The Management of Global Trade Distribution Coursework

The Management of world-wide Trade Distribution - Coursework ExampleHowever, if a business organization is not careful, competition might travel it into bad debts. This is because a company might sell its products to new customers, who might not be capable to pay for the commodities thus leading to bad debts. However, this can be avoided by doing a customer cherish analysis and hire history analysis, Peppers and Rodgers, (2010). Customer value analysis is comparing what a customer is ordain and able to part with in monetary terms and what satisfaction the customer gets from the good or gain provided. Payment history analysis is reviewing past payment details of the company in question. A payment analysis allows the company to go through a customers financial statements in society to determine if the customer in question will pay for the goods provided in judgment of conviction hence avoiding the natural event of bad debts. For example, if a customers financial records indica te that they owe other suppliers money past the company should only do with that customer on cash before deli precise basis. If a customers financial statements indicate that the customer is not indebted to other suppliers and pays for goods in time and so the company can supply goods to such customers on cash on delivery basis or cash after delivery. Question four When transporting goods and services various factor outs are considered when choosing the mode and convey of transport. This in turn affects the charges incurred when transporting goods and services. According to Barnes, (2009), the type of goods be transported greatly affects the cost of transportation. For example, toxic materials require specialized containers when transporting them. eruditeness of these special containers might be expensive hence charges for transporting toxic material are high. Another factor that is considered when determining freight charges is the destination distance. Choice of mode and mea ns of transport is also greatly change by distance. If goods are being transported over long distances, then the cost of transportation will be high thus resulting in high freight charges.at the same time if the distance is short cheaper means of transport such as road is used hence resulting in lower freight charges. The time within which goods are to be transported also affects the cost of transportation. For example, if perishable goods such as fruits and flowers are being transported a very fast means of transport is required. For such goods air transport is necessary which is very costly thus resulting in high freight charges. Another factor that determines the freight charges is the general character of the goods being transported. The constitution of goods determines how the goods are to be packed. For example some goods are bulky in nature hence take up a lot of space. Transportation of such goods is more than expensive since the more space goods take the more they are ch arged. Question five Exportation of goods is not an easy task. It is a long process depending on laws put in place in both the country of fall and the country of destination. However, if the correct process is followed it can exportation can be simple and very effective. at that place are certain procedures set, to be followed when exporting anything. First of all one the exportation should prepare for the exportation of the commodity in question. One should make sure that they are conversant with the environments involved in internationalist trade and the obstacles