the language and give logistical instructions. Arrive at | | | | interact. They should know how to greet and address |
| least a week prior to the show to iron out any | | | | visitors. Formality is the norm in Europe, whereas a |
| kinks.Get to know pricing. Your company | | | | more casual and friendly style is acceptable in the U.S. |
| representatives should be prepared to negotiate and | | | | Understanding different business negotiating styles, |
| agree to terms at the show. They should also be fully | | | | conversation sensitivities, and how women are treated |
| conversant with tariffs, the European Community's | | | | in business, is essential, in addition to knowing eye |
| Value Added Tax (VAT) and other tax implications, | | | | contact, handshakes, body posture and spatial distance |
| and importation and delivery procedures. When quoting | | | | differences. The key is to develop relationships of trust |
| prices, most buyers expect prices quoted c.i.f. (cost, | | | | and sincerity as they are critical for successful |
| insurance, freight), including duties, taxes and other | | | | business.Use ATM's (Automated Teller Machines) to |
| charges. For a small fee, local freight forwarders will | | | | get local currency. They give you the wholesale |
| assist and prepare c.i.f. costs.Have arrangements for | | | | exchange rate of 5-10%, which is a far better rate |
| credit and payment. You should make arrangements | | | | than you would get at hotels or currency exchanges. |
| with a bank that has international banking affiliations to | | | | Always try to purchase enough local currency before |
| facilitate your banking needs. Discuss arrangements | | | | leaving home to pay your transportation from your |
| for transfer of funds, letters of credit and bills of | | | | destination airport to your hotel, plus a little extra for |
| exchange. Potential customers or representatives will | | | | tips.Value different decision-making processes. The |
| expect a credit check. Individual profiles on overseas | | | | key is not to sell but rather to build relationships. |
| companies can be found through the World Trader's | | | | Decision-making differs around the world. For example, |
| Data Reports, available for a small fee from the US | | | | in Asian cultures, it starts from the lower levels in the |
| Commercial Service.Since exchange rates fluctuate | | | | organization, and works its way up the ladder. Many |
| daily and can affect pricing, especially when dealing | | | | times, lower level employees will visit a trade show to |
| with Latin American countries, consider getting paid in | | | | gather information, which they will include in a report to |
| U.S. dollars.Insist on using a native-born translator. When | | | | a higher manager. Don't expect a decision from an |
| translating copy or business communications, always | | | | initial meeting. Decisions are usually made collectively, |
| hire a local translator who has technical knowledge of | | | | and the process is often slow and thorough. However, |
| your products/industry. Embarrassing mistakes occur | | | | once a decision is made, especially in Japan, a quick |
| when a translation is done by a non-professional with | | | | execution is expected. The key, once again, is to do |
| limited knowledge of a language and little or no | | | | your research.Watch out for cultural differences. |
| understanding of slang, colloquialisms and | | | | Know and understand the cultural differences of the |
| double-entendres. Prepare product/service literature, | | | | people with whom you will interact. Be sensitive to |
| data sheets, catalogues, etc. in the principal languages | | | | color and symbols and their meanings in different |
| of the major countries represented at the show. | | | | countries. For example, mourning is symbolized by |
| Remember that most countries outside the U.S. use | | | | white in Asia, purple in Brazil and yellow in Mexico. If |
| metric measurements.Judge the context. Some | | | | your product, packaging and literature are in the wrong |
| cultures are more direct and explicit in their | | | | color, you will lose sales. Red and yellow are lucky |
| communication. Swiss, German and Scandinavian | | | | colors in China - conversely, never use red printing in |
| cultures are considered low context. Their words have | | | | South Korea. In many of the Asian countries, the |
| specific meanings. In contrast, Japanese, Chinese and | | | | number four denotes death and should be totally |
| Arabs are high context. Their language is often vague, | | | | avoided, including products packaged in fours. If |
| inexact and confusing for English-speaking cultures to | | | | possible, avoid the number nine, as it has connotations |
| understand. Reading between the lines is a must.Keep | | | | of suffering. Seven and eight are considered lucky. Be |
| language simple. Many of your international business | | | | safe and always do your research!Expect to follow-up |
| contacts will speak English. Problems occur when you | | | | personally. Personal contact and immediate follow-up |
| use slang, colloquialisms, idioms, jargon, buzz words, | | | | after the show is the best way to establish foreign |
| lingo, officialese, acronyms, and metaphors. These are | | | | buyer/seller relationships to produce future orders.Yield |
| often difficult to translate. It is far more effective to | | | | to a time investment. Building relationships is a key |
| keep communication, written and verbal, basic and | | | | component to doing business overseas. Behavioral |
| easy for anyone to understand.Learn to speak body | | | | differences are real. It is wise to recognize them and |
| language. Seventy percent of our communication is | | | | to make allowances when doing business. Willingness |
| nonverbal. We communicate by the way we stand, sit, | | | | to cultivate business contacts through personal visits |
| tense facial muscles, tap fingers, etc. There are also | | | | plays a major role in export success. Plan regular visits |
| hundreds of gestures to get across almost any | | | | to your major buyers, agents, or distributors. Be |
| meaning, from greetings, beckonings, and farewells, to | | | | available, interested and quick to react to problems or |
| terms of endearment and insults. Gestures and body | | | | complaints.Zero in on the fact that doing business |
| language, with the exception of smiling, are not | | | | overseas demands time and patience. It may take |
| universal in meaning. Be aware of the etiquette on | | | | several appearances at trade shows before your |
| personal space, eye contact and when, what and how | | | | company is taken seriously. Foreigners want to feel |
| to touch.Make sure that your top executives are | | | | confident that you are sincere and totally committed to |
| available. Overseas shows, particularly in European and | | | | your involvement in their country. |
| Asian countries, are serious business as they focus on | | | | |