Midterm Exam - IEM

Exporting is best defined as:

• The shipment of goods and services from a firm based in one country to customers in a different country, resulting in payments from the customers.

• All international goods purchase and sale activities, including transit and processing.

• The purchase of goods and services by a firm based in one country from sellers residing in a different country.

• Any activity of a company involving strategic planning, organizing, and supervising international business operations.

Import-Export Management activities cover the entire business operation cycle, which ranges from:

• Signing the sales contract to the collection of payment.

• Searching and contract negotiation to the end of the contract implementation.

• Issuing the export license to the goods passing import customs clearance.

• Organizing the pre-carriage to the final delivery to the buyer's warehouse.

Definition of Importing

• The shipment of goods and services from a firm based in one country to customers in a different country, resulting in payments from the customers.

• All international goods purchase and sale activities, including transit and processing.

• The purchase of goods and services by a firm based in one country from sellers residing in a different country.

• Any activity of a company involving strategic planning, organizing, and supervising international business operations.

Which of the following represents a force that importers/exporters generally can control in their business operations?

• Foreign exchange rates.

• Political and legal conditions of the host country.

• Cultural conditions (Aesthetics, Religion, Language).

• Availability of capital and Production capabilities.

An uncontrollable force that can significantly affect the success of import/export activities is:

• The company's marketing strategy.

• The quality of raw materials used in production.

• Economic and socioeconomic conditions, such as inflation and interest rates.

• The company's internal personnel structure.

Foreign trade activities in the Vietnamese Law primarily include:

• Investing money and banking services.

• Export, import, and related cross-border movements like temporary import/re-export.

• Domestic sales and franchising.

• Property and technology transfers.

In Vietnamese foreign trade law, Quarantine measures cover health checks for:

• Only product quality and technical standards.

• Animals, plants, and border human health.

• Only goods moving in a specific customs area.

• Only measures to prevent cheap imports (trade remedy).

According to Vietnamese Law, which entity generally does NOT have the right to freely conduct export and import business without formal registration?

• Large Vietnamese companies.

• Foreign companies selling goods to Vietnam.

• Government agencies.

• An individual or family that has not formally registered a business.

The Vietnamese Law applies a total ban on export or import primarily to goods that:

• Are slightly lower quality than agreed upon.

• Are too cheap (subject to anti-dumping duties).

• Harm national defense, security, or valuable cultural relics.

• Exceed a set quantity limit (quota).

Which measure is used by the government to restrict (limit) the quantity of specific goods that can be exported or imported?

• Giving out a Certificate of Free Sale (CFS).

• Applying quotas (quantity limits) or tariff quotas (tax limits).

• The company deciding to stop trading for a while.

• Asking for a Certificate of Origin (COO).