Negotiating Import/Export Terms
Representatives from an importing company and an exporting company are discussing and negotiating the terms of a deal, including pricing, shipping, payment methods, and delivery schedules.
Dialogue
Listen and follow along with the conversation
Vocabulary
Essential words and phrases from the dialogue
finalize
To finalize means to complete and agree on something, like a deal or plan. It's useful in business to show you're ready to end negotiations.
eager
Eager means very excited and wanting something to happen soon. Use it to express enthusiasm in professional emails or meetings.
pricing structure
Pricing structure refers to how prices are organized, like base price plus extras. It's common in trade talks to discuss costs clearly.
ex-works
Ex-works is a shipping term where the seller makes goods available at their factory, and the buyer handles all transport. It's a basic Incoterm for exports.
discount
A discount is a reduction in the price. In negotiations, ask for one based on order size to save money.
margins
Margins mean the profit difference between cost and selling price. Businesses use this to explain why they need better prices.
commitment
Commitment is a firm promise to do something, like signing a contract. It's key in business to build trust.
CIF
CIF stands for Cost, Insurance, and Freight; the seller pays to deliver goods to the buyer's port. Use it when negotiating shipping responsibilities.
lead times
Lead times are the expected time from order to delivery. Ask about them to plan your business schedule.
upfront deposit
An upfront deposit is money paid in advance before goods are shipped. It's common in international trade to secure orders.
bill of lading
A bill of lading (B/L) is a shipping document that acts as a receipt and contract. It's used for payment terms after shipment.
compromise
A compromise is an agreement where both sides make concessions. It's polite in negotiations to reach a fair deal.
recap
To recap means to summarize the main points again. Use it at the end of meetings to confirm understanding.
Key Sentences
Important phrases to remember and practice
We're eager to finalize the terms for the upcoming shipment.
This sentence shows enthusiasm for completing a deal. 'Eager to' expresses strong interest, and 'finalize the terms' is a common business phrase for agreeing on conditions. Use it to start negotiations positively.
Are you comfortable with the ex-works price we quoted?
This asks if the other side accepts a price quote politely. 'Comfortable with' means okay or satisfied. It's useful for checking agreement without pressure in trade discussions.
Given the volume we're looking at, perhaps a 3% discount on orders over 5,000 units?
This proposes a discount based on quantity. 'Given' means considering, and 'perhaps' softens the suggestion. It's a negotiation tactic to justify a lower price for larger orders.
That would necessitate a commitment to a 12-month supply agreement.
This links a concession to a condition. 'Necessitate' means require, showing cause and effect. Use it when offering something in exchange for a promise in business contracts.
We prefer CIF our port. What are the lead times you can guarantee?
This states a preference for shipping terms and asks for delivery details. 'Prefer' is polite for choices, and questions like this clarify logistics. Essential for import/export talks.
We're looking at a 30% upfront deposit with the remaining 70% payable upon presentation of shipping documents.
This outlines payment terms clearly. 'Looking at' means considering, and 'payable upon' specifies when payment is due. It's a standard way to propose financial arrangements in deals.
That's a fair compromise. We appreciate your flexibility.
This accepts an agreement graciously. 'Fair compromise' acknowledges balance, and 'appreciate your flexibility' thanks the other side. Use it to end negotiations on a positive note.
So, to recap: [summary of terms]. Does that capture everything?
This summarizes and confirms details. 'To recap' introduces a review, and 'capture everything' checks completeness. It's crucial for avoiding misunderstandings in business agreements.