Unit One
I. Warm-up Practice
1. 1) An inquiry is a request for information.
2) The importer usually inquires the exporter for information or an offer for the goods he
wishes to buy.
2，A quotation is merely a notice of the price of certain goods at which the seller is willing to sell. 3. Match the following products with their features
1) B 2) C 3) A
III. Listening Practicee
1. Listen to the tape and fill in the blanks.
customers; a newly established firm; business relations; all the necessary information; a new
customer; channels.
a. banks,
b. Chamber of Commerce
e. business house
g. trade directory
i. market investigation
j. trade fairs and exhibitions
2. Listen to the tape and fill in the missing information.
the Commercial Councilor's office; a leading exporter; a good market in our country; price;
terms of payment
3. Listen to the dialogue and answer the following questions.
1) Who is calling the manager of the exporting department?
John Smith from the Carter Trading Company.
2) Why does he call the manager of the exporting department?
He thinks that there might be some opportunities between the two companies.
3) What does he ask the manager of the exporting manager to do?
He asks the manager of the exporting department to send him brochures and illustrated
catalogues.
4. Listen to the passage and complete the notes.
1) telephone, fax, or e-mail; the type of goods you are enquiring about; a lot of information
about yourself; any particular items you are interested in.
2) specific and state exactly what you want; samples or patterns; invited to visit a showroom;
3) a prompt reply would be appreciated; a regular customer; quote competitive terms and offer
concessions.
VI. Follow-up practice
1. Listen to two passages and complete the notes.
1) an action undertaken by buyers; to acquire product details; the prices of goods; the terms
1
of payment; under what conditions the deal can be made; prompt, definite and helpful
2) you should decide exactly what you want before you write; would be at a total loss to
respond; without knowing your company‟s needs; should narrow down the type your
company would consider; 3000 copies a month; 25 copies at any one time; what you are
looking for; you motivate her response;
2. Listen to a letter of inquiry and fill in the missing information.
your inquiry of May 20; quoted; a range of designs and colors; in your market; catalogue;
might be of interest to you
3. Interpret the following sentences
(1)
A: We're thinking of placing an order for Chinese tea with you.
B: Which would you prefer, black or green tea?
A: Both are very popular in my country. Could I have a look at your samples?
B: Sure. This is Oolong Tea from Fujian and Longjing Tea from Xihu, ….
A: They are really very good in color and flavor. No wonder your tea has been well
received by so many people. Could you give me some indication of your price?
B: Here is our price list. All the prices on the list are subject to our final confirmation.
(2)
A: Good morning, sir.
B: Good morning. I've seen your catalogue and I'm interested in your Flying Pigeon
Bicycle. I think this type of bicycle will have a ready market in Canada. This is a list of
my requirements. Could you quote us your lowest price C.I.F. Vancouver?
A: We generally quote on a F.O.B. basis. Just a moment. I'll work it out for you.
(3)
A: Hello!
B: Hello! I've seen your catalogue and I'm interested in some of your products.
A: You chose well. These products are selling well in your neighborhood. I believe they
will have a ready market at your end.
B: Could I have a look at your samples?
A: Sure. Here you are.
B: I'm very pleased with your products. I'm considering placing an order as long as your
terms and conditions are acceptable.
A: Here is our price list. These products are in great demand at present. So place your order
early if at all possible.
VII，Supplemetary Reading
， A sales enquiry can be generated in a number of ways. It can be a phone call, a letter, 1
call for tender, fax or e-mail, or it may be as a result of contact by a representative？
through your advertising, or direct marketing.
2， Sales enquiries can be divided into active enquiries and passive enquiries.
2
3， To take the active role.
4， 1) Decide whether we can do what is required, and also whether we should do it.
2) Produce an estimate or price accurately and quickly.
3) Have a process for keeping the customer informed at various stages of the process.
4) Have a well-defined system of authorisation, that does not impede progress, but does
ensure decisions are made by the right people.
5. Generally the steps are estimate, pricing, and proposal.
Unit Two
I. Warm-up Practice
1. Match the following currencies with their abbreviations
Australian Dollar AUD
Canadian Dollar CAD
Hong Kong Dollar HKD
New Zealand Dollar NZD
U.S. Dollar USD
Swiss Franc SFr
Euro Dollar EUR
Great Britain Pound GBP
Japanese Yen JPY
Singapore Dollar SGD
Renminbi RMB
2. Match the Incoterms with their Chinese equivalents.
CFR ( Cost and Freight) 成本加运费
CIF ( Cost, Insurance and Freight) 成本,保险费加运费
CIP ( Carriage and Insurance Paid To) 运费和保险费付至
CPT ( Carriage Paid To) 运费付至
DAF ( Delivered at Frontier) 边境交货
DDP ( Delivered Duty Paid) 完税后交货
DDU ( Delivered Duty Unpaid) 未完税后交货
DES ( Delivered Ex Ship) 目的港船上交货
DEQ ( Delivered Ex Quay) 目的港码头交货
EXW ( Ex Works) 工厂交货
FAS ( Free Alongside Ship) 船边交货
FCA ( Free Carrier) 货交承运人
FOB ( Free on Board) 船上交货
3. Open
4. Open
III. Listening Practice
1. Listen to the tape and write down the following quotations. 1) AUD 100 per dozen EXW Guangzhou
3
(2) CAD 200 per kilogram FCA Guangzhou
(3) EUR 137 per set FOB Shanghai
(4) JPY 597 per unit FAS Shanghai
(5) HKD 167 per piece CFR Hong Kong
(6) SGD 463 per metric ton CIF Singapore
(7) USD 800 per set CPT Geneva
(8) CHF 2,629 per kilogram CIP Geneva
(9) USD 325 per set Delivered at Sino-Mongolian frontier
(10) EUR 317 per piece DES Marseilles
(11) GBP 500 per unit DEQ London
(12) EUR 386 per metric ton Delivered at 5 Maple Road, Bonn, Duty Paid
(13) EUR 1,000 per metric ton Delivered at Maple Road, Bonn, Duty Unpaid 2. Listen to the passage and fill in the missing words or expressions.
1) offer; goods; a firm offer; non-firm offer; quality or specifications; details of prices; terms
of payment; packing; buyer; counter offer; offer -- counter offer -- counter-counter-offer
2) exporting; revenue; Appropriate pricing; establish all relevant market data; a particular
market area; adjust prices; supply and demand; rising or falling; profit margin; The quality
and quantity of the products; fluctuations
3. Listen to the passage and complete the notes.
quotes a price; taxes; gross prices; net prices; legally binding; when prices tend to fluctuate;
are subject to change; hold the goods for a certain time; to protect their reputation; discounts;
a trade discount; a quantity discount; a cash discount; a loyalty discount
VI. Follow-up Practice
1. Listen to the tape and filling in the missing information.
A. 100 cases; 5 kilograms per case; at USD25; CFR European main ports; September, 2002;
five days.
B. 50,000 tons; USD 225;
C. 200 kilograms; USD 120; FOB Shanghai.
D. subject to our final confirmation; 8111 Pure Silk Fabrics; 382913-AB; 50,000 yards; in
wooden cases; USD3.7 per yard CIF London; To be made in three equal monthly
installments; March 23, 2002; to be opened 30 days before the time of shipment;
E. letter; reply; June 1; offer; 80 metric tons; 2002 Crop; USD765 per metric ton;
June; transshipment; terms and conditions; insurance; 130%
2. Listen to three paragraphs and fill in the blanks
1) counter-offer; offer; sellers; consider
2) buyers; bid; price;commodity; made
3) an intermediary; the money; 2% of commission; price reduction; “special discount”;
promoting and expanding sales; excluded from the export price.
3. Interpret the following sentences.
(1)
A: Here is our offer for 1,000 cases of jasmine tea.
4
B: Well, your price is too high to accept. It'll be very difficult for us to make any sales.
A: You must be aware that the price of jasmine tea has been increasing.
B: But Vietnamese suppliers give a lower price.
A: Every one in the trade knows that our jasmine tea is far more superior.
B: I don't deny the quality of your jasmine tea. But competition is keen. Many
suppliers are in fact cutting their prices trying to get a larger market share.
A: So far, our product can handle the competition well. We‟ve had many orders and more
are coming. It just shows that our product is competitive and our price is attractive.
(2)
A: Here is our price list. All the prices in the list are subject to our final confirmation.
B: By the way, do you allow any commission?
A: Well, our prices are quoted on an FOB net basis. As a rule, we don't allow any
commission.
B: But you know, we're a commissioned agent. We do business on a commission basis.
Commission transactions will surely help to push the sale of your products.
A: Yet your order is really not large enough.
B: What quantity would you consider to be a large shipment?
A: USD 500,000 or over.
B: Wow, really substantial. Well, Mr. Chen, this is our first transaction. Can you be more
flexible and offer us more favorable terms? It might be possible for us to establish a
long-term relationship.
A: O.K. We would grant you a 3% commission if you place an order of USD400,000.
B: We appreciate your concession very much. However, we can usually get a 5%
commission from our European suppliers.
A: Mr. Green, our price itself is already favorable. It is for our future business that we make
this exception. This is the best we can do.
B: All right, we'll have to accept it.
(3)
A: Mr. Wright, here is our offer for 5,000 metric tons of grade A red beans, USD175 per
metric ton, CIFC5% Rotterdam.
B: Your price is on the high side, Mr. Chang. It's impossible for us to conclude any
transactions at this price.
A: I don't know why you think so. Frankly speaking, we wouldn't quote you such a low
price if you were not our regular customer. I bet you can't get such a favorable price
from other suppliers.
B: We got an offer from a Thailand supplier yesterday. Their price is 3% lower.
A: You must take the quality of our red beans into consideration. Every one in this trade is
well aware that the Chinese Grade A red bean is of superior quality. So the price of
grade A commodities of course must be higher than those of inferior quality. Besides,
there is a strong demand for Grade A red beans. A lot of orders are pouring in from all
over the world. Most of the importers think that our offer is reasonable. I believe you'll
make profits buying at this price.
5
(4)
A: Your price is 5% higher than that of the last transaction.
B: You know production cost has increased a great deal recently. We also need to consider
upward trends when we fix the price.
A: But it will be very difficult for us to persuade our clients to buy at such a price. You'll
have to reduce your price by 5%.
B: Your counter-offer is far beyond my reach. We can't stand such a big cut.
A: We make this counter-offer based on the offers from other suppliers. We made inquiries
to some suppliers at the same time and found that your price is higher than the other
suppliers.
B: Could we just put this problem aside? Could you give me an idea of the size of your
order first?
A: It will largely depend on the price you offer. If you could make a 5% reduction, we
would place an order of 100,000 pieces.
B: All right. Shall we move together? We reduce the price by 3% on the condition that
you increase your order to 200,000 pieces. This is our rock bottom price.
A: O.K. Let's call it a deal.
VII. Supplementary Reading
1. Pricing should be postponed until all of the other aspects of the transaction have been
discussed.
2. By presenting a more comprehensive negotiating package in a well planned and
organized manner.
3. The exporter should react positively by initiating discussions on non-price questions,
instead of immediately offering price concessions or taking a defensive attitude.
4. The importer may press the exporter to make a concession on quantity discounts,
discounts for repeat orders and improved packaging and labeling (for the same price).
5. The importer may object to the initial price quoted.
Unit Three
III. Listening Practice
1. Listen to the dialogue and answer the following questions.
1) Pillowcases, Article No. 201.
2) 2,000 pieces
3) No. Because pillowcases Article No. 201 are the best selling goods. They are sold out fast
every year.
4) She has to pay a higher price in order to get 2,000 pieces.
2. Listen to the tape and fill in the missing information.
quotation of Nov. 15; with samples; quality; prices; place a trial order; Ladies' nylon pants;
20,000 pcs; USD0.20/pc; USD4000.00; Bags; 500 pcs; USD1.00/pc; USD 500.00; a good
market; place further and larger orders.
6
3，Listen to a passage and decide whether the following statements are true or false.
1) F 2) T 3) F 4) F 5) T 6) T 7) F 8) T
VI. Follow-up Practice
1， Listen to three dialogues and decide whether the following statements are true (T) or false
(F).
1？F 2？F 3？ F 4？T 5？F 6？F 7？T 8？ F 9？ F 10？T
2， Listen to a passage and answer the following questions.
1？ To check that the products are available and to confirm the order with the customer.
2) No.
3) The stock control system.
4) You send an invoice to the customer.
3. Listen to a passage and fill in the blanks.
1) interest; to make enquires; place an order; publicizing and promoting; client; delivery;
replacements; after-sales service
2) letters, faxes or e-mails; a formal order; a firm order; terms and conditions; the article
number; the port of destination; the payment terms; execute the order
3. Interpret the following sentences.
(1)
A: We've received your inquiry, Mr. Smith. But we are sorry to tell you that the goods you
inquired for are out of stock. You'll have to wait for two months.
B: Two months! It will be too long. Our customers are in urgent need of the goods.
A: There's nothing we can do. Our products have been well received for their high quality
and reasonable prices. So demands have often been exceeding supplies. Though we have
tried to speed up production, we still can't meet the increasing demands. So I'd like to
recommend to you the HRF-279.
B: Our clients are familiar with GSB-112, but not HRF-279. How do I know that it
will sell well in our market?
A: Don't worry. The HRF-279 has been selling well in Europe and in Southeast Asian
countries. I'm sure it will have a ready market at your end.
B: I hope so.
(2)
(On the phone)
A: We have received your sample and are very satisfied with it. We'll be placing a trial
order for 5,000 sets. The order form will reach you tomorrow.
B: We're glad to accept your order. May I remind you that the sample should be added as
part of the first shipment.
A: No problem. Whenever we place an order, we always ask for a sale by sample agreement,
so we can be sure of the quality of the product.
B: Don't worry. Our products are always as good as the samples we send.
A: Thank you. If they sell well in our market, I can promise you that substantial orders
7
will follow.
(3)
A: Hi.
B: Long time no see. How's business?
A: Not bad. How's everything?
B: It is the off-season in my market, since spring festival has just passed. I found that your
sales of bicycles have been falling off lately, haven't they?
A: That's because we have switched to bicycle accessories.
B: Then, are you still handling bicycles?
A: I am, but not on a large scale. Are you thinking of placing an order for some bicycles?
B: I'm considering placing an order for 50,000 sets if your price is workable.
VII. Supplementary Reading
1. At all stages of a transaction he must show the buyer tha his aim is to serve him well.
2. Accurately and clarity.
3. Within the next six weeks.
4. Documents against payment.
5. Northminster Bank (City Branch), Deal Street, Birmingham B3 ISQ.
Unit Four
I. Warm-up Practice
1. Match Column A with Column B
Revocable L/C 可撤销信用证
Irrevocable L/C 不可撤销信用证
Sight L/C 即期信用证
Usance/time L/C 远期信用证
Documentary L/C 跟单信用证
Clean L/C 光票/无跟单信用证
Standby L/C 备用/保证信用证
Revolving L/C 循环信用证
Red clause L/C 红条款信用证
Reciprocal L/C 对开/互开信用证
2. Open
3. Below is a sample of irrevocable letter of credit which illustrates the various parts of a typical
letter of credit.
1. (1. 2. 3.)
2. No.
3. within 21 days from B/L date
4. 1) T/T 2) open account 3) L/C 4) D/P 5) L/C 6) escrow
8
III. Listening Practice
1. Listen to the tape and fill in the missing information.
the letter of credit; reliable; safe; buyers; sellers; buyers; the opening bank; finance;
collection; Documents against Payment; Documents against Acceptance; expenses;
procedures; a risk; actual payment; collecting; non-payment; shipping documents; D/P at
sight; D/P after sight; immediate payment; D/P; make payment; 45; 90; the documents; pays;
acceptance; promise; the financial standing of the importer is sound; have convinced;
payment.
2. Listen to the dialogue between the bank clerk and the customer and answer the following
questions.
(1) To make an investigation of the financial position of the Malaysian Trading Company.
(2) Yes.
(3) RMB(898 in total.
(4) The results of the investigation of the financial standing of the Malaysian Trading
Company
3. Listen to a passage and decide whether the following statements are true (T) or false (F)
1) F 2) T 3) T 4) F 5) F 6) T 7) T 8) F 9) F 10) T
VI. Follow-up Practice
1. Listen to a passage and fill in the missing information.
export; irrevocable letter of credit; at sight; 30 days before shipment; the 15th day;
documents against acceptance; the payment method; through full discussion; our imports;
payment by collection.
2. Listen to a dialogue and answer the following questions.
A. To discount a time bill.
B. A ninety-day bill for USD 9,876,000.
C. Yes.
3，Listen to the tape and decide whether the following statements are true (T) or false (F).
1？T 2？F 3？F 4？T 5？T
4. Interpret the following sentences.
(1)
A: When should we open the L/C?
B: The L/C must reach us one month before shipment. Since the goods are supplied
from stock, you'd better open the L/C as soon as possible, otherwise it may delay the
shipment.
A: If we open the L/C one month before shipment, it'll tie up our money. Would 15
days do?
B: I'm afraid not. It'll take us a lot of time to get the goods ready and book shipping space.
You can't expect us to make delivery within 15 days.
A: When are you going to ship the goods?
B: The goods will be ready at the end of January. So if the L/C would reach us by
9
January 1, we could deliver the goods in early February.
A: Do you have any stipulations on the validity of the L/C?
B: We generally require the L/C to remain valid until the fifteenth day after shipment.
A: Can we use City Bank as our opening bank?
B: No problem at all.
(2)
A: I'm Chen Qiang of the Guangdong Silk Import & Export Corporation. I'd like to
talk to you regarding your order No.123-456 with us.
B: Is there anything wrong?
A: Well, shipping space is all booked up. I'm afraid we can't deliver the goods on time.
Could you extend the L/C until the end of this month?
B: No problem, but please try your best to solve the problem. The goods are seasonal
commodities; we'll have to meet the Christmas selling season.
A: We'll try our best to ensure delivery in Mid-October.
B: Thank you very much.
A: That's all right.
( 3 )
A: So far we have already settled the problems of price, quality and quantity.
Now what about the terms of payment?
B: We only accept payment by irrevocable letter of credit payable against shipping
documents.
A: Could you be more flexible and accept D/A or D/P?
B: I‟m afraid not.
A: Frankly speaking, we have overstocked some other goods, and our floating funds
are insufficient. It'll tie up our money to open an L/C.
B: I quite understand your position. But the problem is that the world economic situation is
going downward and the financial market is fluctuating. We have to do
business on an L/C basis so as to be guaranteed.
A: Then could you accept 50% payment by L/C and the balance by D/P?
B: Sorry, we are not in a position to do that, yet we could offer you more favorable
terms of delivery instead.
VII. Supplementary Reading
1. An experienced exporting firm extends credit cautiously. It evaluates new customers with
care and continuously monitors older accounts. Such a firm may wisely decide to decline a
customer's request for open account credit if the risk is too great and propose instead
payment on delivery terms through a documentary sight draft or irrevocable confirmed
letter of credit or even payment in advance. On the other hand, for a fully creditworthy
customer, the experienced exporter may decide to allow a month or two to pay, perhaps
even on open account.
2.
1) Cash in advance;
10