What Is Sales Planning? Why is sales planning important?

Blue Ocean Strategy is a business strategy that involves the simultaneous pursuit of low-cost and differentiation methods to capture market space devoid of any competition.

 Blue Ocean Strategy is a business strategy that involves the simultaneous pursuit of low-cost and differentiation methods to capture market space devoid of any competition. The Blue Ocean Strategy aims to open up new markets, which open ups the door to creating new demands.

Competition remains irrelevant for this strategy as it is applicable for uncontested or unknown market space only. When it comes to growth and opportunities, blue oceans are deep, vast, and efficient, as they are untainted and unexplored by any sort of competition. Such strategies are responsible for creating new demand, and companies that opt for this strategy never fight over any shrinking profit pool, instead they develop their own market space.

#business #growth #opportunities #markets #strategy

A blind shipment is when consignee / receiver

 A blind shipment is when consignee / receiver of the shipment is not aware of the shipper or its origin.

The term double blind is used when the shipper does not know where the shipment will be delivered.

The reasoning behind blind and double blind shipments is the distributor does not want their customers to know where the product is coming from to protect against them from trying to go direct or in the double blind situation the distributor also does not want the shipper to know where their product is going so they don’t go direct.

In most cases, the freight provider will add an additional fee to the shipment because of the additional work that is often required to protect the distributor in the transaction.

Often times, blind shipping and drop shipping are used interchangeably, but they should not be. When a shipment is drop shipped all parties know where the product originates and where it is delivered. Drop shipping is used to reduce the number of touches and freight moves to deliver a customer order.

 When an issuing bank do not request or do not authorise the advising or nominated bank to add confirmation to the credit, but despite that a confirmation is added at the request of the beneficiary, then it is called "silent confirmation".

Certainly, the "silent confirmation" is a legal agreement between the beneficiary and a bank that remains confidential between those two parties, subject to the applicable law of the confirming bank.

What happens when the payment is not received by the beneficiary under sight LC or on due date under usance credit which was silently confirmed?

Since the silent confirming bank (though being a nominated bank - did not negotiated or provided the value from their own funds or they were not a negotiating bank because of the credits being payable at the counters of the issuer) they were aware that they had no rights to sue the issuer. (Normally, the terms of the agreement would obligate the silent confirming bank to pay only after expiry of 30 days as a safe harbor period from the date of receipt of the documents by the Issuing Bank.) However, under the agreement, the beneficiary would sue the issuer and the legal cost would be borne by the silent confirming bank.

Freight incoterms (International Commercial Terms)

 Freight incoterms (International Commercial Terms) are the standard contract terms used in sales contracts with importing/exporting to define responsibility and liability for shipment of the goods. In plain English – how far along the process will the supplier ensure that the goods are moved, and at what point does the buyer take over the shipment process.

There are currently 11 Incoterms in use. Some apply to all modes of transport while some are specific to a particular mode. These are the 11 rules briefly explained:

▪️EXW (Ex-works): This means that the seller makes the goods available at a specified location, usually the seller’s factory. The buyer is responsible for onward transportation of the goods and bears the cost for the same.
▪️DAP (Delivered At Place): The seller is responsible for delivering the goods to a designated place.
▪️FOB (Free on Board): The seller completes delivery when he loads the goods on a ship specified by the buyer at a named port. Hence, the seller is “free” of responsibility once the goods are “on board” the ship. Any liability for damage or loss thereafter passes to the buyer. This rule applies to goods transported by sea or inland waterway.
▪️FCA (Free Carrier): The seller delivers the goods to a carrier or an agent nominated by the buyer at the seller’s premises or another specified location.
▪️FAS (Free Alongside Ship): The seller delivers the goods alongside the ship (on a barge or quay, for example). The buyer must load the goods on the ship. This rule applies only to sea transport.
▪️CFR (Cost and Freight): The seller delivers the goods on a ship at the designated port and pays for cost and freight to bring the goods to the port.
▪️CIF (Cost, Insurance and Freight): The seller delivers the goods on the ship at the named port and pays for cost, freight and insurance to transport the goods to the port.
▪️CPT (Carriage Paid To): The seller delivers the goods to a named place and pays for carriage to that place.
▪️CIP (Carriage and Insurance Paid To): The seller delivers the goods to a named place, pays for both carriage and insurance of the goods to that place.
▪️DPU (Delivered At Place Unloaded): The seller delivers the goods at a designated place and unloads them, bearing the risks and costs of both. This is the only rule that requires the seller to unload the goods to complete delivery. The buyer takes care of any import clearance charges, taxes and duties.
▪️DDP (Delivered Duty Paid): The seller bears the maximum responsibility here as he arranges for carriage and delivery of goods at a named place, and pays for import clearance as well as any duties and taxes that might apply.