To post 5 chosen terms relevant to study/ practice of International Business.
e.g.
Absolute Advantage
An absolute advantage exists when a nation or economic region is able to produce a good or service more efficiently (using the same amount of resources) than a second nation or region.
Anti-dumping Laws
Laws that are enacted to prevent dumping - offering prices in the overseas market that is lower than that at which a product is sold in its home domestic market.
Arab Maghreb Union (AMU)
A regional alliance seeking economic and political unity in Northern Africa. Members are Algeria, Libya, Mauritania, Morocco, and Tunisia.
Autarky
In models of international trade, a situation in which there is no cross-border trade.
Cross-rate
An exchange rate between two non-US dollar currencies.
Letters of credit
Documents issued by a bank stating its commitment to pay someone (supplier/exporter/seller) a stated amount of money on behalf of a buyer (importer) so long as the seller meets very specific terms and conditions. Many suppliers (exporters) require letters of credit from their buyers (importers). See also Import letters of Credit and Export letters of Credit.
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Inputs on IB Glossary as follows:-
Andean Pact:-
A regional trade pact that includes Venezuela, Colombia, Ecuador, Peru, and Bolivia.
Bogor Goals:-
The Bogor Goals were created by the Asia Pacific Economic Cooperation (APEC) in Bogor, Indonesia in 1994, with the intention of increasing economic unity among Asian Pacific nations by increasing trade. The goals are to have free trade and investment in developed nations by 2010 and in developing nations by 2020.
Calvo Doctrine:-
A foreign policy doctrine that states that the country in which an investment is located has jurisdiction over that investment.
Diversionary Dumping:-
The sale of foreign products at less than fair value to a 3rd country where the products are further processed and sold to another country.
Extraterritoriality:-
A government practice which applies its laws outside its territorial boundaries.
Financial Contagion:-
The spread of a financial crisis from one country or region to other countries or regions.
KH Singh
Roll. No. 31
EMP Oct 07
Leonteif Paradox - The general belief that United State, as a capital abundant country, should be exporting capital-intensive products whereas its exports are Labor intensive. To resolve this paradox Wassily Leonteif (winner of Nobel Prize in Economics 1973) stated that these exports were Skilled Labor Intensive Goods.
Incoterms - Written formulation of “international commercial terms” drafted by International Chamber of Commerce. They are used to divide transaction costs and responsibilities between buyer and seller and reflect state-of-the-art transportation practices. They closely correspond to the U.N. Convention on Contracts for the International Sale of Goods. E.g C.I.F (Cost, Insurance, Freight), F.O.B (Free on Board)
Non-Tariff Barriers (NTB’s) – NTB’s are trade barriers that restrict imports but are not in the usual form of a tariff. Some common examples of NTB's are anti-dumping measures and countervailing duties, which, although they are called "non-tariff" barriers, have the effect of tariffs once they are enacted. Their use has risen sharply after the WTO rules led to a very significant reduction in tariff use. Other examples are Packaging conditions, Labeling conditions, Product standards, Complex regulatory environment
Punitive Tariff – A high tariff the purpose of which is to inflict harm on a foreign exporter as punishment for some previous behavior.
Reciprocal Dumping - The sale by firms from two countries into each others' markets for prices below what each charges at home. So called because the exports of both firms meet the price-discrimination definition of dumping
BAFFLING PIGS and DUKS - Acronyms for the 12 original members and non-members of the Euro Zone. BAFFLING PIGS stands for Belgium, Austria, Finland, France, Luxembourg, Ireland, Netherlands, Germany, Portugal, Italy, Greece, and Spain. DUKS stands for Denmark, United Kingdom, and Sweden.
Generalized System of Preferences (GSP)
A program of tariff preferences for designed to encourage the economic growth of certain developing countries. In accordance with the Generalized System of Preferences (GSP), developed countries let the manufactured and semi-manufactured goods of eligible developing countries enter with either no duty or a lower rate than is applied to other countries.
Asia-Pacific Economic Cooperation (APEC)
A forum designed to promote economic growth, cooperation, and integration among member nations. APEC has also worked to reduce tariffs and other trade barriers across the Asia-Pacific region. Its vision is based on the "Bogor Goals" adopted in the 1994 meeting in Bogor, Indonesia. There are 21 member economies including: Australia; Brunei Darussalam; Canada; Chile; People's Republic of China; Hong Kong, China; Indonesia; Japan; Republic of Korea; Malaysia; Mexico; New Zealand; Papua New Guinea; Peru; The Republic of the Philippines; The Russian Federation; Singapore; Chinese Taipei; Thailand; United States of America; Viet Nam.
Hysteresis
The behavior of firms that fail to enter markets that appear attractive and, once invested, persist in operating at a loss. This behavior is characteristic of situations with high entry and exit costs along with high uncertainty.
Zaibatsu
Large family-owned conglomerates that controlled much of the economy of Japan prior to World War II. The four most historically significant zaibatsus, the Big Four, are Mitsubishi, Mitsui, Yasuda, and Sumitomo whose roots date back to the Japanese Edo period.
EXIMBANK
Export-Import Bank of the United States. Provides guarantees of working capital loans for U.S. exporters, guarantees the repayment of loans or makes loans to foreign purchasers of U.S. goods and services, and provides credit insurance against non-payment by foreign buyers for political or commercial risk. Currently, the Bank is focusing on critical areas such as emphasizing exports to developing countries, aggressively countering trade subsidies of other governments, stimulating small business transactions, promoting the export of environmentally beneficial goods and services, and expanding project finance capabilities. Ex-Im Bank is not an aid or development agency, but a government held corporation, managed by a Board of Directors.
Bhupendra Singh, Roll No - 14
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1) Most Favored Nation:
A trade policy commitment on the part of one nation to extend to another nation tariff rates as low as applies to any other "most favored nations," and to treat imports from that nation without discrimination.
2) Arbitrage
The process of purchasing and selling the identical products, such as foreign exchange, stocks, bonds and other commodities, in several markets intending to make profit from the difference in price. Arbitrage is generally seen as a "risk-less" transaction.
3) Nordic Council
A regional alliance established in 1952 between Norway, Sweden, Finland, Denmark, and Iceland that is dedicated to cooperation among the Nordic countries. This has led to a common labor market, social security, and free movement of citizens across borders.
4) Currency Swap
A contractual agreement to exchange a principal amount of two different currencies and, after a prearranged length of time, to give back the original principal. Interest payments in each currency are also typically swapped during the life of the agreement.
5) South Asian Association for Regional Cooperation (SAARC)
The South Asian Association for Regional Cooperation (SAARC) was established on December 8, 1985. Its members states consist of Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka. Its main areas of cooperation are Agriculture and Rural Development; Health and Population Activities; Women, Youth and Children; Environment and Forestry; Science and Technology and Meteorology; Human Resources Development; and Transport
LAW OF ONE PRICE
In competitive markets free of transportation cost and
barriers to trade, identical products sold in different
countries must sell for the same price when their price is
expressed in terms of the same currency.
POSITIVE SUM GAME
A situation in which all countries can benefit even if some
benefit more that others.
ZERO SUM GAME
A situation in which an economic gain by one country
results in an economic loss by another.
TARIFF QUOTA
A tariff that is set at a lower rate until a specified quantity (the quota) of goods has been imported, at which point the tariff increases for additional imports.
TAX HOLIDAY
A reduced tax rate provided by a government as an inducement to foreign direct investment.
Lt Col Vishal Sharma,SM
EMP OCT 07/Roll No 72
Terms related to EXCHANGE RATE:-
EXCHNAGE RATE = the exchange rates (also known as the foreign-exchange rate, forex rate or FX rate) between two currencies specifies how much one currency is worth in terms of the other.For example an exchange rate of 102 Japanese yen (JPY, ¥) to the United States dollar (USD, $) means that JPY 102 is worth the same as USD 1.
SPOT EX RATE = The spot exchange rate refers to the current exchange rate
FORWARD EX RATE = The forward exchange rate refers to an exchange rate that is quoted and traded today but for delivery and payment on a specific future date.
NOMINAL EX RATE = the value of a country's currency in relation to other currencies without Adjustment for the rate of inflation
REAL EX RATE = A measure of the nominal exchange rate that has been adjusted for inflation differentials since an arbitrarily defined base period.
LETTER OF CREDIT = A letter of credit is a document issued mostly by a financial institution, used primarily in trade finance, which usually provides an irrevocable payment undertaking (it can also be revocable, confirmed, unconfirmed, transferable or others e.g. back to back: revolving but is most commonly irrevocable/confirmed) to a beneficiary against complying documents as stated in the Letter of Credit.
BUYER'S CREDIT = In the usual practice, an importer requests his bank to open a Letter of Credit. When the Letter of Credit is honoured i.e, when the importer's Bank makes payment on behalf of the importer, the importer reimburses the money so paid by the importer's Bank. However, in the case of Buyer's Credit, the importer requests LC opening Bank to pay the dues on behalf of the importer. Thus this is a form of credit facility given to the importer.
GDP = A measure of the market value of goods and services produced by a nation. Unlike Gross National Product, GDP excludes profits made by domestic firms overseas, as well as the share of reinvested earning in domestic firms' foreign-based operations.
GNP = GNP is the total value of all final goods and services produced within a nation in a particular year, plus income earned by its citizens who are working abroad, minus income of non-residents located in that country. It is essentially the measurement of the value of all goods and services produced by a country's citizens regardless of their location. Its difference with Gross Domestic Product (GDP) is that GDP measures the total production within a country regardless of the citizenship of the producer
NET PRESENT VALUE = The present value of future cash returns, discounted at the appropriate market interest rate, minus the present value of the cost of the investment.
GAURAV DHAWAN
ROLL # 21
EMP OCT 2007
1) Bank Holding Company
A bank holding company, under the laws of the United States, is any entity that directly or indirectly owns, controls, or has the power to vote 25% or more of a class of securities of a U.S. bank. Bank holding companies are required to register with the Board of Governors of the Federal Reserve System. Bank holding companies are subject to the Bank Holding Company Act of 1956
2) Tax haven
A country with exceptionally low, or no, income taxes. Tax haven is a place where certain taxes are levied at a low rate or not at all.Individuals and/or firms can find it attractive to move themselves to areas with lower tax rates. This creates a situation of tax competition among governments. Different jurisdictions tend to be havens for different types of taxes, and for different categories of people and/or companies.
3) Mercantilism
It is an economic theory that holds the prosperity of a nation dependable upon its supply of capital, and that the global volume of trade is "unchangeable." Economic assets or capital, are represented by bullion (gold, silver, and trade value) held by the state, which is best increased through a positive balance of trade with other nations (exports minus imports). Mercantilism suggests that the ruling government should advance these goals by playing a protectionist role in the economy, by encouraging exports and discouraging imports, especially through the use of tariffs.
4) Temporal method
The process of translating assets valued in a foreign currency into the home currency using the exchange rate that existed when the assets were originally purchased.
5) Nonconvertible currency
A currency is not convertible when both residents and nonresidents are prohibited from converting their holdings of that currency into another currency.
GAURAV DHAWAN
ROLL # 21
EMP OCT 2007
1. AEC :-
African Economic Community.
2. ALCA:-
Acuerdo de Libre Comercio de las Américas (Spanish for Free Trade Area of the Americas )
3. ATAA:-
Alternative Trade Adjustment Assistance
4. Balance of payments deficit:-
A negative balance of payments surplus.
5. Barter:-
The exchange of goods for goods, without using money.
Ashish Garg
Roll No. 10
EMP-Oct 2007
Munish Singhal
Roll No: 38
Bill of Lading (BOL)
A document that establishes the terms and conditions of a contract between a shipper and a shipping company under which freight is to be moved between specified points for a specified charge.
Value-added Tax (VAT)
A sales tax collected at each stage of production in proportion to the value added during that stage.
Intellectual Property Rights
Patents, copyrights, and proprietary technologies and processes that are the basis of the multinational corporation’s competitive advantage over local firms.
Dispute Settlement Body (DSB)
Dispute Settlement Body is a part of the World Trade Organization (WTO) that settles trade disputes between governments.
Dispute Settlement Panel (DSP)
The WTO's Dispute Selttement Body forms different Dispute Settlement Panels to resolve conflicting issues among its members.
Dispute Settlement Understanding (DSU)
The Dispute Settlement Understanding (DSU) of the World Trade Organization (WTO) was one of the key outcomes of the Uruguay Round of multilateral trade negotiations.
Shiv Raj Gupta
Roll No # 79,
EMP Oct 2007
1. Ricardian model:
This model focuses on "comparative advantage" and is perhaps the most important concept in international "trade theory". In a Ricardian model, countries specialize in producing what they produce best.
2. Specific factors model:
In this model, labour mobility between industries is possible while capital is immobile between industries in the short-run.
3. Gravity model:
This model of trade presents a more empirical analysis of trading patterns rather than the more theoretical models discussed above. The gravity model, in its basic form, predicts trade based on the distance between countries and the interaction of the countries' economic sizes.
4. North American Free Trade Agreement (NAFTA):
NAFTA is a trilateral trade bloc in North America created by the governments of the United States, Canada, and Mexico.
5. Free Trade Area of the Americas (FTAA):
Works towards eliminating or reducing the trade barriers among all countries in the Americas.
6. Bilateral Investment Treaty (BIT):
An agreement establishing the terms and conditions for private investment by nationals and companies of one state in the state of the other. This type of investment is called Foreign direct investment (FDI). BITs are established through trade pacts.
Some terms in International trade:
1. Import Credit: A commercial letter of credit issued for the purpose of financing the importation of goods.
2. Interchange Agreement: An agreement that specifically lays out the terms of leasing or temporarily borrowing equipment from a carrier. A frequent use of an interchange agreement is between an ocean carrier and a trucking company when the trucking company takes a container from the pier for delivery to the consignee.
3. In Bond Shipment: An import or export shipment which has not been cleared by Customs and is transported, stored, or handled with security to the government provided by indemnity bonds.
4. Turnkey A term for a method of construction whereby the contractor assumes total responsibility from design through completion of the product and release to the client in a stage so complete that the buyer need only to turn the key to open the door and walk into a facility that is ready to operate.
5. Trust Receipt A written declaration by a customer to a bank that ownership in goods released by the bank is retained by the bank, and that the client has received the goods in trust only. Such a trust receipt may be is given by the customer to the bank to induce the bank to issue a letter of indemnity to a carrier to release a shipment.
Anish Matta
Roll No: 4
The Citi Bailout: What Do You Believe?
1. CITI bank mangement were fully aware of High Risk while doling out loans & now they should not expect any help.
2. Banks like should only offer Pure Vanilla Banking instead of becoming utilities.
3. Governments & Financial systems should be structured in a manner where upon failure like these do not hold the whole economic system for Ransom.
Should US government bail-out auto giants?
1. What are the criterion for bailing our other Banks & leving Lehmann & Auto Giants?
GM is asking for $25 billion whereas CITI was given $20 billion without even asking questions. CITI's Projected req are more than $200bn
2. If the Idea is to save JOBS. Auto makers should be bailed out.
Arjun Yadav
Roll Number: 8
EMP OCT 07
Pricing types used during international sales/trade
Name: Parijat Sharma
Roll No: 45
Free On Board (FOB):
A trade term requiring the seller to deliver goods via a method of transportation designated by the buyer. The seller fulfills its obligations to deliver when the goods have passed through the seller's ownership and prepared for delivery to the buyer.
CIF (cost, insurance, freight):
Pricing designated to a named overseas port where the seller quotes a price for the goods (including insurance), all transportation, and miscellaneous charges to the point of debarkation from the vessel. (Used only for ocean shipments.)
CFR (cost and freight):
Pricing designated to a named overseas port where the seller quotes a price for the goods that includes the cost of transportation to the named point of debarkation. The the buyer covers the cost of insurance. (Used only for ocean shipments.)
EXW (ex works):
Pricing at a named point of origin (e.g., ex factory, ex mill, ex warehouse)where the price quoted applies only at the point of origin. The seller agrees to place the goods at the buyer's disposal at the specified place within the fixed time period. All other charges are put on the buyer's account.
FAS (free alongside ship):
Pricing at a named port of export where the seller quotes a price for the goods that includes the charge for delivery of the goods alongside a vessel at the port. The seller handles the cost of wharfage, while the buyer is accountable for the costs of loading, ocean transportation, and insurance.
SHILPA MALHOTRA
ROLL # 64
EMP OCT 2007
Dual Pricing
The practice of selling identical products in different markets for different prices.May be unethical or illegal. In exporting, often a reflection of export subsidies or dumping.
Keiretsu
Collaborative groups of vertically and horizontally integrated firms with extensive share cross-holdings and with a major Japanese bank or corporation at the center.It is a set of companies with interlocking business relationships and shareholdings. It is a type of business group.
Foreign Direct Investment (FDI)
The act of building productive capacity directly in a foreign country.It is defined as a company from one country making a physical investment into building a factory in another country. Its definition can be extended to include investments made to acquire lasting interest in enterprises operating outside of the economy of the investor.
Purchasing Power Parity (PPP)
The principle that equivalent assets sell for the same price. Purchasing power parity is a measurement of a currency's value based on the buying power within its own domestic economy.
Voluntary Export Restraint (VER)
One country promises another country to limit its imports; this is often done when the promising country fears increased tariffs or quotas if it does not self-regulate.
Real Interest Rate : Interest rate expressed in terms of real goods; that is, the nominal interest rate minus the expected inflation rate
Registered Bonds : Bonds for which each issuer maintains a record of the owners of its bonds. Countries requiring that bonds be issued in registered form include the United States and Japan (contrast with bearer bonds).
Maastricht Treaty : The treaty, formally known as the Treaty on European Union, signed in 1992, that led to the unification of many European countries. The treaty changed the name of the European Community (EC) to the European Union (EU) and led to the creation of a monetary union with a European Central bank, political and military integration, common foreign policy, and common citizenship among member countries.
Market Maker: A financial institution that quotes bid (buy) and offer (sell) prices.A market maker is mandatory to be appointed in a Book Building Issue in India as per SEBI Laws.
Microcredit : Small loans, perhaps $50 or $100, that are extended to small businesses to finance a business start-up or other business activity. This can form of seed capital neing infused by VCs.
Measurement Cargo: A cargo on which the transportation charge is assessed on the basis of size or dimensions, instead of upon the gross weight.
Offshore Banking Center: A financial center where many of the financial institutions have little connection with that country's financial system, but have located themselves there to benefit from less regulation and/or lower taxes.
NTDB: (USA) National Trade Data Bank: A data base used as the central collection point for US government generated export promotion information.
Soft Currency: A currency which is not readily accepted in exchange for other currencies or convertible to gold.
Maritime: Business pertaining to commerce or navigation by sea.
Neha Baveja
Pawan Arora
Roll No. 46
EMP-Oct'07
ASWP: Any safe world port. Meaning that the product offered with this designation will be delivered to essentially anywhere in the world.
Barter : The exchange of goods for goods, without using money.
Gray market : Refers to goods that are sold for a price lower than, or through a distributor different than, that intended by the manufacturer. Most commonly, goods that are intended by their manufacturer for one national market that are bought there, exported, and sold in another national market.
Inter-American Development Bank : A development bank for the countries of Latin America and the Caribbean.
Latin American Free Trade Association : A group of Latin American countries formed in 1960 with the aim of establishing a free trade area. This aim was never achieved, and LAFTA was replaced in 1980 with the Latin American Integration Association.
Roll No: 33
Kapil kumar mishra
Commingling:
1. The packing or mingling of various goods subject to different rates of duty so that the value and quantity of each class of goods cannot be readily determined.
2. To combine funds or properties into a common mass.
Export Restraints:
Restrictions which a nation places upon its exports, often to avoid more burdensome restrictions being applied by the importing nations.
Hedge Ratio:
The amount of future exchange contracts, options, or underlying financial instruments, purchased or sold against a position to accomplish a hedge of the position.
Market Disruption:
A situation where a surge of imports of a certain product causes a sharp decline in the domestic sales of that product and creates a hardship for domestic producers.
Tying Arrangement
A condition that a seller imposes on a buyer, requiring that if the buyer desires to purchase one product (tying product), the buyer must also agree to purchase another product (tied product), which the buyer may or may not want. The laws of some countries prohibit certain tying arrangements, for example in the U.S. the Clayton and the Sherman anti-trust Acts.
Free Port
A port which is a Foreign Trade Zone open to all traders on equal terms, or more specifically a port where merchandise may be stored duty-free pending re-export or sale within that country.
Certificate of Origin
A document containing an affidavit to prove the origin of imported goods. It is used for customs or foreign exchange purposes or both. Certificates of Origin are commonly certified by an official organization in the country of origin such as a consular office or a chamber of commerce.
Harmonized Code
An internationally accepted and uniform description system for classifying goods for customs, statistical, and other purposes.
Harmonized System (HS)
A key provision of the international trade bill, effective January 1, 1989, that established international uniformity for classifying goods moving in international trade under a single commodity code.
Open Policy
A cargo insurance policy that is an open contract; e.g., it provides protection for all shipments in transit within a specified geographic trade area for a limited period of time. It is referred to as "open" because it does not require reporting of individual shipments. Summary or grouped reporting requirements vary with different policies.
Phytosanitary Inspection Certificate
A certificate issued by an exporting countries' Department of Agriculture indicating that a shipment has been inspected and is free of harmful pests and plant diseases.
Ankur Singh, R.No: 05
IB Glossary
1. BACKWARDATION
When a COMMODITY is valued more highly in a spot market (that is, when it is for delivery today) than in a futures market (for delivery at some point in the future).
2. CONTANGO
When spot prices are lower than futures prices it is known as contango.
3. CATCH-UP EFFECT
In any period, the economies of countries that start off poor generally grow faster than the economies of countries that start off rich. As a result, the NATIONAL INCOME of poor countries usually catches up with the national income of rich countries.
4.CRONY CAPITALISM
An approach to business based on looking after yourself by looking out for your own. At least until the crisis of the late 1990s, some Asian companies, and even governments, were notable for awarding contracts only to family and friends. This was often a form of CORRUPTION, resulting in economic inefficiency.
5.VISIBLE TRADE
Physical EXPORTS and IMPORTS, such as coal, computer chips and cars. Also known as merchandise trade. Contrast with INVISIBLE TRADE.
OPEC Countries: The Organization of Petroleum Exporting Countries (OPEC) is a cartel of 12 countries made up of Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela. The organization has maintained its headquarters in Vienna since 1965,[2] and hosts regular meetings among the oil ministers of its Member Countries. Indonesia's membership from OPEC was voluntarily suspended recently as it became a net importer of oil.
ASEAN Countries: The Association of Southeast Asian Nations,[1] commonly referred to as ASEAN, pronounced /ˈɑːsiːɑːn/ AH-see-ahn in English (the official language of the bloc)[2], is a geo-political and economic organization of 10 countries located in Southeast Asia, which was formed on 8 August 1967 by Indonesia, Malaysia, the Philippines, Singapore and Thailand.[3] Its aims include the acceleration of economic growth, social progress, cultural development among its members, the protection of the peace and stability of the region, and to provide opportunities for member countries to discuss differences peacefully.
Commonwealth countries: The Commonwealth of Nations, usually known as the Commonwealth, is a voluntary association of 53 independent sovereign states, most of which are former British colonies, or dependencies of these colonies (the exceptions being the United Kingdom itself and Mozambique).
No single government in the Commonwealth, British or otherwise, exercises power over the others, as in a political union.
European Union:
The European Union (EU) is a political and economic union of 27 member states, located primarily in Europe. It was established by the Treaty of Maastricht in 1993 upon the foundations of the pre-existing European Economic Community. With almost 500 million citizens, the EU combined generates an estimated 30% share of the world's nominal gross domestic product (US$16.8 trillion in 2007).
G20:
The G-20 (more formally, the Group of Twenty Finance Ministers and Central Bank Governors) is a group of finance ministers and central bank governors from 20 economies: 19 of the world's 25 largest national economies, plus the European Union (EU). Collectively, the G-20 economies comprise 90% of global gross national product, 80% of world trade (including EU intra-trade) and two-thirds of the world population
Hemant Pandey
Roll No. 26
EMP-OCT-07
I.B. Glossary Terms :
1.Oceania (sometimes Oceanica) is a geographical, often geopolitical, region consisting of numerous lands—mostly islands in the Pacific Ocean and vicinity.
2.GATT - General Agreement on Tariffs and Trade
3.ACC(Arab Cooperation Council) - "The ACC was created in 1989 to promote economic cooperation and integration. Members include Egypt, Iraq, Jordan, and North Yemen. The ACC, partly intended as a counterpart to Gulf Cooperation Council, was created one day subsequent to the establishment"
4.NIS(Newly Independent States) - The NIS is a collective reference to 12 republics of the former Soviet Union: Russia, Ukraine, Belarus (formerly Byelorussia), Moldova (formerly Moldavia), Armenia, Azerbaijan, Uzbekistan, Turkmenistan, Tajikistan, Kazakhstan, and Kirgizstan (formerly Kirghiziya) and Georgia. Following dissolution of the Soviet Union, the distinction between the NIS and the Commonwealth of Independent States (CIS) was that Georgia was not a member of the CIS. That distinction dissolved when Georgia joined the CIS in November 1993.
5.NAM(Non-Aligned Movement) is an international organization of states considering themselves not formally aligned with or against any major power bloc
Asia-Pacific Economic Cooperation (APEC)
A forum designed to promote economic growth, cooperation, and integration among member nations. APEC has also worked to reduce tariffs and other trade barriers across the Asia-Pacific region. Its vision is based on the "Bogor Goals" adopted in the 1994 meeting in Bogor, Indonesia. There are 21 member economies including: Australia; Brunei Darussalam; Canada; Chile; People's Republic of China; Hong Kong, China; Indonesia; Japan; Republic of Korea; Malaysia; Mexico; New Zealand; Papua New Guinea; Peru; The Republic of the Philippines; The Russian Federation; Singapore; Chinese Taipei; Thailand; United States of America; Viet Nam.
Basis Point
Equal to 1/100 of 1 percent.
Bilateral Investment Treaty (BIT)
A treaty between two countries to ensure that investments between the two countries receive the same treatment as domestic or other international investments.
Bilateral Trade Agreement
A commercial agreement between two countries, often detailing what specific quantities of what specific goods can be exchanged.
American Depositary Receipt
ADR represents the ownership in the shares of a foreign company trading on US financial markets. The stock of many non-US companies trades on US exchanges through the use of ADRs. ADRs enable US investors to buy shares in foreign companies without undertaking cross-border transactions. ADRs carry prices in US dollars, pay dividends in US dollars, and can be traded like the shares of US-based companies.
GDR - Global Depositary Receipt
Global Depository Receipt (GDR) - certificate issued by international bank, which can be subject of worldwide circulation on capital markets. GDR's are emitted by banks, which purchase shares of foreign companies and deposit it on the accounts. Global Depository Receipt facilitates trade of shares, especially those from emerging markets. Prices of GDR's are often close to values of realted shares. Very similar to GDR's are ADR's. GDR's are also spelled as Global Depositary Receipt.
Sanctions
Involving countries:
• Economic sanctions : typically a ban on trade, possibly limited to certain sectors such as armaments, or with certain exceptions (such as food and medicine)
• International sanctions : punitive measures adopted by a country or group of countries against another nation for political reasons
• Pragmatic sanction : historically, a sovereign's solemn decree on a matter of primary importance and has the force of fundamental law
• Trade sanctions : economic sanctions applied for non-political reasons, typically as part of a trade dispute, or for purely economic reasons, and typically involving tariffs or similar measures, rather than bans
Cartel
A cartel is a formal (explicit) agreement among firms. Cartels usually occur in an oligopolistic industry, where there is a small number of sellers and usually involve homogeneous products.
Cartel members may agree on such matters as price fixing, total industry output, market shares, allocation of customers, allocation of territories, bid rigging, establishment of common sales agencies, and the division of profits or combination of these. The aim of such collusion is to increase individual member's profits by reducing competition. Competition laws forbid cartels. Identifying and breaking up cartels is an important part of the competition policy in most countries, although proving the existence of a cartel is rarely easy, as firms are usually not so careless as to put agreements to collude on paper.
Transfer pricing
It refers to the pricing of contributions (assets, tangible and intangible, services, and funds) transferred within an organization. For example, goods from the production division may be sold to the marketing division, or goods from a parent company may be sold to a foreign subsidiary. Since the prices are set within an organization, the typical market mechanisms that establish prices for such transactions between third parties may not apply.
The choice of the transfer price will affect the allocation of the total profit among the parts of the company. This is a major concern for fiscal authorities who worry that multi-national entities may set transfer prices on cross-border transactions to reduce taxable profits in their jurisdiction. This has led to the rise of transfer pricing regulations and enforcement, making transfer pricing a major tax compliance issue for multi-national companies.
Thanks and Regards,
Mohit Jairath
Oct07 EMP-37
1. Anti Dumping law
Broadly speaking a product is said to have been dumped if it is introduced into the commerce of another country at less than the normal value of the product and it causes/threatens material injury to an established industry of the country.
Almost all WTO member countries have adopted/amended their antidumping legislation largely in accordance with the GATT provisions to deal with dumped imports. Some of the countries that are not members of WTO. have also acquired their antidumping legislation1. Almost 90% of total world imports are now entering countries in which anti-dumping laws are in place.
Trade policy regimes in most countries have transformed from inward oriented protectionist regimes to more outward and liberal trade regimes. However, any government that maintains a liberal trade policy is subject to pressures for temporary protection to specific industries. GATT therefore contains some contingent measures, which permit the signatories to withdraw their normal obligations under specified circumstances and impose higher protection against import of one or more goods from one or more countries. Contingent protection measures fall under three categories – antidumping, countervailing and safeguard measures.
2. Krugman- trade patterns
Prior to Krugman's work, trade theory (see David Ricardo and Hecksher-Ohlin model) emphasized trade between countries with very different characteristics, like a poor country exporting agricultural goods to a rich country in exchange for industrial products.
But in the 20th century, an ever larger share of trade occurred between countries with very similar characteristics. For example, the Nobel committee mentions Sweden exporting Volvo cars to Germany while Germany exports BMW cars to Sweden.
3. Intra Industry trading
It was found that similarity in capital endowment is an important source of bilateral intra-industry trade. The greater the relative difference in capital stock per head the lower the share of intra-industry trade in total bilateral trade, since a similar production structure and overlapping tastes of two countries will ensure the potential gains of intra-industry trade. (1994)
4. Plutocracy
In a plutocracy, the degree of economic inequality is high while the level of social mobility is low. This can apply to a multitude of government systems, as the key elements of plutocracy transcend and often occur concurrently with the features of those systems.
The word plutocracy (Modern Greek: πλουτοκρατία - ploutokratia) is derived from the ancient Greek root ploutos, meaning wealth and kratein, meaning to rule or to govern.
5. LIBOR
The London Interbank Offered Rate,is a daily reference rate based on the interest rates at which banks borrow unsecured funds from banks in the London wholesale money market (or interbank market). It is roughly comparable to the U.S. Federal funds rate.
P Ragul
Roll No. 43
Glossaries on IB...
1. Hedge Funds
Private investment partnerships with a general manager and a small number of limited partners.
2. Predatory Pricing
It is a form of price discrimination that requires selling below cost with the intention of destroying competition. However, predatory pricing is against the law.
3. Pure Discount Bond
Bonds that pay no coupons and only pay back the face value at maturity. Also referred to as zero-coupon bond or a single-payment bond.
4. Push Strategy
In logistics, it is a strategy which uses forecasts rather than customer demand to determine production and distribution schedules. In marketing, it is a wholesaler using promotion to create demand directly at the consumer level, bypassing retailers. In either case, the product is “pushed” through the system by the manufacturer to the customer
5. Hedging
Reducing the risk of a cash position by using the futures instruments to offset the price movement of the cash asset.
Quota
The quantity of goods of a specific kind that a country permits to be imported without restriction or imposition of additional duties.
Alternative Tariff
A tariff that has two or more rates for the same product, trading to and from the same points, with the authority to use one that produces the lowest charge.
Arbitrage Pricing Theory (APT)
APT is a theory used in finance to find the prices of assets and is typically used in stock pricing
Trade Deficit
A trade deficit occurs when the value of a country's exports is less than the value of its imports.
Tariff Escalation
The situation which duties are low or non-existent for raw materials, moderate for semi-manufactured goods and relatively high for finished products.
Inputs on IB terms..
1. Aval .. A guarantee of the buyer's credit provided by the guarantor, unless the buyer is of unquestioned financial standing. The aval is an endorsement note as opposed to a guarantee agreement.
2 Dock Receipt ... A receipt issued by an ocean carrier to acknowledge receipt of a shipment at the carrier's dock or warehouse.
3.Dock Statement... A receipt issued by an ocean carrier to acknowledge the receipt of a shipment at the carrier's dock or warehouse facilities.
4. G-7 ... A formal organization of 7 highly industrialized democracies: Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States.
5. G-8 .... The G-7 countries plus Russia.
6. General Agreement on Tariffs and Trade (GATT) ... A post-World War II agreement designed to promote freer international trade among the nations of the world. The GATT was replaced by the World Trade Organization (WTO) in 1994.
SUNIL SACHDEVA
RN 67
Tarun Girdhar
Roll Number 69
Below given are some of the anticipated trends of 2009.
You 2.0: Micro-Celebrities
People branding is not new. Many people have franchised themselves through various channels as just another way to separate themselves from others and be recognized in the long run. While it is already a big trend in Korea, next year will see a more enthusiastic race to become famous, not as a television star, but as a micro-celebrity.
While many stars take the usual route to stardom by appearing in hit television shows and movies, there are people who became famous through the Internet.
Nowadays, it is easy to get "noticed", with the help of popular Web sites such as YouTube, Facebook, myspace and cyworld. These "celebrities" may have different purposes and ideas, but the common reason for their high popularity is that they bring a breath of fresh air among some of the cookie-cutter celebrity characters seen on television and movie screens.
Being such a high-tech savvy nation, Korea saw the rise of these micro celebrities already a few years ago. Actress Koo Hye-seon became famous for being one of the prettiest girls on the Web, and other users topped Web sites' popularity charts with their dance, vocal and other distinctive talents. By making their own brand as themselves, young and up and coming artists, actors and even comedians may be waiting to be noticed somewhere on the Web.
Discreet Chic
Many people are fond of luxury goods for various reasons: they are stylish, portray a certain status and usually come with a higher quality. So for the past years, showing off the luxury on one's feet or shoulder was a good thing, but for some it seemed a little too much.
"Discreet chic" represents people who are tired of logos explicitly shown on their bags and clothes, but are still fond of the craftsmanship some famous brands offer. Thus many brands have come out with their own version of this modest trend, from simple wallets to big bags, leaving usually overstated trademark logos behind. One popular brand that has followed the trend from the start is Bottega Veneta. Although far from affordable, the Italian brand offers hand-woven leather goods from bags to belts and shoes. A distinctive feature of its bags is that they are generally labeled only on the inside, following their slogan "When your own initials are enough".
Living the Live
When the Korean public was outraged with President Lee Myung-bak's decision regarding the import of American beef, they got together on the streets downtown and started candle-light protests, with participants ranging from middle-school students to moms. News networks hurriedly reported the demonstrations, but there were limitations due to deadlines and some unfriendly participants who did not like the idea of appearing on major broadcasters. A group of amateur networks and even participants who carried video cameras started to air the candle-light protests inside and out via the Internet, winning over people who were not able to join and those who wanted real live footage of the events.
Networks have also recognized the importance of "nowness" among television drama fans, for many of them air important press conferences of dramas and other television shows through the Internet, even interacting with users by asking questions and offering quizzes. With the help of the Internet and other mobile gadgets, the route and channels of "living the live" is expected to expand as a whole.
Bespoke
Custom-made products offer individuality. Thus, the demand for that special product that carrying one's personal preference and style will continue to thrive for the time being. Australia's bed ware brand "bespoken" offers personalized bed ware and accessories for children, while the United Kingdom's "Bespoken For" offers bridal jewelry and couture designs, following a customer's request from start to finish. The products have enlarged to apartments like Byuksan Construction's Blooming apartment and now even cars. KIA released SOUL, its new CUV (Crossover Utility Vehicle) Monday and offered various colors, graphic designs and exterior and interior options that enable buyers to personalize their own vehicle. Visit SOUL's Web site at Open the link and create your own version of SOUL.
FaSTeR
Time is of the essence nowadays, and customers and manufacturers alike are appreciating products and concepts that help them finish their work faster and more efficiently. The local literature scene has opened up to new genres like mini-fiction. Mini-fiction started in the 1990s, but the trend has reached Korea with the help of Internet Web sites and blogs. Short stories are not only fast to read, but also to write, and mini-fiction brings these two features together. Web site www.minifiction.com offers a well-known list and entries of mini-fiction writers here and abroad, complete with a message board where visitors can instantly leave comments
sachin satvik
rool no 56
Blood Diamonds :
These are not necesarrily and unally not blodd in color.Its name arsises from the diamond mines in siera leone where it is mined by the locals.The millitary groups have contol over these locals and mines and use them to fund there rebel activities.
TRIPS :
It is the trade agreements for intelectual property right protection among contries that are part of it .It is an extension of GATT.
Dry Port :
Usually a transport by ships along the harbour is a port ,but a area where transport and logistices takrs place in the land via trucks and tankers is a area called dry port.
Advising Bank
Bank, usually in the country of the seller, whose primary function is to authenticate the letter of credit and advise it to the seller.
Southern Cone
The geographic region including Argentina, Brazil, Chile, Paraguay, and Uruguay
Reciprocal Marketing Agreement
A strategic alliance in which two companies agree to co market each other’s products in their home market. Production rights may or may not be transferred.
Macro Country Risks
Country (or political) risks that affect all foreign firms in a host country.
MERCOSUR
The “common market of the South,” a customs union which includes Argentina, Brazil, Paraguay, Uruguay, and Venezuela in a regional trade pact that reduces tariffs on intrapact trade by up to 90 percent. Bolivia, Chile, Colombia, Ecuador and Peru are associate members.
Sumit Mahajan
07EMP02-65
(Glossary IB)
1) Wage-rental ratio
The ratio of the wage of labor to the rental price of either capital or land, whichever is the other factor in a two-factor Heckscher-Ohlin model. The ratio plays a critical role in this model since it determines the ratios of factors employed in both industries.
2) Withholding tax
A tax on income that is levied at the source, thus diverted to the government before the recipient of the income ever sees it. Used in international tax treaties to assist tax collection.
3) Tariff jumping
The establishment of a production facility within a foreign country, through FDI or licensing, in order to avoid a tariff
4) Redundant tariff
A tariff that, if changed, will not change the quantity of imports, either because the tariff is prohibitive, or because some other policy such as a quota or an embargo is limiting quantity.
5) Run on a currency
The short-term capital outflows that occur when a pegged exchange rate regime is thought to be running out of reserves and is thus expected (and therefore forced) to devalue.
(Roll No. 63)
Hi Friends,
I have chosen the below mentioned five International Business terms
Zeitgeist
A German expression that can be interpreted to mean “the spirit of time.” It indicates the general intellectual state and outlook of an era or generation.
Wagner Act :
A 1935 American federal statute which recognized employee rights to collective bargaining, protected the right to belong to a union, prohibited many anti-union tactics then used by employers, and set up the National Labor Relations Board. The NLRB was given wide enforcement powers. It was later amended by the Taft-Hartley Act in 1947.
Without prejudice:
A statements set onto a written document which qualifies the signatory as exempted from it's content to the extent that they may be interpreted as containing admissions or other interpretations which could later be used against the person signing; or as otherwise affecting any legal rights of the person signing. A lawyer will often send a letter "without prejudice" in case the letter makes admissions which could later prove inconvenient to the client.
Union Economique et Monetaire Ouest Africaine (UEMOA)
UEMOA is composed of Bening, Burkina Faso, Cote d'Ivoire, Mali, Guinea-Bissau, Niger, Senegal, and Togo. Its purpose is to unite members through competition in an open market.
Infant Industry Argument
The infant industry argument is a rationale for the “temporary protection” of a new industry or firm in order to help it become established domestically and later become competitive worldwide. These protections consist of tariff and non-tariff barriers to imports, preventing global competition from entering the market.
Paramjit Singh
Roll No 44
By:
Anuj Dhingra
R.No - 6,
EMP-Oct'07
Five IB Terms:
Accelerated Tariff Elimination
An increased rate of reduction of import duties at a faster rate than what was originally planned or decided upon.
Accounting Exposure
Changes in a corporation's financial statements as a result of changes in currency values. Also known as translation exposure.
Ad Valorem Tariff
A tariff assessed as a percentage of the value of an import.
Advisory Capacity
Used to indicate that a shipper's agent or representative is not empowered to make definitive changes or adjustments without approval of the group or individual represented.
Agreement on Textiles and Clothing (ATC)
The Agreement on Textiles and Clothing (ATC) and all restrictions thereunder terminated on January 1, 2005. The expiry of the ten-year transition period of ATC implementation means that trade in textile and clothing products is no longer subject to quotas under a special regime outside normal WTO/GATT rules but is now governed by the general rules and disciplines embodied in the multilateral trading system.
New-to-export (NTE)
The name of the circumstances of a company that either engages in export activities for the first time, engages in exportation for first time in twenty-four months, or has only exported to because of prior unsolicited orders. Export assistance is available to companies with this classification
Non-tariff Barrier
An indirect measure used to discriminate against foreign manufacturers, for example, extensive inspection procedures for foreign imports that create barriers to entering the market.
Jeito
The way of somehow getting things done in Brazil; the jeito can help conquer seemingly insurmountable tasks (Portuguese).
Heavily Indebted Poor Countries Initiative
The HIPC Initiative is a major international response to the burdensome external debt held by the world's poorest, most indebted countries. It originated in 1996 as a joint undertaking of the World Bank and the International Monetary Fund (IMF). Also known as the HIPC Initiative
Quota
The quantity of goods of a specific kind that a country permits to be imported without restriction or imposition of additional duties.
Kanungo.S.Nayak
Roll-30
Gulf Cooperation Council (GCC)
A council created in 1981 and composed of Saudi Arabia, Bahrain, Oman, Qatar, Kuwait, and the United Arab Emirates. It is a forum to coordinate and integrate economic policies between these six countries, which account for about 40% of oil in the international market
Hyperinflation
An extremely high rate of inflation, often exceeding several hundred or several thousand percent, that causes a country's money to become practically worthless
Inter-American Development Bank
A regional development bank designed to promote sustainable economic development in the Western Hemisphere. Its headquarters are located in Washington, D.C.
International Accounting Standards Board (IASB)
The International Accounting Standards Board (IASB) is an independent, privately funded organization that sets international accounting standards. The IASB is committed to developing a single set of high quality, understandable and enforceable global accounting standards that require transparent and comparable information in general purpose financial statements
International Organization for Standardization (ISO)
ISO is a worldwide federation of national standardization bodies of more than 140 countries. Established as a non-government organization in 1947, it develops international standards and publishes them. All branches other than electrical engineering standards are within the scope of ISO
Apoorve Roy
Roll-7
Random Walk
A process in which instantaneous changes in exchange rates are normally distributed with a zero mean and constant variance.
West African Economic and Monetary Union (UEMOA)
A regional alliance of Francophone West African countries dedicated to promoting economic integration among the seven member countries. The country members are Benin, Burkina Faso, Cote d’Ivoire, Mali, Niger, Senegal, and Togo. They all share a common currency and have a central bank to oversee it.
Yield to Maturity
The discount rate that equates the present value of interest payments and redemption value with the present price of the bond.
Capital Asset Pricing Model (CAPM)
An asset pricing model that relates the required return on an asset to its systematic risk.
Caribbean Community and Common Market (CARICOM)
CARICOM consists of Antigua & Barbuda, Bahamas, Barbados, Belize, Dominica, Grenada, Guyana, Haiti, Jamaica, Montserrat, St. Kitts & Nevis, St. Lucia, St. Vincent & The Grenadines, Suriname, and Trinidad & Tobago. Its purpose is to provide a continued economic linkage after the dissolution of the West Indies Federation for English-speaking countries in the Caribbean.
Saju Abdul Razak Salahudeen
Roll No : 58
Central America Free Trade Agreement (CAFTA-DR)
CAFTA-DR is an extensive trade agreement between Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Nicaragua, and the United States.
Back Order
A customer order for materials, goods in process, or finished goods that is not currently in stock but is to be sold or delivered when it becomes available.
Beta
A measure of an asset’s sensitivity to changes in the market portfolio (in the Capital Asset Pricing Model) or to a factor (in the APT). The beta of an asset j is computed as bj = rj,k (sj/sk), where k represents a market factor (such as returns to the market portfolio in the CAPM).
Blocked Funds
Cash flows generated by a foreign project that cannot be immediately repatriated to the parent firm because of capital flow restrictions imposed by the host government.
Buffer Stock
Goods set aside and reserved for sale specifically to balance out the market in the case of a shortage of that good. In the case of a surplus, more off the good would be bought and set aside.
Deepak Tyagi
Nisha Khanna
roll#41
EMP Oct '07
Dec 3, 2008
Open markets :
Markets that are free of restrictions on who can buy and sell.
Open position: An obligation to take or make delivery of an asset or currency in the future without cover, that is, without a matching obligation in the other direction that protects from effects of change in the price of the asset or currency. Aside from simple ownership and debt, an open position can be acquired or avoided using the forward market.
Open regionalism :
Regional economic integration that is not discriminatory against outside countries; typically, a group of countries that agrees to reduce trade barriers on an MFN basis. Adopted as a fundamental principle, but not defined, by APEC in 1989. Bergsten (1997) offers five definitions, ranging from open membership to global liberalization and trade facilitation.
Openness The extent to which an economy is open to trade, and sometimes also to inflows and outflows of international investment.
Air waybill: A nonnegotiable instrument of domestic and international air transport that functions as a bill of lading.
Triangular arbitrage is arbitrage among three currencies. For example (letting x/y be the currency x per unit of currency y exchange rate), if $/¥ > ($/£)(£/¥), then an arbitrager can make a profit buying £ with $; buying ¥ with those £; and then selling those ¥ for $.
Two gap model is defined as a model of economic development that focuses on two constraints: the need for savings to finance investment, and the need for foreign exchange to finance imports.
Okun's Law is an approximate linear relationship between unemployment and real GDP, proposed by Arthur Okun: that for every percentage point drop in the unemployment rate, real GDP rises 3%.
Unit-value isoquant is the isoquant for a quantity of a good worth one unit of value. This is meaningful only if the nominal price of the good is given, for some specified currency or numeraire. Unit-value isoquants are central to the Lerner diagram for analyzing the Heckscher-Ohlin Model.
Balassa-Samuelson Effect is the hypothesis that an increase in the productivity of tradables relative to nontradables, if larger than in other countries, will cause an appreciation of the real exchange rate. Due to Balassa (1964) and Samuelson (1964).
R.GUNASEKARAN
ROLL NO.49
Section 301:
In U.S. trade law, section 301 is a provision that allows private parties to seek compensation through the U.S. government if they have experienced injury to their business because of the illegal or unfair actions of foreign governments.
Voluntary Export Restraint (VER):
One country promises another country to limit its imports; this is often done when the promising country fears increased tariffs or quotas if it does not self-regulate.
Re-invoicing Centers:
An offshore financial affiliate that is used to channel funds to and from the multinational’s foreign operations.
Right of Priority:
In patent, industrial design and trademark laws, a priority right or right of priority is a time-limited right, triggered by the first filing of an application for a patent, an industrial design or a trademark respectively. The priority right belongs to the applicant or his successor in title and allows him to file a subsequent application for the same invention, design or trademark and benefit, for this subsequent application, from the date of filing of the first application for the examination of certain requirements
Open and Reform Policy:
An economic policy enacted by the Chinese government combining central planning with market-oriented reforms to increase productivity, living standards, and technological quality without exacerbating inflation, unemployment, and budget deficits, with the goal of moving from a centrally-planned economy to a market-based one.
Orderly Marketing Agreements:
Agreements between two or more governments to hold back the growth of trade for certain products by limiting exports and imposing import quotas.
Conversion ratio :It is defined as the number of shares of common stock that the security holder will receive from exercising the call option of a convertible security.
Financial leverage :
It is use of debt to increase the expected return on equity. Financial leverage is measured by the ratio of debt to debt plus equity.
Outsourcing
It is the practice of purchasing a significant percentage of intermediate components from outside suppliers.
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Sandeep Goel
no 60
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Negative-NPV Tie-in Project:A negative net present value infrastructure development project that a local government requires of a company pursuing a positive-NPV investment project elsewhere in the economy.
Net Asset Value (NAV):The sum of the individual asset values in a closed-end mutual fund. Closed-end funds can sell at substantial premiums or discounts to their net asset values.
Net Currency Exposure:Exposure to foreign exchange risk after netting all intracompany cash flows.
Net Exposed Assets:Exposed assets less exposed liabilities. The term is used with market values or, in translation accounting, with book values.
Net Monetary Assets:Monetary assets less monetary liabilities.
Net Position:A currency position after aggregating and canceling all offsetting transactions in each currency, maturity, and security.
Umbrella Rate::
In shipping, the umbrella rate is a rate system designed to protect less competitive carriers by setting artificially high minimum rates.
Registration Statement ::
In the United States, a statement filed with the Securities and Exchange Commission on securities issues that discloses relevant information to the public.
Del Credere Risk ::
Situation created when a sales agent sells on credit and there is a chance that the buyer either does not want to or does not have the money to pay.
World Customs Organization (WCO) ::
The WCO is an international organization whose function is the facilitation of trade between member states through the simplification and standardization of customs practices. The WCO was established in 1952 as the Customs Co-operation Council. This name was then changed in 1994 to the World Customs Organization. Today WCO provides regulations and standards to 169 Customs administrations worldwide.
Wharfage Charge ::
A charge assessed by a pier or dock owner for handling incoming or outgoing cargo.
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