Exports start at your door
Let’s talk about EXW: three main reasons to explore a new opportunity to increase sales
Exports start at your door. Let’s talk about EXW: three main reasons to explore a new opportunity to increase sales
Ex-Works (EXW) is one of the 13 standard rules for international trade that clarify who takes responsibilities in a specific geographic location for international trade. These rules or Incoterms® are the common understanding language for international sales. From the Exporter point of view, this is the less-responsibility rule. The buyer (importer) takes the risks, costs, arrangements, licenses, documentation, logistic to get the product to the final destination. The exporter makes global sales at his door: factory, warehouse, or business location.
Main reasons to use EXW:
1. Not pricing expertise required. The exporter does not need to be expert in to sell internationally. The domestic price is a great starting point.
2. Low risks. The buyer takes all the risks related to documentation, credits, and logistics. Distributors in foreign markets are expert in logistics and are willing to take the risks and costs due to their expertise. ExportPreneur selects the best partner and focuses their energy on their businesses
3. A New way to increasing sales. The exporter finds new clients at trade shows, networking events, using social media and more. The exporter uses EXW to secure international sales