Doing Business in China

Steps to import export business china L/C payment term polite sensitive profitable mistakes

Step 1 For most Chinese suppliers, the payment term is a major concern to be considered instead of price, specially negotiating with a new importer or buyer on their first contract. I think this is reasonable fair to both side.

Step 2 It will be easier to conclude a contract by using L/C payment term instead of D/P payment when Starting An Import Export Business with China, especially negotiating with your new exports or sellers. You may change the terms at a certain period later when your both side mutually feel need it and understand each other so well.

Step 3 Do not concern yourself whether or not you appear polite or are sensitive to the foreign culture. Americans are generally considered the most polite and generous of visitors in foreign countries. Do not ask for references of other US customers of this supplier, they will likely not be helpful.

Step 4 Do not expect your first contract be profitable. You plan to deal with a foreigner, a Chinese partner, facing a new but very different culture.

Step 5 Do not expect you win all the things. You will pay your time at learning curve, and pay for lessons, mistakes when Starting An Import Export Business. NO PAIN NO GAIN! But you might gain your connection, your relationship, even more, your long term marketing - that's a big win! Don’t forget this is your Foot Print in China, a 1.3 billion population country.