| Importing and exporting are ways that can improve | | | | Richardian model, which focuses on comparative |
| one's life forever. There is often a situation when a | | | | advantage, meaning that countries specialize in goods. |
| person wants to start a business in this area but | | | | It also says that labor is the only primary input to |
| can't due to lack of sufficient knowledge and | | | | production. Other models are Heckscher-Ohlin model |
| expertise. They are the beginners who need to learn | | | | which focuses on productivity of popular productions |
| about the ways of business world models on export | | | | of specific goods. Others are new trade theory and |
| and import. In this article the basic concepts, models | | | | gravity model. |
| and terminologies of this sector of business will be | | | | Terminology |
| explained. | | | | Even experienced internet entrepreneurs can be |
| Basic Concepts | | | | baffled with the technical terms used regularly by |
| Import means to supply a product (or service) to | | | | economics experts in the field of business, let alone |
| one's own country from any other, while export | | | | the newcomers. Importing and exporting are such a |
| means to supply a product (or service) from one's | | | | sector that includes some alien but basic terms such |
| own country to any other. Trading is the basic need | | | | as availability (the probability of finding a good at any |
| and development of society because it is by default | | | | one place at a time), manufacture's representative |
| that one region or group or culture can not produce | | | | (salesperson specialized in a line/type of products), |
| everything. | | | | distributor and wholesale distributor (an organization |
| So this type of business is not new; in fact it dates | | | | buying your stuff and selling it to the other side), |
| back to the advent of human civilizations, although it | | | | representative (salesperson who sells the products to |
| has grown more sophisticated through years of | | | | distributor), retailers (tail end of business-chain) and |
| civilizations. Introduction of modern technology and | | | | others. |
| science has made it possible to import and export | | | | The various types of importing and exporting |
| even from the furthest corners of the world. | | | | companies are Export Management Company or EMC |
| For example, think of modern life without perfumes | | | | (that handles overseas business for a domestic |
| from Paris, electronics of South Korea, China and | | | | company), Export Trading Company or ETC (that |
| Japan, beer from Germany, cotton from Egypt and | | | | hunts down which products foreign buyers are willing |
| bananas from Alaska. In a year alone the US | | | | to buy and then find the domestic organizations that |
| export-and-import reaches $1.2 Trillion with like 150 | | | | make that product and then they export) and an |
| countries in total. | | | | import/export merchant, who is free agent i.e. an |
| International Trade Models | | | | entrepreneur. |
| There are several import export business models of | | | | Beginning import export needs some import export |
| economics that describe or try to describe) the | | | | training and some import export advices. A |
| international trades. The most popular one is | | | | newcomer on the field will do good to remember this. |