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Everythingisnice.
IhopethroughyourvisitwecansettlethepriceforourChinaware,
andconcludethebusinessbeforelong.
Ithinkso,MissLin.Wecameheretotalktoyouaboutour
requirementsofHXSeriesChinaware.Canyoushowusyourprice-list
andcatalogues?
We’vespeciallymadeoutaprice-listwhichcoverthoseitemsmost
popularonyourmarket.Hereyouare.
Oh,it’sveryconsiderateofyou.Ifyou’llexcuseme,I’llgooveryour
price-listrightnow.
Takeyourtime,MissCai.
Oh,Mr.Wang.Aftergoingoveryourprice-listandcatalogues,weare
interestedinArtNo.HX1115andNo.HX1128,butwefoundthatyour
pricearetoohighthanthoseofferedbyothersuppliers.Itwouldbe
impossibleforustopushanysalesatsuchhighprices.
I’msorrytohearthat.Youmustknowthatthecostofproductionhas
risenagreatdealinrecentyearwhileourpricesofChinawarebasically
remainunchanged.Tobefrank,ourcommoditieshavealwayscomeupto
ourexportstandardandthepackagesareexcellentdesignedandprinted.
Soourproductsaremoderatelypriced.
I’mafraidIcan’tagreewithyouinthisrespect.Iknowthatyour
productsareattractiveindesign,butIwishtopointoutthatyouroffers
arehigherthansomeofthequotations.I’vereceivedfromyour
competitorsinothercountries.So,yourpriceisnotcompetitiveinthis
market.
MissCai.Asyoumayknow,ourproductswhichisofhighquality
havefoundagoodmarketinmanycountries.Soyoumusttakequality
intoconsideration,too.
Iagreewithwhatyousay,butthepricedifferenceshouldnotbesobig.
Ifyouwanttogettheorder,you’llhavetolowertheprice.That’sreasonable,isn’tit?
Well,inordertohelpyoudevelopbusinessinthisline,wemay
considermakingsomeconcessionsinyourprice,butnevertothatextent.
Ifyouarepreparedtocutdownyourpricesby8%,wemightcometo
terms.
8%?
I’mafraidyouareaskingtoomuch.Actually,wehavenevergave
suchlowerprice.Forfriendship’ssakewemayexceptionallyconsider
reducingthepriceby5%.Thisisthehighestreductionwecanafford.
Youcertainlyhaveawayoftalkingmeintoit.ButIwonderifwhen
weplacealargerorder,you’llfartherreduceyourprices.Iwanttoorder
onecontainerofHX1115and438setsofHX1128.
MissCai,Icanassureyouthatourpriceismostfavourable.Weare
sorrytosaythatwecannotbringourpricedowntoastilllowerlevel.
OK.Iaccept.Now,let’stalkaboutthetermsofpayment.Wouldyou
acceptD/P?
Ihopeitwillbeacceptabletoyou.
ThetermsofpaymentweusuallyadoptaresightL/C.
ButIthinkitwouldbebeneficialtobothofustoadoptmoreflexible
paymenttermssuchasD/Pterm.
PaymentbyL/Cisourusualpracticeofdoingbusinesswithall
customersforsuchcommodities.I’msorry,wecan’tacceptD/Pterms.
Asforregularordersinfuture,couldn’tyouagreetoD/P?
Sure.Afterseveralsmoothtransactions,wecantryD/Pterms.
Well,asforshipment,thesoonthebetter.
Yes.ShipmentistobemadeinApril,notallowingpartialshipment.
OK.Isee.Howaboutpackingthegoods?
We’llpackHX1115incartonofoneseteach,HX1128incasesofone
seteach,twocasestoacarton.
Isuggestthegoodspackedincardboardboxes,it’smoreattractive
thancartons.Doyouthinkso?
Well.Ihopethepackingwillbeattractive,too.
FortransactionconcludedonCIFbasis,insuranceistobecoveredby
thesellersfor110%ofinvoicevalueagainstWPA.Clash&
Breakageand
WarRisk.
Thistermlessthesegoodsshoulddamageintransit.Iagreewithit.
I’mgladwehavebroughtthistransactiontoasuccessfulconclusion
andhopethiswillbethebeginningofotherbusinessinthefuture.Let’s
confirmtheseitemsweconcludedatthemoment.
Yes.Weconcludedasfollows:
542setsofHX1115atthepriceofUSD
23.50persettobepackedincardboardboxesofoneseteachandtobe
shippedCIFC5Toronto;
438setsofHX1128atthepriceofUSD14.50
persettobepackedincaseofoneseteach,twocasestoacardboardbox
andtobeshippedCIFC5Toronto.
Allright.Bytheway,whencanIexpecttosigntheS/C?
MissCai,Woulditconvenientforyoutocomeagaintomorrow
morning.I’llgettheS/Creadytomorrowforyoursignature.
That’sfine.Seeyoutomorrow.Goodbye,MissLin.
Seeyouandthanksforcoming,MissCai.
(二)
ATheseller:
MissLirepresentingHuaxinTradingCompanyLimited
BThebuyer:
Mr.HuangrepresentingJamesBrown&
Goodmorning,Mr.Huang.Gladtomeetyou.
Goodmorning,MissLi.Gladtomeetyou,too.Itismyfirsttimeto
visitShanghai.Shanghaihasbeenknowntomeasaninteractionportcity
beforeIcamehere.
Wealwaystakeattentiontoestablishbusinessrelationswiththenew
clientsinothercountries.Iwishwewillhaveagoodtimethismorning.
Icomeheretovisityouhopingtohaveadiscussionwithyouonthe
purchaseofyourHXSerieschinaware.
WhichArt.No.areyouinterestedin?
HX1115andHX1128.
Whichpricetermsdoyouprefer,FOB,CFR,orCIF?
CIF.
ThepriceofHX1115isUSD24.19persetCIFToronto.Thepriceof
HX1128isUSD14.93persetCIFToronto.Itisunderstoodthatthe
abovepricesarenet,withoutanycommission.
Iamafraiditgoesagainsttheusualcommercialpracticenottoallowa
commission.
Wearepreparedtograntyoua5%commission.442setsofHX1115at
thepriceofUSD24.68persetCIFC5Toronto;
338setsofHX1128atthe
priceofUSD15.23persetCIFC5Toronto.
I’mafraidyourpricesappearunworkable.
Iamassuringyouthatourpricesaremostfavorable.Atrialsalewill
unvoicedyouofmywords.
Unlessthepricescouldmatchwiththemarketlevel,itisdifficultto
persuadecustomerstopurchasewithyou.Inordertoconcludethe
transaction,IthinkyoushouldreduceyourpricetoUSD23.00persetof
HX1115.WillyouconsidercuttingdownyourpricetoUSD14.20perset
ofHX1128.
Astherawmaterialhasadvancedby10%duringthelastfewmonths
andthepricesaregoingup,owingtotheriseinthecostofrawmaterials.
Wecan’tacceptthisprices.
Ithinkitunwiseforbothofustoinsistonhisownprices.Canweeach
makesomeconcession,say,thepriceofHX1115isUSD23.50perset
CIFC5Toronto;
thepriceofHX1128isUSD14.50CIFC5Toronto?
Ifweacceptyourprices,wewillnotleavealittleofmarginofprofit.
Iamafraidwehavetocallthewholedealoffifyoustillinsistonyour
originalquotation.
Wellforfriendship’ssake,wearepreparedtomakea5%reductionif
yourorderisbigenough.Ourminimumquantityisa20’containerfor
eacharticle.
Ourquantitiesare542setsofHX1115and438setsofHX1128.
OK.
Shallwehaveatalkabouttermsofpaymentnow?
Ourusualpaymenttermsarebyconfirmed,irrevocableL/Cpayable
bysightdraftagainstpresentationofshippingdocumentsandtoreachus
30daysbeforethemonthofshipment.
ToopenanL/Cwillcauseusagreatdealofdifficult.It’sexpensiveto
openanL/Candtiesupthecapitalofacompanylikeours.Soit’sbetter
forustoadoptD/PorD/A.
L/Catsightisourusualpaymentterms.
ItisbetterforustoadoptD/PatsightthanL/Catsight.
WehavenevergrantedD/Ptermstoanynewclients.Sowehopeyou
canaccepttheL/Cterms.Afterseveralsmoothtransactions,wecantry
otherterms.
Wecan’thelpitifyouinsistrequiringpaymentbyL/Catsight.Bythe
way,whatcoverwillyoutakeout?
Theinsuranceistobecoveredbyusfor110%ofinvoicevalueagainst
WPAClash&
BreakageandWarRisksaspertheOceanMarineCargo
ClausesofPICC(1981.1.1).
Allright.Howwouldyoupackthegoods?
HX1115istobepackedincartonsofoneseteach.HX1128istobe
packedincasesofoneseteach,twocasestoacarton.
Ihopethepackingwillbeattractive.Nicepackinghelpsfindamarket.
Pleasegivespecialattentiontothepackingorthegoodscouldbe
damagedintransit.
Allright.
Whenisshipmenttobemade?
ShipmentistobemadebeforeoronApril30,1998.
Wehavetopointoutthatthegoodsarenotallowingpartialshipment.
OK.Bytheway,whatarethePortsofShipment&
Destination?
ShanghaiandToronto.
andhopethiswillbetheforerunnerofotherbusinessinthefuture.
Allright.Iacceptyourofferof542setsofHX1115atthepriceof
USD23.50perset,and438setsofHX1128atthepriceofUSD14.50per
set.ShipmentistobemadenolaterthanApril30,1998afterreceiptof
L/Candnotallowingpartialshipment.ThePortsofShipment&
DestinationarefromShanghaitoToronto.HX1115istobepackedin
cartonsofoneseteachandHX1128istobepackedincasesofoneset
each,twocasestoacarton.ThepaymenttermsarebyL/Catsight.
Insuranceistobecoveredbyyoufor110%ofinvoicevalueagainstWPA
Clash&
BreakageandWarRisksaspertheOceanMarineCargoC