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Part 1 Overview 2

Chapter 1 Introduction to International Trade 2

Chapter 2 Basic Theory of International Trade 6

2.1 International Specialization 6

2.2 General Concept of Absolute Advantage and Comparative Advantage 7

Chapter 3 Barriers to International Trade 11

3.1 Sociocultural Barriers 11

3.2 Economic Barriers 13

3.3 Trade Barriers 15

Chapter 4 E-commerce 19

4.1 Why to E-commerce 19

4.2 How to E-commerce 20

4.3 How E-commerce Is Changing the Role ofIntermediaries 21

4.4 Using Technology to Be Responsive Customers 21

Part 2 Terms of International Trade 24

Chapter 5 International Trade Terms 24

5.1 Generalization 24

5.2 A Guide to Incoterms 2010 27

Chapter 6 Terms of Commodity 41

6.1 Name of Commodity 41

6.2 Quality of Commodity 41

6.3 Quantity of Commodity 44

6.4 Packing ofCommodity 45

6.5 Commodity Inspection and Customs Formalities 49

Chapter 7 International Cargo Transport 55

7.1 Modes of Transport 55

7.2 Clause of Shipment 62

7.3 Major Shipping Documents 64

Chapter 8 International Cargo Transportation Insurance 69

8.1 Parties to the Insurance 69

8.2 Marine Insurance 70

8.3 Insurance of Land,Air and Postal Transportation 76

8.4 Fundamental Principles of Cargo Insurance 77

Chapter 9 Terms of Price 80

9.1 Price Elements 81

9.2 Pricing Methods 83

9.3 Pricing Strategies 84

9.4 Money of Account and Avoidance of Foreign Exchange Risk 85

9.5 Use of Commission and Discount 85

9.6 Clause of Price 86

Chapter 10 International Payments 88

10.1 Amount of Payment 89

10.2 Payment Currency 89

10.3 Instrument 89

10.4 Payment Methods 93

10.5 International Factoring 105

Chapter 11 Claims.Force Majeure and Arbitration 112

11.1 Claims 112

11.2 Force Majeure 113

11.3 Arbitration 114

Part 3 International Trade Procedure 118

Chapter 12 Launching a Profitable Transaction 118

12.1 Market Research 118

12.2 Sourcing Contacts 118

12.3 Tips for a Successful Negotiation 119

Chapter 13 Exporting and Importing Procedures 122

13.1 Export Procedures 122

13.2 Import Procedures 124

Chapter 14 Business Negotiation and Establishment of Contract 128

14.1 Enquiry 128

14.2 Offer 129

14.3 Counter-offer 131

14.4 Acceptance 132

14.5 Conclusion of a Contract 133

Chapter 15 Export ＆ Import Documentation 137

15.1 Government Control Documents 138

15.2 Commercial Documents 143

15.3 Finance Documents 145

15.4 Transportation Documents 149

15.5 Insurance Documents 154

Part 4 Trade Forms 159

Chapter 16 Agency.Distribution and Consignment 159

16.1 Agency 159

16.2 Distribution 161

16.3 Consignment 161

Chapter 17 Tenders 164

17.1 Invitation for Bids 165

17.2 Submission of Tenders 166

17.3 Bid Opening 167

17.4 Evaluation of Tender 168

17.5 Tender Discussions and Tender Decision 168

17.6 Establishment of Contract 168

17.7 Execution of Contract 170

Chapter 18 Futures Trading 173

18.1 Introduction to Futures Trading 173

18.2 Futures Market 173

18.3 Futures Contract 176

18.4 Hedging 176

Chapter 19 Counter Trade 179

19.1 Barter 180

19.2 Counterpurchase 180

19.3 Compensation Trade 180

19.4 Switch Trade 181

19.5 Offset 182

Part 5 WTO ＆ Globalization of Trade 186

Chapter 20 WTO:Objectives,Functions and Basic Principles 186

20.1 WTO:an Overview 186

20.2 WTO:Objectives,Functions and Basic Principles 188

Chapter 21 WTO:Structure 193

21.1 WTO Organization Structure 193

21.2 Ministerial Conference and China's Accession:Doha,2001 196

21.3 The WTO Secretariat 196

Chapter 22 Overview of WTO Agreements 199

22.1 Some Interpretations 199

22.2 A Navigational Guide to the WTO Agreements 200

Chapter 23 Globalization of Trade and Future of Global Trade 204

23.1 Globalization of Trade 204

23.2 The Future of Global Trade 206

Appendix Glossary of International Trade Terms with English-Chinese Interpretations 212

Bibliography 246