Monday, October 22, 2001

Re: Bellevue Community College importing class

In a message dated 10/12/01 7:53:03 AM, csam writes:

<< Hi John, I attended your recent class ... It was interesting to hear about
the artist that could not make a go of Bali-nese imported items.

***Sorry about the delay, I've been on the road...actually she did quite well
with balinese imports, but only after bringing to the balinese US
designs...***


It was also refreshing to hear that importers should organize around the
opportunity rather than the resources. Never mind that, I am starting out
with the resources since I have access to them. In this case fine silk
scarves from Java. I'll try this local batik designs first and see what the
response is, and react to that with a redesign if necessary.

***It will be necessary, so why not find out what people want first?***


Having the trading partners/components described was very helpful to me. It
showed me points of opportunity that I had not considered before (test
marketing with buyers, getting to sales reps, etc.).

***yes, find out from customers what is a good idea that does not exist...***


I had asked about transportation / logistics and didn't get such a good
glimpse of that in the class. I would like to understand that process better
simply to:

1). Have a price understanding

2). Knowing the component pricing better

3). Being able to compare services and costs


***right, I covered this lightly because as the above items are specific to
your product, a customsbroker is the best one to advise you specifically.***


I've tried to access www.fritz.com and registered, but they have so far not
been responsive and have yet to send me a login account.

***then ignore them. Consult the directory of US Importers at a library, and
see who imports under your HTS number. Inevitably you will find
customsbrokers names in the directory of US Imports, incorrectly, listed as
importers of your item. Nonetheless, this info can tip you off as to what
customsbrokers handle your items for other importers.***


Right now, I'm having trinkets from vacation sent to me from Jakarta, and
have no clue whether the cost I am paying is too high. It is costing me $700
to send 1.5 cubic meters of goods. The freight is around $232.- and then
there are misc additional charges (customs, etc.) to that.


Without the information on logistics, nor access to www.fritz.com, I just
can't compare the cost. I just don't know. and I don't know if the added cost
to the freight is normal/customary, and if it is fixed and spreads out over
the volume of goods (meaning it's not linear $700 / 1.5 cubic meters).

***Such is life when organizing around a resource...since you have not done
the HTS research, you have no idea as to reasonable prices... since you
haven't contacted a customsbroker first, you have no basis of comparison.

I am told 80% of all new businesses fail in the first 5 years. Too bad, but
this means 20% succeed. Who fails and who succeeds? i suspect those who
organize around the opportunity, that is the customer, are the ones who
succeed.


John


A Quick Econ Analysis

Here is a good econ analysis...


http://www.mises.org/fullstory.asp?control=807


John