Export Marketing Guidelines Arts and Crafts - EDITED

DEVELOPING INTERNATIONAL MARKETS FOR
HOME ACCESSORIES AND GIFT ARTICLES
Export Marketing Guidelines for Vietnamese Craft Exporters
Prepared for: VIETRADE/ITC/WTO/UNCTAD

Table of Content
Page
Preamble 3
1 Are you Ready to Export? 4

1.1 Market Analysis (External Analysis) 4
1.2 Company Analysis (Internal Analysis) 9
1.3 SWOT Analysis 11
2 Market Entry Strategy 12
3 Preparing a Professional Presence 14

3.1 Marketing Material 15
3.2 Professionalize your Staff and Communication 19
3.3 Professionalize your Company Operations 21
3.4 Understanding Market Requirements to Improve your Presentation 23
4 Preparing Products for Export 24
5 Export Costing, Pricing and Invoicing 28

5.1 Export Costing and Pricing 28
5.2 Quotations and Proforma Invoices 31
5.3 Terms of Sale 33
5.4 Methods of Payment 34
6 Trade Fair Participations 38

6.1 Selecting the Right Trade Fair 39
6.2 Trade Fair Preparations 40
6.3 Participation Costs 42
6.4 At the Trade Fair 43
6.5 After the Trade Fair 44
7 Export Documentation and Shipping 45
8 Dealing with Claims 47
2
9 Appendixes 48
Preamble
Vietnam is a land of handicrafts1 thanks to the hardworking and creative Vietnamese people.
Fine Vietnamese handicraft articles are exported to over 120 countries worldwide. Products
such as ceramics, lacquer, wooden wares, bamboo and rattan products, textile, embroidery etc.
are nowadays becoming popular throughout the world as home accessories, home decor and
gifts.
Vietnam has been extremely successful in exporting craft products during the last few years. It
is estimated that 1.35 million inhabitants earn a living from producing or trading with crafts,
generating an export turnover of almost 600 million USD per year. However, if compared
with the consumption of home accessories and gifts in the world, the above figure only
accounts for less than 1% of the market volume. There is still tremendous potential for further
export increases.
These Export Marketing Guidelines are a manual which aims to provide practical and
comprehensive information to a large number of Vietnamese craft exporters. The Export
Marketing Guidelines serves the needs of both current and potential crafts exporters, showing
them how to enter and get a firm foothold in the world markets in the context of global
competition.
The authors thank all parties concerned who assisted in preparing the guidelines, notably the
Vietnam Trade Promotion Agency (VIETRADE) and the International Trade Center (ITC)
project team in Hanoi and Geneva.
Prepared by
 Handicraft Research and Promotion Centre, Hanoi, Vietnam (www.hrpc.com.vn)

 IDC – International Development Consultants, Aachen, Germany (www.idc-aachen.de)
Copyright
The information provided is aimed at assisting handicraft producers, exporters and business support
organizations in Vietnam. It may, therefore, not be used for re-sale, the provision of consultancy services and
other commercial purposes. For utilization of this information on a non-commercial basis, the condition applies
that VIETRADE is referred to as the source of the information. All other use is prohibited, unless explicitly
1
The handicraft articles covered in these marketing guidelines are defined in Appendix No.1
3
approved in writing by VIETRADE.
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1 Are you Ready to Export?
1.1 Market Analysis (External Analysis)
To decide if your company is ready to export, first of all assess markets in order to identify
opportunities in the most suitable markets. Then assess to what extent your enterprise is
capable of taking advantage of the opportunities identified in the market analysis.
There are a number of promising markets for Vietnamese crafts in the world and it may cause
some difficulties for you to decide where you should focus your efforts. In general, you can
use the following step-by-step approach.
Step 1: Screen potential markets
 Obtain trade statistics about handicraft imports in various countries and Vietnamese
exports. The General Statistic Office of Vietnam (presently located at No.1A Hoang Van
Thu Street, Hanoi) is the best place to find these sources of information, even for your
individual product (product codes according to the Harmonized System). Some
information about different major export markets is included in Appendix No.2.
 Identify 5 to 10 large and fast-growing markets for your products. Look at them over the
past three to five years.
 Identify some smaller but fast-emerging markets that may provide particular
opportunities. If the market is just beginning to open up, there may be fewer competitors
than in established markets.
 Target three to five of the most promising markets for further assessment. Consult with
experts, the Vietnam Trade Promotion Agency (VIETRADE) and others to help refine
targeted markets.
Step 2: Assess targeted markets
 Identify importers, wholesalers and other main players in the market. Make yourself
familiar with distribution channels and business practices.
 Identify the market segmentation by users (on demographic criteria, on customer
preferences, by price/ quality, etc). Who will want to buy what you can make and why?
What is their lifestyle, where do they live, what kind of products do they usually buy?
 Examine price level and market trends for your company’s products as well as related
products. Ascertain the current supply sources, particularly with regard to major foreign
countries the firm is competing against.
 Check market entry barriers (tariff or non-tariff) for the product being imported into the
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country.
 Identify incentives that are given by the Vietnamese government to promote exporting of
your products to these markets.
 Examine shipping costs from your main ports to the target markets.
A company may research a market by using either primary or secondary data resources. When
conducting Secondary Research (desk research), a company collects data from compiled
sources, such as trade statistics for a country or a product. Working with secondary sources is
less expensive and helps the company focus its marketing efforts; as a result, most small
businesses begin researching their markets using secondary market information. Although
secondary data sources are critical to market research, they do have limitations. For example,
the most recent statistics for some countries may be more than two years old, product
breakdowns may be too broad to be of much value to a company, etc.
Popular sources of secondary data research include:
 Trade associations; for websites see Appendix No.3. There is a lot of information on
market statistics, up-to-the minute industry news, trade fairs, importers, and expert analyst
opinion which is provided by these associations.
 The General Statistics Office of Vietnam (GSO) or other national statistic offices; for
websites see Appendix No.4. Note that, for the effective search of data from statistic
offices, you should know well the Harmonized System (HS) codes of your products.
 Trade journals and trade press; for websites see Appendix No.5. These sources can be a
good indication of products which are in fashion (like for example “Tableware
International”, a leading journal on the international table and giftware).
 Books on the home decor, home furnishings and handicrafts sector. Many of these books
can be found at the library of the Vietnam Handicraft Research and Promotion Center
(www.hrpc.com.vn), or you can buy them at bookshops in Hanoi and Hochiminh City.
Most of them can be bought through websites like www.amazon.com, www.barnes&
noble.com, etc.
 International research agencies like Euromonitor (www.euromonitor.com), KeyNote,
Datamonitor (www.datamonitor.com) and Mintel (www.mintel.com), where you can find
a lot of information on markets, consumers’ lifestyle etc.
 Trade agencies, like VIETRADE, Japan External Trade Relation Organization (JETRO),
the Center for Promotion of Imports from Developing Countries (CBI, the Netherlands),
the International Trade Center (ITC), Chambers of Commerce and Industry etc.. Here you
can find information on market surveys (segmentation, consumption, competitors, entry
requirements), market trends, statistics etc. For websites see Appendix No.6.
 Sector-related trade fair websites indicate new trends and often contain complete contact
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information about leading market players. For websites see Appendix No.7.
 The websites of trend-setting international companies and important fashion companies
give good insight into new color trends. In general, a website search of main importers in
target markets can increase your knowledge about product portfolios, designs, prices used
in the target market.
 Information about upcoming trends and colors in the EU, Japan and US market can also
be taken from the “Trend Forecast” of CBI (www.cbi.nl), the Swiss Import Promotion
Programme SIPPO (www.sippo.ch), Japan Fashion Association (www.japan
fashion.or.jp), Trend Curve’s (www.trendcurve.com).
Buying or commissioning market research reports can be expensive. For a fraction of the cost,
and mostly even free of charge, much of the same information can be gathered from the
Internet. The Internet is one of the most important ways in which an exporter can obtain
market information. You can find almost everything there by using search engines like Google
(www.google.com) and Yahoo (www.yahoo.com). The Google search tools ‘froogle’ and
‘catalogues’ are extremely useful for product design and pricing. ‘Froogle’ shows photographs
of products and their prices ‘Catalogues’ is a directory of over 6000 scanned catalogues with
images of products and prices (http://froogle.google.com; http://catalogues.google.com).
In conducting Primary Research (field research), a company collects data directly from the
foreign marketplace through interviews, store checks, trade fairs, and other direct contact with
representatives and potential buyers. Primary market research has the advantage of being
tailored to the company's needs and provides answers to specific questions. You can cover
some of the missing information in your desk research, and you may become aware of hidden
feelings people have towards your company, country or product. Even if statistics show a
growing market, field research can be crucial to make the final decision on whether or not to
go, and if so, how to do it, etc. The field research should be conducted after desk research to
confirm the findings of the desk research and fill information gaps.
Popular sources of field research include:
 Discussions with handicraft companies/exporters who have similar export products

 Discussions with potential buyers or sourcing agents in Vietnam
 Information from trade promotion organizations (VIETRADE, www.vietrade.gov.vn,
JETRO, www.jetro.go.jp, KOTRA - Korean Trade Investment Promotion Agency,
kotrahan@fpt.vn, AMCHAM - American Chamber of Commerce, etc.), and private sector
development projects in Vietnam (JICA - Japan International Cooperation Agency,
www.jica.go.jp/vietnam, VNCI - Vietnam Competitiveness Initiative, www.vnci.org,
GTZ, www2.gtz.de/vietnam/ etc.)
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 Contact with Vietnam’s Embassies, Consulates, Trade Centers in foreign countries

 Discussion with forwarding agencies or shipping companies (see appendix No.8)
 Trade fair visits in your target markets or other trade fairs that are close to Vietnam like
Hong Kong, Thailand, China, and Japan.
 Store visits in your target markets to check trends, prices etc (see appendix No.9).
Besides assessing market size and identifying key importers, market research should also
include getting an idea of market entry requirements, competition, price structure etc.
It is important to define your research need in relation to your export marketing experience,
for instance, whether you already have clients in a country or whether this is your first export
business venture.
When starting to export to the EU, your research needs would probably be to familiarize
yourself with the EU market by finding out relevant information on subjects such as market
requirements, structure, developments, segments, main players etc. However, when you have
become familiar with the EU market and know which opportunities exist, the next logical step
is to go further into details and explore the possibilities to increase your sales. You will need a
very specific research about customer requirements for individual products and the strengths
and weaknesses of the main competitors.
Important issues of market research are:
A) Market development and opportunities
 Market size, sales channels, major importers, agents, distributors and retailers?
 What are customer preferences, what is the price level? Who will want to buy what you
can make and why?
 What sorts of products are selling well (characteristics, dimensions, colours and
materials)? What colours are in fashion? What new designs are popular?
 What are the prices and margins at each distribution level? What are the most important
requirements of the identified sales channels (quality, packaging, etc) and which sales
channel is most suitable for your range of products?
 What are the major trade shows where your types of products are sold?
 How about cultural factors in doing business in the selected markets? Professor Geert
Hofstede’s model gives you insights into other cultures so that you can be more effective
when interacting with people in other countries (www.geert-hofstede.com). Some other
interesting information on cultural factors can be found in Appendix No.10.
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B) Market entry requirements
 What standards or requirements apply to the quality of your product and are these
standards compulsory?
 What standards apply to the quality of your company’s management and production?
 Are there any labels (e.g. ECO labels, etc.), which create a competitive advantage?
 Are there environmental regulations or requirements on the use of dangerous substances
for your product(s)? For raw materials? For packaging waste?
 What special legislation must be complied with regarding health and safety issues?
 Are there any requirements on social accountability (e.g. SA 8000)?
 Which import tariffs & VAT duties apply to your export products? Are there any
international trade agreements which have a positive effect on tariffs?
 What weights and measures are applied in different markets? (e.g. the United States is in
its adherence to a non-metric system but Japan is metric measurement)
 Some specific sources for market entry requirements are in Appendix No.11.
C) Competition
 Is there much competition in these markets? Who are the main competitors?
 What products compete with yours? Who are the suppliers or manufacturers of those
products? What can you make that is different and better?
 Who are the main clients of your competitors?
 What are the strengths and weaknesses of your main competitors?
 How many competitors from your own country are active in the target market?
D) Logistics
 What type of packing is appropriate for your range of products in the target markets?
 What kind of shipping documentation is required? What are the packaging and labelling
requirements?
 What is the average delivery time in your business line?
 What type of transportation is mostly used? What are the cost components of transport
from your factory to the buyer’s warehouse?
 What are the key seasonal buying and selling periods?
E) Price level
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 What is the price range for your type of products? Can you make a profit at that price?
Note that a significant percentage needs to be deducted from the retail price, which is the
price that can most easily be researched through desk research (see section 5: Export
costing, pricing and invoicing)
 What are the price developments on the market regarding your products?
 How price sensitive are your clients?
 What are the typical sales and payment terms?
1.2 Company Analysis (Internal Analysis)
After your export market analysis, you should assess whether your company is able to enter
your chosen markets, i.e. by doing an internal analysis. Especially if your company is new to
exporting, you should do a company audit and establish whether you can use your resources
without jeopardizing your domestic sales efforts. Elements to be assessed include: Product
standards, production capacity, flexibility, logistics, sales force, financial strengths,
capabilities etc. As a result of this internal analysis, you will be able to assess to what extent
your company is able to take advantage of the opportunities identified in the market analysis.
Furthermore, with a thorough understanding of your company's unique capabilities, you are
able to invest in opportunities that exploit your strengths.
A) Production
 Do you have a factory to fully process your products or focus on treatment and finishing
stages to control the quality of your products?
 Do you have some good production groups/suppliers of finished/semi-finished products so
that you can make further processing/finishing at your factory?
 Are your facilities and equipment in good working condition?
 Do you have sustainable treatment techniques of raw materials and finished products, e.g.
treatment for your bamboo and wood products free of mould and insect, dyeing
techniques to keep the colours durable?
 Have customers ever complained about quality, for example, that your products got
cracked deformed/ mouldy at the destination?
 Do you have a quality management system?
 How is the present capacity being used? Will filling export orders hurt your present sales?
What minimum order quantity is required for different products?
 Are you able to meet required delivery terms in time/quality?
B) Human resources
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 Do you have skilled workers – is a sufficient number easily obtainable?

 Do you have staff that are familiar with export-import techniques? Are they good at
customs declarations, shipping arrangements and international payments?
 Can you speak at least one foreign language, especially English?
 Who will follow up on orders after the planning is done?
 Do you have people who are fully computer-literate?
 Do you have your own designers and are they well aware of market trends? How many
new design collections do you have per year?
 Do you have any person in your company who is familiar with supportive policies to
encourage handicraft exporters, e.g. Decision 132 on craft development, Decree 51 on
domestic investment? For a list of supporting policies, see Appendix No.12.
C) Marketing
 How do you reach potential customers? What are your marketing instruments?
 Do you have stable partnerships with key customers? Do you know their requirements?
First focus on existing customers before targeting new ones.
 Do you have more than one customer? Do you know that you may be in a very dangerous
situation, if you reduce business with current customers and concentrate on expecting
good business with larger potential clients?
 Do you have your own showroom and website? Is the website frequently updated? Do you
have impressive marketing materials (business card, catalogue...)?
 Do you produce goods under a brand name? Is this brand name recognized and legally
registered?
 Have you met representatives of foreign buyers and offered your services personally?
 Do you have your own retail outlets?
D) Logistics
 Do you have any problems with transportation of your materials/products, for example,
from your factory to the port of loading?
 Do you have sufficient infrastructure to export? Internet, fax, phone, port, roads, shipping
containers?
 Do you know the major freight forwarders and shipping companies in Vietnam as well as
their most competitive routes?
E) Finance
 Do you know your cost structure? Do you have a budget planning for expenditures on
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sales, advertising, and research and development (R&D) on a yearly basis?

 Can you borrow money from commercial banks or other credit institutions, usually on
short-term basis to finance for your export orders?
 Do you know export encouragement programs of the Vietnamese government, where you
can get financial support for export?
 Do you have the necessary financial means for increased production?
 Do you have the banking ability to get paid and to issue refunds for damaged
merchandise?
1.3 SWOT Analysis
The findings of the external and internal analysis can be summarized in a so-called SWOT
analysis (SWOT stands for: strengths, weaknesses, opportunities, threats), where the most
important strong and weak points (internal factors) and the main opportunities and threats
(external factors) are ranged in order of importance.
The purpose of this analysis is to clearly show the position of the company in the market. The
essence of the SWOT analysis is to find a market segment where there is an opportunity that
matches the strengths and where the threats have a minimum impact on the vulnerable sides,
the weaknesses of the company. In fact, by matching external opportunities and internal
capabilities, the exporter should be able to identify suitable target countries, market segments
and target product(s) within these countries.
Here is an example of a SWOT analysis from a water-hyacinth handicraft company intending

to become a direct exporter to Germany.
Strengths: Weaknesses:
• We are able to respond very quickly as • Our company has no market presence or
we have a good network and well reputation
trained staff • We are lacking treatment and coloring
• We are able to give best customer care technique for our natural materials
• We can change direction quickly if we • We have no export experience
find that our marketing is not working • Ocean freight from Vietnam to Germany
• We have little overhead, so can offer is much higher than from China to
good value to customers Germany
Opportunities: Threats:
• Our business sector is expanding, with • There’s a trend of using sisal material
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many future opportunities for success, which is produced in China

especially for EU market • The use of drying equipment that
• Government always encourages local sometimes causes water-hyacinth
businesses with work where possible material to break quickly may reduce
• Our competitors on water-hyacinth may our range of in-house products
be slow to adopt new weaving skills.
2 Market Entry Strategy
Gifts and decorative articles are often distributed through many different intermediaries like
agents, importers/wholesalers and retailers. The following chart outlining the distribution
channels in the EU may serve as an example of market structures in key Vietnamese export
markets. Handicraft articles are sold through widely diverging retail channels such as gift
shops, furniture outlets, garden centers, food retail stores, department stores etc.
Source: CBI, EU Market survey 2005, Gifts and Decorative articles
The most important market entry strategies for Vietnamese crafts exporters are:
 To supply specialized importers, who buy a broad range of products and resell and
distribute them under their own brand names to countless small retailers. Very often, they
are specialized in different retail channels, supplying garden centers, flower stores or
exclusive interior decoration stores. Depending on the respective retail channels they
operate in, they have different needs for product groups, price levels, and design
13
specifications. Understanding these needs is important for exporters in order to be able to

offer them appropriate products.
Importers can be very reliable partners for exporters, allowing them to enter into long-
term partnerships and to ensure stable growth, and to work with reliable trade partners and
secure repeat orders. Most of the larger importers from the EU, US or other markets visit
Asian supplier countries several times a year, with many of the larger ones having at least
some experience also in Vietnam.
 Secondly, there are a number of mass retailers who source products and visit suppliers in
Asia and place orders locally. It can be a very good chance for your company to sell
directly to such mass retailers in the EU, US, Japan or other countries in the world
because of the high volumes they turn over. However, before taking up business with them
you should bear in mind that these mass retailers have all the power in the business
relationship and control the terms of sale. Lots of vendors in every country want to sell to
them, so they can buy anything from anywhere. This leads to price pressure on the
suppliers, forcing everyone from retailers and importers to suppliers to become more
efficient if they want to stay in business.
 Other opportunities exist for producers in target markets to act as contract manufacturers.
In order to reduce production costs, some international manufacturers source part of their
collections from abroad and produce only some of their collections themselves.
Recently, the EU, US and Japanese markets are overrun with a surprisingly large variety of
imported household products. As such, it is necessary for you to concentrate on products that
allow both private shops and chain stores to express their individuality. Items that are new and
innovative, possess quality, and have a reasonable amount of practicality and functionality
will be viable. Also, those which are highly original are promising because they allow the
store to differentiate itself from other retailers.
In order to establish a first contact with potential buyers, your company may identify and
find customers by:
 Identifying purchasing agents of large retailers that already operate in Vietnam or in the
region e.g. IKEA, Wal-Mart, Tchibo, Otto, Habitat, etc.
 Attendance at national or international trade shows
 Participation in trade missions abroad
 Launching mailing campaigns to buyers that you may find through their websites, trade
directories, trade fair catalogues and websites etc.
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 Assessing websites with large databases with international coverage, including ITC Index
to Trade Information Sources (www.intracen.org), European Business Directory
(www.europages.com), World Trade Center Association (www.wtca.org)
 Registering as a user of global B2B on-line trade portals such as www.ecplaza.net,
www.alibaba.com, http://trade.indiamart.com, www.b2bexplorer.com, www.vertical
zoom.com, www.go4WorldBusiness.com etc. and find buyers by searching these
databases
 Assessing sources from government or trade associations (VIETRADE, Vietnam
Commercial Affairs in foreign countries, Trade Centers in New York, Dubai, Japan etc.)
 Identifying representatives or trade promotion organizations of foreign countries in
Vietnam like JETRO, KOTRA etc.
 Your website with special key words like “Vietnam Handicrafts”, “Vietnam Home
Décor”, “Vietnam Home Furnishings”, “Vietnam Bamboo & Rattan”, “Vietnam
Embroidery”, “Vietnam Lacquer ware”, “Vietnam Ceramics” etc.
Some of the EU importers can best be met at leading trade fairs in the EU, others prefer to
source locally and look for unknown suppliers in Vietnam. The latter can best be met at
domestic trade fairs and exhibitions in Vietnam.
For the Japanese market, the use of agents/distributors is the most realistic entry strategy for a
small or medium-sized company, but this approach requires great care in the selection of the
representative. Many Japanese companies visit domestic or international trade fairs, where
often a first contact is established.
In the U.S. market, most trade fairs are dominated by U.S. importers and less suited for
exporters to exhibit. Many Vietnamese exporters failed to find buyers through trade fairs in
the United States because they competed with their buyers. If you want to enter the US
market, you may consider targeting US importers that you may meet through your attendance
at local trade fairs like the International Furniture and Handicraft Fair in Hochiminh City or
other Asian or European trade fairs.
3 Preparing a Professional Presence
In order to strengthen your corporate identity, it is essential that you build up a professional
presence, which accounts for core values, behavior, symbols and communication, and other
principles.
The “core values” are important pillars on which a corporate identity rests, and they are based
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on fundamental managerial decisions, ranging from daily activities to long-term objectives.

Core values can consist of elements like company strategy, code of conduct or quality
management. Symbols include logo, letter design, brochures, business cards, the website and
other graphic presentations.
However, your company’s appearance is expressed in many more ways than through a logo
on the letterhead and your business card. Another pillar of your identity is the style and
contents of your communication with business partners. Is your communication style open,
honest and correct? Are enquiries, requests or complaints swiftly answered, and by which
means of communication? And is it possible for others to make personal contact with your
staff?
3.1 Marketing Material
You need a Company Profile to give buyers an idea about your company. Bear in mind that
your company profile should reflect what a buyer likes to know about his supplier. To help
potential customers evaluate the appropriateness of your company for their needs, take care
that you refer to the following points in your profile:
 Your company‘s background and history

 Your company‘s corporate philosophy
 How is your company organized?
 Which products and services are offered?
 Does your company understand the needs and requirements of its market partners?
 Which are the technical and commercial skills, how are the offered products and/or
services designed, developed and implemented?
The profile should serve to convince your customer of your ability to meet his needs and to
give him the impression that your company‘s competence, skills and reliability are good
enough to be taken into consideration as a new supply partner. An example:
 ABC Decor Company was founded in 1998 by Ms. A, a professional designer, who grew
up in a family with handicraft trade for generations, and Mr. A, a businessman who had
obtained an MBA degree in the United States. With its continuous efforts, so far, ABC
Decor has become one of the most famous groups of home and garden decor producers in
Vietnam, employing 120 workers in its own factory in Phu Tho province and another 200
in its supporting groups in various craft villages nationwide.
 ABC Decor is committed to providing its customers with a broad range of functional,
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high-quality products for the home and garden using environmental-friendly materials for
lamps, table, chairs, decor objects.... At ABC Decor, all of us share a common mission:
"To reward our customers with long-term value and product satisfaction for every
purchase". Our passion for product is what has made us different from other producers
and suppliers in Vietnam, and it will always be what moves us forward.
 Currently, we are exporting to Japan, Italy, Germany, America and South Korea with the
monthly production capacity of 5 containers. We have received best supplier awards from
XXX Company in Japan and we are also boosting our reliability to customers by adopting
ISO 9001:2000.
This information can be put together on a single page. You can include pictures of your office,
showroom and factory, if appropriate. The profile is not the right place to show pictures of
your products unless you concentrate on only one product. The profile should be easy to
update and should be in English. You should hand it out to customers you meet with and send
it along with your letters and e-mails.
You need a Business Card. This sounds simple but many companies assume they don’t need
one. Take care that it is readable:
 Use block letters instead of a fancy print that is difficult to read.

 Current telephone, mobile, fax, and e-mail address should be included and new cards
produced if that information changes.
 Ensure that the physical address of your office/factory is included so the potential
customer can send something to you by mail or courier or he could show it to a taxi driver
to find your company.
 It needs to be in English or the language of your primary customers.
The logo, letter type and colors should correspond with those of the letter paper. All vital
details should be on the front of the card. Complementary information can eventually be
printed on the reverse side. The size of card should not be larger than 9 x 5.5 cm, alternatively
the same size as a credit card, 8.5 x 5.4 cm. Be aware that cards covered with a plastic film
cannot be used to make notes on and cards which are very shiny or have a silver or gold cover
result in problems when copying or faxing them.
You need other Image Carriers, such as letterheads, envelopes, file holders etc.
Letterhead: The size of letter paper should be A4 format (210 x 297 mm). The paper quality
should be at least 80 grams, with a high degree of whiteness or, if desired, a light color. You
17
have to realize that letter types have an influence on the impression the letter makes on the
reader, such as friendly, businesslike, or reliable. Choose a letter design which supports the
desired image.
Envelopes: Preferably use the color white for the envelope, but you could also use the same
color as the letter paper, if it is not white.
File holders: To keep your company introduction (profile, catalogue...) or a set of shipping
document or other transaction documents.
You need a Product Catalogue. Printed catalogues are produced when there is a need to
display a large range or number of products. Product descriptions are accompanied by photos
or drawings. A good catalogue is not always easy to produce. Creativity is a must for an
attractive and appealing catalogue that will impress your customers. The artwork should be a
high priority, both for the text as well as for the layout, photos/illustrations and other
illustrative elements. Its colors should be attractive and professionally matched. Key
information should cover, for instance, product code numbers, specifications and materials
used.
While a printed brochure can be browsed in a few seconds to get an impression of the
company and product catalogue, a CD-Rom needs to be inserted in the CD-Rom drive of a
computer. It therefore happens often that the CD-Rom is tucked away in a quiet corner in the
bottom drawer. It can, however, be a very effective tool as a multimedia presentation at an
exhibition. As an interactive tool, where the viewer is in control of the navigation panel, it
definitely has advantages over a video presentation. You should also take note that the content
and design of the CD-Rom will give your customers a good impression about your quality
management. An appealing CD-Rom sticker and holder will make your CD-Rom stand out
among others and will encourage your customer to actually insert into his CD computer drive.
In addition, you can prepare a photo album displaying your product range. You should take a
photo of every style you make for reference, and a number of these can be put together to give
prospective customers an idea of the products you have made previously and what other
customers are purchasing from you.
You need a Website. If you have a website, ensure it is up to date. Websites serve as a
reference for your company but also need to be promoted. Many companies spend thousands
of dollars on the creation of a website and wonder why they do not have any visitors. The
reason is simple: no one knows it is there. The company profile, brochures, and catalogues
can be digitalized and put on the Web. By placing promotional materials on the Web, you will
18
save printing costs, while still being able to update the information any time without incurring
substantial costs. In other words, it is an economic and flexible promotional tool.
When developing and maintaining your website, you should pay heed to the following
factors:
 Design the site in accordance with the corporate image

 Build a site that looks professional, attractive, and is fast
 Offer the most important information clearly and concisely
 Text blocks have to be short and to the point
 Offer a download option for background information, datasheets and manuals
 Develop a logical and simple navigation system
 Register the site with all well-known search engines
 Ensure that your site is well linked to other relevant websites
 Check the links regularly
 Update and renew the site regularly, so as to offer up-to-date information and to
encourage repeat visits
 Include a “What‘s New” page
 Promote your site on all the promotional materials
 Track and profile the visitors by offering an e-mail up-date service.
It is emphasized that your website cannot be used effectively as a promotional tool unless you
actively attract your target group to visit it.
You need other Promotional Material.
Product Sheets: Product sheets are usually one-page formats which provide more detailed
information on specific products. They can be distributed as loose leaflets as well as inserts in
company brochures and replaced whenever required. You can easily prepare product sheets
with the help of a computer and a color printer. This will further reduce production costs and
at the same time allow you adapt and update the sheets easily.
Hang tags: It is very important to design a nice hang tag for your product. It will list name,
style number, raw material content, colour, size of your product. Hang tags are a good tool to
advertise the maker, and to specify that the product complies with safety standards. In many
cases, hang tags are used to describe the cultural importance of your design; to explain how it
is made and its traditional uses. Make hang tags as beautiful as your products.
Insert cards: An insert card should be used professionally, especially for high-end products.
19
This is a removable card or label that “romances” the product, tells its story and/or the
artisan’s story to help increase the likelihood someone will buy it.
Care labels: A care label giving caring and cleaning instructions is permanently or semi-
permanently attached to a product. It is often applied to lacquer ware and textile articles,
of which imported textiles have specific care-label requirements.
3.2 Professionalize your Staff and Communication
You will impress a potential buyer if not only you yourself as the general manager act
professionally but if your staff does as well. A good method of accomplishing this is to train
the key members of your staff (manufacturing, customer service, and engineering) to be able
to make a quick and accurate presentation of their job and to explain in which way they are
responsible for the production or shipping of the client’s order. This should be done in
advance of the customer’s visits, and the presentation should be reviewed to see that it is
accurate but no confidential information is provided. The goal is for the customer to know
that his order is being attended to professionally from the time it is received until it is shipped.
It is therefore important that the company’s personnel should be given clear instructions as far
as external communication is concerned.
Although it is not likely, it is possible that a customer will buy from you but will never visit
your office. It is likely that a customer or potential customer will communicate with you for
some time before visiting your office. A mistake many companies make is that they fail to
professionalize their office communication.
You should insure that if you have e-mail, you have a policy that it is checked and responded
to promptly. Even if the response is “we have received your query and will answer
tomorrow.” Fax machines often run out of paper and continue to ring or customer faxes are
collected but not acknowledged. Company telephones are answered by people who speak only
the native language and hang up if there is a foreign language on the other end.
The way your company communicates reveals a great deal of information about your
professional conduct to a potential customer. Professionalizing your office communication is
very inexpensive yet pays off substantially over time.
Writing effective e-mail messages:
 E-commerce is ever more popular in business transactions nowadays. However, many

companies often disregard the importance of writing an e-mail message effectively and if
20
you do so, this may influence your image to some extent.

 It is crucial that your message catches the readers’ eye. Begin with a greeting, or a word of
thanks. Thereafter, write your main message in one or two short sentences, and end by
stating what you expect from the reader. In the following paragraphs, you give additional
information or arguments and describe the advantages to the reader. The last paragraph
should once more contain the core of your message, after which you sign off with a
greeting. Just as in a letterhead and the signing of an ordinary letter, it must be absolutely
clear who is writing the e-mail. Therefore, under the text you should place your own
name, company name, address, telephone and fax numbers.
 When you answer an e-mail message, let the subject line remain unaltered. It is then easier
for the receiver of your reply to know instantly what the message is about. You write your
answer above the text which you received. It is not advisable to deal with different
subjects in one and the same e-mail. Instead, send separate e-mails, so that the receiver
can open and/or file them separately.
 Make sure that there is a policy that all e-mails are checked and responded to promptly –
even if the response is “we have received your query and will answer tomorrow.”
Writing effective business letters:
 A formal business letter is constituted by the following elements: Letterhead, name and
address, date, salutation, reference, body of the letter, complimentary close, signature and
enclosures.
 The salutation: The type of salutation depends on your relationship with the recipient.
Always try to personalize the letter by addressing the recipient with his/her name rather
than with dear sir/madam.
 A reference line is optional, but its inclusion can help the recipient deal successfully with
the subject of your letter. Normally the reference line is preceded with the word Re:. It
should be placed one line below the greeting.
 The main body of your letter contains a number of paragraphs, each paragraph dealing
with one point and one point only. Start your letter with the main message. Do not waste
too much time with introductions. Give the reasoning or the background of your message.
Tell the reader why you are approaching him or her. Elaborate on the message: Provide
details, precise information, arguments, and, if applicable, the actions you intend to take.
Finish with a closing statement. Do not leave anything open by saying for instance “We
look forward to your response” but close with “We will phone you next Friday (May 22)
to discuss your feedback on the proposal”.
 The signature should be clear and legible, showing you are interested in the letter and
consequently in the recipient’s aim. Your signature should also be followed underneath by
a typed version of your name and your job title.
21
 If you include other material in the letter, put 'Enclosure', 'Enc', or ' Encs ', as appropriate,
two lines below the last line.
 Once the final version of the letter is ready, polish it with a final spelling and punctuation
check. A letter should make an impeccable impression, neat, without typing errors. Try to
pack the whole message onto one A4 size page. Use good quality and clear-white paper.
Telephone etiquette:
 Knowing how to answer the telephone is an essential business skill. The person who
answers the phone gives the caller a first impression of your company. He or she must be
friendly and courteous and know good telephone etiquette. When answering the phone,
you should always start with a greeting e.g. Good Morning (Afternoon, Evening). This is
ABC Decor, How may I help you? or Hello, ABC Decor, How may I help you?.
 If the caller asks for a certain person, a proper response would be "One moment please, I
will transfer you to that extension" or "Mr. A/Ms. B is out of the office at the moment, is
there something I can help you with?"
 If the caller asks a question and you don't know the answer, a proper response would be
"I'm sorry I can't answer that, let me transfer you to someone who can help you" or " Can
you hold please? I will see if I can get you the answer in a moment."
 If you put someone on hold, do not make him or her wait too long. Be prepared before
you answer the telephone. Have a pencil or pen along with a pad of paper near your
telephone so you can write down important information such as their name. When
speaking to them, use their name during the conversation but don't overdo it.
 When initiating the telephone call, you should organize your thoughts before you place
your call. Make a short list of important items you want to discuss.
 If the person you are trying to contact actually answers the telephone, after shortly
introducing who you are, begin by asking them, "Is this a good time to talk?" You may
have called while they were busy. In that case, ask them when would be the best time to
call them again. Make sure you remember and call them again at the correct time.
 Do not speak too fast and slow down when you are leaving a message, or saying your
telephone number. Pronounce your name clearly and spell it if necessary.
 For both answering and initiating a phone call, please remember that people do judge you
by the tone of your voice and what you say - always sound professional!
3.3 Professionalize your Company Operations
In many cases, especially when working with large corporate clients, a company’s operations
need to be well organized to meet the auditing requirements of their buyers. As a matter of
fact, these requirements also always tend to support the effective operation of the companies
22
in term of productivity, environmental protection etc. and therefore, in any case, the exporters
should consider applying these standards.
Following is an example of auditing requirements from a larger retailer to its suppliers.

1 Employee record. Availability: Yes No
2 Past 12 months’ time card/attendance record Availability: Yes No
3 Past 12 months’ pay record. Availability: Yes No
4 Factory regulations. Availability: Yes No
5 Insurance certificate. Availability: Yes No
6 Environment Approval Certificate. Availability: Yes No
7 Fire drill record. Availability: Yes No
8 Production machinery list. Availability: Yes No
9 Organization chart with number of workers in each Availability: Yes No
division / section.
10 Business Registration. Availability: Yes No
11 Factory owner’s/major share holder’s name
Other information also needs to be provided for the buyers’ quick reference:
a. Factory Area – Production: Office: Dormitory:
b. Number of employee:
c. Monthly production capacity:
d. Your major customers:
e. Normal working hours: hours/week
f. Average overtime hours: hours/week
g. Do you have enhanced overtime payment as required by Labour Law: Yes No
h. Do you have maternity leave policy: Yes No
i. Do your employees have pay during the statutory holidays: Yes No
j. Do you discipline the employees by salary deduction: Yes No
k. Youngest employee: years old
l. Local legal minimum wages: /month Average wages: /month
m. Lowest wages: /month
n. Do your factory building(s) each has TWO fire exits: Yes No
o. Do your dormitory building(s) each has TWO fire exits: Yes No N/A
p. Do you have first aid supplies in each production floor / dormitory: Yes No
q. Number of person per toilet: Men Women
r. Number of person per dormitory room Average area / person:
You can study and apply some useful management solutions to improve the effectiveness of
your company’s operations e.g. ISO, TQM (Total Quality Management), Kaizen & 5S,
SA8000 or 6Sigma. Of course, it is time-consuming and costly to have the above standards
certified, but following and learning from their procedures will surely professionalize your
company’s operations.
If your customers are from Japan, you may have an advantage if you apply the Japanese 5S
philosophy (Seiri, Seiton, Seiso, Seiketsu, and Shitsuke). It focuses on effective work place
organization and standardized work procedures. 5S simplifies your work environment,
reduces waste and non-value activity while improving quality efficiency and safety:
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 Seiri (Sort): focuses on eliminating unnecessary items from the workplace

 Seiton (Set in Order): focuses on efficient and effective storage methods
 Seiso (Shine): focuses on cleaning the work area. Daily follow-up cleaning is necessary in
order to sustain this improvement
 Seiketsu (Standardize): focuses on standardizing best practice in your work area
 Shitsuke (Sustain): focuses on defining a new status quo and standard of work place
organization.
Your Showroom is the most effective marketing tool to convince the customers that visit you
on your premises. If you cannot afford to participate in expensive international trade fairs,
start with an impressive showroom first.
How things are displayed also affect how valuable they appear. Present your products as
nicely as you can, arranging them by topic/collection with specific color and shape. Your
product samples need to be creatively arranged in a crisp, clean, architecturally appealing
setting so that your customers can visualize how they function and how they can be used.
Furthermore, it may be a good idea if you decorate your showroom with a set of green trees to
give the room a natural appearance.
You may not have the skills required for decorating. In that case, you can ask for the support
of the designers at the Art Colleges or the designers who come from your target markets and
work in Vietnam through many co-operation programs.
3.4 Understanding Market Requirements to Improve your Presentation
Vietnamese companies have a particular style when it comes to presenting products in

marketing documents, like catalogues, brochures, and websites. Most documents refer to
either the name of the product or the materials used to make the product. For example,
handicraft companies often divide their product range into the categories of bamboo, rattan,
ceramic, embroidery and lace and others, then further split the products into sub-categories
such as baskets, trays, handbags etc.
When dealing with US clients, you should be aware that this classification system seems
strange to US customers, because they often categorize products by function, e.g. furniture,
home textiles, floor coverings, wall decor, tabletop and giftware (usually grouped together),
house wares, sleep products (mattresses), major appliances, etc., and not by raw material or
production method. Then they further sub-categorize their products by design, quality and
function. Raw material and production method are only important in so far as they contribute
to design, quality, and function. For example, a silk pillow is obviously more valuable than a
24
polyester one, but the buyers wouldn’t necessarily know the difference between cane, rattan,
or bamboo, or their different weaving techniques or qualities. Clients may just recognise
which product looks nicer according to their tastes and preferences.
Therefore, if the US market is your target, your products should be categorized according to
US custom in all of your marketing documents. Generally speaking, if you target a specific
market, you should study and understand the conventions of product presentation in these
markets in order to improve your own presentation.
4 Preparing Products for Export
Selecting and preparing a product for export requires not only product knowledge but also
knowledge of the unique characteristics of each single market that you target. Your market
research, especially through field research and through the contacts made with foreign
representatives, will give you an idea of which products can be sold in which markets. Before
selling, however, you may need to modify a particular product to satisfy buyer tastes or needs
in foreign markets, thus creating a unique selling proposition for your products.
Your bestseller: If your company manufactures more than one product, you should start with
the one best suited to your targeted market. Ideally, you choose one or two products that fit
the market without major design modifications. Make what you’re good at and what you
know, inspired by your culture. Make everything as perfectly as you can, especially the
finishing.
Quality comes first: The international consumer constantly expects higher quality at a better
price, and this expectation leads to re-structuring the medium and low-end market that most
of Vietnamese handicraft items belong to. To meet this expectation, even mass merchants
upgrade to higher quality, better-designed goods as Chinese factories improve quality and
production methods while still keeping prices low. They have set a new quality standard for
low priced mass products and have put tremendous pressure on every other market segment to
lower prices and improve quality by comparison. Therefore, to position yourself in the
marketplace, you should always produce the best possible quality you can, even for
inexpensive items. Constantly strive to improve quality.
Different products for different customers: In order to make as much business as possible,
Vietnamese handicraft exporters tend to offer everything they produce or source from craft
villages to everybody who will buy. This strategy may give you more orders in the short term,
but may prove a disadvantage in the longer term. When you (and many other exporters in
25
your area) sell the same things to multiple buyers, the market quickly becomes saturated and
oversupplied, and the uniqueness of the products gets lost. As they can be bought in many
places, they become more ordinary and are perceived to be less valuable. However, depending
on the actual situation, you can consider offering the same products for different markets.
Do not copy from others but develop unique products: For foreign buyers it is easy to
find hundreds of websites of Vietnamese handicraft exporters, but often they are
disappointed because they do not see much difference in the products offered on the
websites. The pictures of products in some websites operated by different producers are
exactly the same. Also, when visiting a foreign show, especially in the International
Furniture and Handicraft Fair in Hochiminh City, you will find that many stands display
the same products. By doing this, Vietnamese producers severely restrain their own
competitiveness and that of their fellow producers, because in the end no company will
have a unique product.
You should learn the product trends by observing the market but do not copy from them. Try
to develop your own products based on your analysis of trends. You can find a lot of finishing
patterns from a trade fair, e.g. circles of mother-of-pearl inlaid into lacquered vases,
embroidered circles on the pillows and cushions, circles on the wall papers etc.. All of those
tell you this: circles can be a trend in the market, and you can apply the “circles” idea to
decorate the surface of your ceramic pots in creative way. Designers often collect magazines,
and catalogues and make a “catalogue” of finishing patterns to develop their own products,
and that is also what you can do to develop your unique products.
The cruder and less unique your product, the more you will be expected to lower your
price. The better your workmanship, the less you will have to negotiate on pricing.
Develop a collection: Home decoration products are fashion items subject to the fast-
changing whims of consumers. Consumers buy products they find attractive and which fit
to what they already own. It is better to develop a collection of several matching items
rather than to try to develop unrelated stand-alone products e.g. a collection for table tops,
with a tablecloth, table runner, placemats and coasters. Always bear in mind what the best
combination of functional and decorative characteristics of your products can be.
Use professional designers: Fashionable product development is a key pre-requisite for

success, and professional designers are the ones who differentiate your products. And it would
even be better if you developed new collections in cooperation with your customers. On the
technical side, you know very well what you can make. In addition, your customers know
what they can sell, and will be happy to give you design and color information when you have
26
established a trust-based working relationship. Try to combine design advice from your
customers with further development by own Vietnamese in-house designers.
Add value to your products: Make your products functional in addition to being
decorative. Improve the design and desirability, making useful things fashionable too. A
pillowcase is functional and decorative. A pretty box is also useful, it can hold things.
Multi-use and reusable things have a higher perceived value. Quality and finishing are
most important, even for inexpensive items; you can use several materials or patterns,
more than one production technique, or moving parts, in one product.
Adapt your products to the market: It is quite important for your company to adapt
products to the geographic and climate conditions that prevail in your target market, and to
take the availability of resources into account. Factors such as topography, humidity, and
energy costs can affect the performance of a product or even determine its usage. Given the
case of spun bamboo articles, which are mainly produced in Cat Dang village, Nam Dinh
province - these articles have been exported to many countries all over the world, especially
to Germany, UK, France, USA and Japan. Many producers of these articles (vases, boxes,
trays...) received complaints from customers because the products cracked in the customers’
stores and showrooms after only a short period of time. The reason for this was the low
humidity in the foreign country. To avoid this problem, Vietnamese exporters should apply
more treatments to protect the bamboo core from the outside environment, or use some raw
fabric to cover the core before lacquering to strengthen its solidity.
The problem of humidity also affects the exportation of wooden articles, especially wooden
furniture (chairs, tables, cabinets...). These are produced by exporters or producers in the craft
villages who have no advanced treatment (drying) technologies.
In addition to adaptations related to the climate conditions and cultural and consumer
preferences, the exporter should be aware that even fundamental aspects of its products may
require changing. For example, electrical standards in many foreign countries differ from
Vietnamese standards. You cannot find two-hole sockets in the States and your beautiful
bamboo lamp with silk shade would be rejected by a US client if you fixed your lamp with a
two-pin plug. If you are involved in exporting lighting equipment, you need to install different
electrical wires for each country, like CE standard for EU, UL for America, UK for England,
PSE for Japan and OVE for Australia, etc.
Understanding the product sales periods: In Japan, the months of March, June, September
and December are said to be the period when household goods sell well as gifts. In March
they are bought as graduation presents, while in April, they are bought as presents for entering
27
school and for successful job placements and transfers; in June and September, they are given
as wedding presents; and in December they are mainly sought as Christmas presents.
Products from craft villages: In many cases you need to source out your production to many
households in the craft villages. For large orders that comprise one or two product styles only,
you may need to employ just one or two villages, but with thousands of households involved.
For some orders, you need to consolidate products from many craft villages and some of them
are not close to each other at all. In any case, you may find that the final products are not
consistent in term of shapes, measurements, colors and even finishing patterns.
To ensure the quality of your products, you are always requested to control the quality
permanently during the production process and to inspect all products before they are loaded
into containers. You should reject all products which are defective or do not match with the
approved samples.
It is a matter of fact that, the more you control the production at household level, the less
work you have to do at your factory. It is therefore recommended that you make efforts to
build the capacity of your producer groups in the craft villages in terms of quality
management.
Consider venturing into machine production: With today’s factory production methods, it
is possible to produce large volumes of products that have the appearance of hand-made items
at very low cost, making it difficult for the average consumer to differentiate between
handcrafts and machine made products. It is not the authenticity of the material or the
production method that is critical for the consumer; it is what can be done with it in terms of
design, what the look is like.
If another material, weave, or production method looks just as good, most consumers will
easily be convinced to purchase the item, especially if it costs less. So unless there is a
specific design or another feature that is obvious to a western consumer, you will find it very
difficult to sell products made with more expensive hand production methods and raw
materials. The average consumer cannot tell the difference and just wants to buy the “look”,
not the authenticity. Handmade is more valued in the high end art market, where it adds
artistic value.
5 Export Costing, Pricing and Invoicing
5.1 Export Costing and Pricing
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You can define production costs, which may include the components of fixed costs
(depreciation of fixed assets – defined as objects with value over VND5 million and being
used for more than a year like machines and premises) and variable costs (materials,
transportation or labor costs). However, there are a number of additional costs that must be
considered when calculating your offer based on different terms of delivery (FOB, CIF...) 2.
These should all be put into your cost calculation before you engage in a discussion with your
customer.
You may run into considerable problems if you just set a price for your export product by
calculating your production costs and adding a 15% margin or so. Technically, this means that
you determine the “Ex Works” price, which covers the production costs plus a certain
percentage for profit, and offer it on FOB basis to an importer abroad. This method is
common practice but it is far from best practice because your calculated market price may be
either too low or too high, as you have not considered many other costs resulting from
customs clearance, inland transportation, quantity of export orders etc.
A better technique for price setting is based on a simple calculation. You can either start from
a cost calculation side by adding the costs of getting your product to the customer - which
should give you the selling-price. Or you can calculate down from the final market price by
deducting all costs from that price until you have arrived at your product price.
So, the point that you have to decide upon now is which technique you should apply for your
price calculation. This decision depends on the kind of products you offer to the market. In
principle, you might think that your products are new in the marketplace and that they can
actually dictate the price level in that market just based on their costs and desired profit
margin.
But in that case, you should also consider the substitute products available on the market. Bed
cloth that is made of bamboo fiber with beautiful decorative embroidery patterns is an
example. It is a very unique product and you have a better chance to ask for a higher price, but
you should know that your customers may shift to the silk cloth instead and increase its value
by trendy and creative designs.
To set your price based on the cost-price method, you should be aware of the different cost
components (not only add 15% margin as above), which often depend on the terms of
2
FOB stands for Free on Board: A pricing term indicating that the quoted price covers all expenses up to and
including delivery of goods upon an overseas vessel provided by or for the buyer. CIF stands for Cost,
Insurance, Freight: A pricing term indicating that the cost of the goods, insurance, and freight until the final
port of destination are included in the quoted price.
29
delivery (will be mentioned in the later part). The following table describes different cost
components need to be included for calculating FOB and CIF prices.
Cost components Cost (US$) Price

/Mark-up (%)
(US$)
1 Factory price or producer costs of making the products 1.0 1.0
(labor, materials, packing, overhead...)
2 Profit of the producer 20% 0.2
Producer’s price/Ex-works (1+2+3) 1.2
3 Inland transportation (e.g. to Haiphong port) incl. loading 0.3 1.5
and unloading
4 Customs declaration/export clearance, export agent fees 0.1 1.6
5 Port receiving charge (usually CFS) 0.1 1.7
FOB Haiphong port 1.7
6 Ocean freight & Insurance 0.2 1.9
CIF Destination port 1.9
7 Charge in destination port (DDC-destination delivery 0.1 2.0
charge, AMS-Advance Manifest System...)
Landed price to importer 2.0
If your customer finds your offer too high and requests you to review it, take such feedback as
a chance to improve your costing. Keep in mind that a sound costing system is very
important. But to simply reduce the price and your profit margin is not the right way, until you
have considered and checked the following matters:
 Is the ocean freight you obtained the most competitive? (Are you sure that your selected
shipping line/ forwarder is the most competitive in terms of price?)
 Does the agreed delivery deadline still allow you to change to other shipping
companies/forwarders that can offer you lower prices but longer delivery times? Does
your customer accept this change?
 Can your buyer recommend other shipping companies/forwarding agents that offer lower
freight rates? If yes, will they accept your offer on FOB basis?
 Have you offered your customer a quantity-based price yet (especially for LCL3
shipment)? Can you suggest to your customer to switch to bigger quantities in order to
reduce freight and other handling charges (customs declaration, CFS, inland
transportation...)?
 Can you optimize your packing to minimize the volume?
 Do you have other chances to reduce the unit costs (review supplies, productivity,
marketing expenses)?
Another option to calculate your prices starts from the selling price. Being an exporter in a
developing country, you are most probably a price-follower rather than a price-setter. In this
3
LCL stands for Less than a Container Loaded
30
case, you can:
 Find out the current market price for comparative and/or substitute products in the target
market;
 Establish all the elements of the market price, like Value-Added Tax (VAT), margins for
traders and importers, import duties, freight and insurance costs etc.;
 Make a top-down calculation, deducting all the elements of the expected market price of
your product(s) in order to arrive at the price “Ex Works” (traditionally called “Ex
Factory”) or ex warehouse;
 See if you can meet this price.
Price mark ups of importers and retailers vary a lot depending on market segments and
distribution channels. The following table may serve as a rough average calculation.
Landed price to importer 2.0

1 Import duty (10% of landed price) 0.2
2 Price upon arrival at the port 2.2
3 Wholesaler mark up (warehousing, distribution, 80%
marketing, profit)
4 Wholesale price 4.0
5 Retail mark up (store, personnel, advertising, profit etc.) 100%
Final consumer price 8.0
If you find that your price is very competitive (much lower than your competitors’ ones) then
at which price you should offer your products? Your primary aim in the target market is to
offer your products at a price level that does not exceed that of your competitors. You can
apply “Penetration pricing” – offer the product at a price that is slightly lower than the one of
your competitors.
After fixing your price, it is important to create stability and reliability in your pricing. It is
difficult to increase prices later, if you started with very low prices. However, in practice, the
market price is always changing, up or down and as a player in the marketplace; you should
adjust your prices accordingly. Whatever your (forced or voluntary) changes in your prices
may be, always make sure that your customer and trading partner understands the reasons for
it. Those reasons should be made acceptable and justifiable in their minds.
The choice of currency in which you calculate your offer is very important. You can offer the
products in VND to avoid complicated and expensive currency transactions with your bank,
but in general, your customers will not accept a quotation in VND but ask for a quotation in
their own currency, e.g. JPY in Japan. In those cases, you should consider some hard foreign
currency; say Euros or US dollars because of their stability.
31
5.2 Quotations and Proforma Invoices
A quotation describes the product, states a price for it, sets the time of shipment, and specifies
the terms of sale and terms of payment. The description should include the following points:
 Buyer's name and address, buyer's reference number and date of inquiry
 Listing of requested products and brief description
 Unit price and quantity of each item
 Gross and net shipping weight
 GREEN WORLD CO., LTD.
Terms of delivery & Terms of payment
No.20 Lane 192 Giap Bat Str., Hoang Mai Dist., Hanoi - Vietnam
 Validity period
Tel:for quotation Fax: 84.4.6642983 E-mail: greenworld@fpt.vn
84.4.6642866
 Estimated time of Departure (ETD) and Estimated time of Arrival (ETA).
QUOTATION
Sellers are often requested to submit a pro forma invoice
Ref:with or No.:
Inquiry instead of a quotation. Pro
QUO61/06.LP
Date: June 27, 2004
forma invoices
To: DECO are not for payment purposes but are essentially quotations in an invoice
IMPORTS
3-2-22 Higamitsu, Saitama-Tokyo, Japan.
format.
NO ITEM PICTURE ITEM SIZE PACKING Q’TY CIF TOTAL

In addition to the foregoing list of items, a pro forma invoice should include a statement
CODE NAME (CM) IN 40’’ TOKYO AMOUNT
certifying that the pro forma invoice is true and correct and a statement describing the country
CONT. (USD) (USD)
of origin of the goods. (PCS)
1 BS01 Sea-grass 56x35x2 2PCS/ 1,212 10.5/PC 12,726

Also, the invoice should be visibly
basket marked4 "pro forma
CTN invoice." These invoices are only
models that the buyer uses when applying52x32x2
for an import license or arranging for funds.
0
As an example of a quotation, have a look28x20x1

at the following quotation for sea-grass baskets for
8
a Japanese customer.
17x9x17
TOTAL 1,212 12,726
In words: In US dollars Twelve thousand seven hundred and twenty six only.
Time of delivery: FOB Haiphong seaport, Vietnam

Place of delivery: Tokyo, Japan – 45 days after receipting your first remittance
Term of payment: T/T remittance. 30% advance right after signing contract. The balance (70%) will be
paid up upon the readiness and final inspection
Validity of the quotation: By 27 September, 2004
Green World Co.,Ltd.
Le Nguyen Bao Tram

Sale Manager
32
5.3 Terms of Sale
In any sales agreement, it is important that a common understanding exists regarding the
delivery terms. Confusion over terms of sale can result in a lost sale or a loss on a sale. For
this reason, you must know the terms before preparing a quotation or a pro forma invoice. A
complete list of important terms and their definitions is contained in INCOTERMS 2000,
which are grouped in four categories E (EXW, ex-works, formerly ex-factory), F (including
FCA, FAS, FOB), C (including CFR, CIF, CPT, CIP) and D (including DAF, DES, DEQ,
DDU, DDP). The obligations and charges that will be at your or your buyer’s account is
summarized in the following table:4
4
Refer to “A Guide to Exporting Solid wood product” United States Department of Agriculture.
33
The first group (E) has only one trade term EXW, formerly ‘ex factory’. The second F-group
The first group (E) has only one trade term EXW, formerly ‘ex factory’. The second F-group
indicates the obligation of the seller to hand over the goods to a carrier free of risk and
expense to the buyer. The third C-group includes terms that indicate the seller’s obligation to
bear certain costs after main carriage, which is a critical point in the sales contract: the
obligation to bear risks and costs change from one party to the other. The fourth D-group
includes the terms that prescribe that the goods must have arrived at a specified destination.
The most popular terms of sale that you often use are FOB (port of loading) and CIF (port of
discharge). For FOB (free on board) at a named port of export, you quote the buyer a price
that covers all costs up to and including delivery of goods aboard an overseas vessel. But for
CIF (cost, insurance, freight), you quote a price for the goods (including insurance), all
transportation, and miscellaneous charges to the point of debarkation from the vessel. You
should quote CIF whenever possible, because it is internationally recognized. It shows the
foreign buyer the cost of getting the product to a port in or near the desired country.
When quoting a price, you should always make it transparent to the prospective buyer. A price
for your tablecloth quoted "EXW Ha Tay" would be meaningless to most prospective foreign
buyers because they don’t know how to determine the cost to the port as well as the total cost
to their warehouse. Therefore, they would hesitate to place an order.
5.4 Methods of Payment
There are several methods of payment for your products sold abroad. Ranked in order of
security for the exporter from most secure to least secure, the basic methods of payment are:
34
 Cash in advance, Telegraphic Transfer (T/T)

 Letter of credit (L/C)
 Documents against Acceptance (D/A)
 Documents against Payment (D/P)
 Open account.
Since getting paid in full and on time is of utmost concern to exporters, risk is a major
consideration. One of the most important factors in reducing risks is to know what risks exist.
For that reason, you are advised to consult your banker to determine an acceptable method of
payment for each specific transaction.
Cash in advance: Cash in advance of shipment may seem to be the most desirable method, as
the seller is relieved of collection problems and has immediate access to the money if a wire
transfer is used. However, on the other hand, advance payment creates cash flow problems
and increases risks for the buyers and they may refuse to pay until the merchandise is
received.
In order to ensure that both parties benefit from the payment arrangement, you need to discuss
the method of payment with your buyer. In case that full payment before shipment is not
accepted, you may consider other terms of payment, for example: “30% of the total contract
amount will be remitted to the exporter’s account right after signing of the contract, and the
remainder will be paid by the importer right after receiving copies of shipping documents” or
“30% of the total contract amount will be remitted to the exporter’s account right after signing
of this contract and the balance will be paid through Confirmed Irrevocable Letter of Credit”
in order to minimize your risks.
Letter of credit (L/C): The buyer may be concerned that the goods may not be sent if the
payment is made in advance. To protect the interests of both buyer and seller, documentary
letters of credit are often used. In this case, documents are required to be presented before
payment is made. The letters of credit may be paid immediately, at sight, or at a later date.
L/C may be revocable, irrevocable, unconfirmed or confirmed. The irrevocable L/C cannot be
canceled or altered in any way by the banks or the buyer, without the permission of the
exporter. A revocable L/C can be changed or canceled by the opening (buyer’s) bank at any
time without notifying the exporter. In a confirmed L/C, the confirmed bank accepts
responsibility to pay. If the L/C is unconfirmed, the exporter is relying on the foreign bank to
make payment.
35
Here is what typically happens when payment is made by an irrevocable letter of credit
confirmed by a U.S. bank (this method is defined as Confirmed Irrevocable Letter of Credit):5
1. After the exporter and customer agree on the terms of a sale, the customer arranges for
their bank to open a letter of credit.
2. The buyer's bank prepares an irrevocable letter of credit, including all instructions to the
seller concerning the shipment.
3. The buyer's bank sends the irrevocable letter of credit to a U.S. bank, requesting
confirmation. The exporter may request that a particular U.S. bank be the confirming
bank, or the foreign bank selects one of its U.S. correspondent banks.
4. The U.S. bank prepares a letter of confirmation to forward to the exporter along with the
irrevocable letter of credit.
5. The exporter reviews carefully all conditions in the letter of credit. The exporter's freight
forwarder should be contacted to make sure that the shipping date can be met. If the
exporter cannot comply with any conditions, the customer should be alerted at once.
6. The exporter delivers the goods to the right port or airport.
7. When the goods are loaded, the exporter completes the necessary documents.
8. The exporter presents to the U.S. bank documents indicating full compliance.
9. The bank reviews the documents. If they are in order, the documents are airmailed to the
buyer's bank for review and transmitted to the buyer.
10. The buyer (or agent) gets the documents that may be needed to claim the goods.
11. A draft, which may accompany the letter of credit, is paid by the exporter's bank at the
time specified or may be discounted at an earlier date.
Upon receiving a letter of credit, you should carefully compare the letter's terms with the
terms indicated in your pro forma quotation. This is extremely important, as the terms must be
precisely met or the letter of credit may be invalid and the exporter may not be paid. If
meeting the terms of the letter of credit is impossible or any of the information is incorrect or
misspelled, the exporter should get in touch with the customer immediately and ask for an
amendment to the letter of credit to correct the problem.
You must also provide documentation showing that the goods were shipped by the date
specified in the letter of credit or the exporter may not be paid. You should check with their
freight forwarders to make sure that no unusual conditions may arise that would delay
shipment. Similarly, documents must be presented by the date specified for the letter of credit
to be paid.
Documentary Collection (D/A and D/P): This payment mechanism is the collection by a
5
Refer to “A basic guide to exporting”, published by US Department of Commerce
36
bank of funds due from a buyer against the delivery of documents. The bank, acting as agent
for the seller (exporter), presents documents to the buyer (importer) through that party's bank
and in exchange receives payment of the amount owed, or obtains acceptance of a time draft
for payment at a future date. The liability of the bank under a documentary collection is
primarily restricted to following the seller's instructions in forwarding and releasing
documents against payment or acceptance.
Unlike a letter of credit, the bank does not assume any liability to pay if the buyer does not
want or is unable to pay. Compared with open account sales, the documentary collection
offers a higher more security to the seller, but less than a letter of credit. The steps in a
documentary collection are as follows:
1. The buyer (importer) and seller (exporter) agree on the terms of sale, shipping dates, etc.,
and that payment will be made on a documentary collection basis.
2. The exporter arranges for the delivery of goods to the port/airport of departure.
3. The exporter delivers the goods to the point of departure and prepares the necessary
documentation.
4. Export documents and instructions are delivered to the exporter's bank by the exporter
5. Following the instructions of the exporter, the bank processes the documents and
forwards them to the buyer's bank.
6. The buyer's bank, on receipt of documents, contacts the buyer and requests payment or
acceptance of the trade draft.
7. After payment or acceptance of the draft, documents are released to the buyer, who uses
them to pick up the merchandise.
8. The buyer's bank remits funds to the seller's bank or advises that the draft has been
accepted.
9. On receipt of good funds, seller's bank credits the account of the exporter.
Open account: Under an open account, the exporter simply bills the customer, who is
expected to pay under agreed terms at a future date. This method of payment is convenient
and may be satisfactory if the buyer is well established, has demonstrated a long and
favorable payment record, or has been thoroughly checked for creditworthiness.
Open account sales do pose risks, however. The absence of documents and banking channels
may make legal enforcement of claims difficult to pursue. As an exporter, you may have to
pursue collection abroad, which can be difficult and costly. Also, receivables may be harder to
finance, since drafts or other evidence of indebtedness are unavailable. Note that, for all of the
mentioned methods of payment, you should know and mention in the contract the party that
will bear the bank charges for remittance.
37
The advantages and disadvantages of payment terms are summarized as follows:
Method of Timing of Goods Seller’s risks Buyer’s risk

payment payment availability
Cash in Before shipment At destination None 100% reliance on seller
advance arrival
Letter of Presentation of When L/C is Minimal, Issuing/ Assurance of shipment,
Credit documents after paid confirming bank but depends on seller to
obligation to pay if supply goods ordered
shipment documents conform to
L/C
D/A collection When accepted At time Trade Non-payment of draft, Minimal, may refuse to
Trade Draft Draft is even though buyer has pay draft at maturity
accepted the merchandise
matures
D/P collection When documents When payment Non-payment of draft Assurance of shipment,
received at the is made
but depends on seller to
presenting bank supply goods ordered
Open Account Buyer's Upon arrival 100% reliance on buyer None
discretion
The term of payment to be applied is much dependent on your understanding and your
relationship with your buyers. In general, a documentary collection and open account would
be appropriate (1) where the seller and the buyer know each other to be reliable, (2) there is
no doubt about the buyer's willingness or ability to pay, (3) the political and economic
conditions of the buyer's country are stable and (4) the importer's country does not have
restrictive foreign exchange controls. When dealing with new customers, you should better
apply Cash in Advance or Letter of Credit (often, Confirmed Irrevocable Letter of Credit at
sight) even L/C is often subject to a high bank charge.
Below are payment services operating by some commercial bankers in Vietnam:
Name Website Export service

Bank for Foreign Trade of http://www.vietcombank.com.vn - Payment by L/C
Viet Nam
-D/A Collection
- D/P Collection
- D/OT Collection
- Telegraphic transfer – T/T
Techcombank http://www.techcombank.com.vn - Payment by L/C
-D/A Collection
- D/P Collection
38

Asia Commercial Bank http://www.acb.com.vn - Payment by L/C
-D/A Collection
- D/P Collection
Bank for Investment and http://www.bidv.com.vn - Payment by L/C
Development of Viet Nam
-D/A Collection
- D/P Collection
6 Trade Fair Participations
Trade fairs are an excellent way to find new customers, to get an update on the current
situation in the sector, such as market trends and product developments. Hundreds of
Vietnamese handicraft companies have participated in many trade fairs over the world,
particularly in Germany, France, Italy, Spain, UK, Japan, Hong Kong, Thailand, United
States. Many of them participate twice or even three times per year.
But you cannot take it for granted that you will actually reap success from participating in a
trade fair unless you prepare your attendance carefully. If you appear on the market with
products or services which fall short of market standards, e.g. because they are technically
inferior, too expensive, or your product information is inadequate, you will face more
drawbacks than simply making no sales and losing money. You will damage the image of your
company and even the image of Vietnamese handicrafts in the world market.
In order to plan and prepare for trade fair participations, there is a number of manuals that we
recommend you to read thoroughly:
 “Show master“ from CBI (www.cbi.nl)

 “Successful participation in Trade Fairs“ from AUMA (www.auma-fairs.com)
 “From Contacts to Contracts” (www.sippo.ch).
6.1 Selecting the Right Trade Fair
Selecting the right trade fair plays an important role for your market entry and finding the
right customers. Choose 1-2 trade fairs only to take part in, but then participate continuously,
39
in order to turn first contacts into real business and then stable partnerships. Do not expect too
much from a first participation. In general, you will need to attend 2-3 fairs in a row before
you can actually develop business.
You may find information on trade fairs in databases such as www.tsnn.com,

www.exhibitions-world.com, www.auma.de or www.fairlink.se.
You can also find trade fairs through many Export Promotion Agencies and you can discuss
with other companies who have participated in foreign trade fairs before. Every trade fair
organizer has its own website, e.g. http://www.giftshow.co.jp for Tokyo Gift Show in Japan or
http://www.ambiente-frankfurt.de for Ambiente in Frankfurt/Germany.
Important international trade fairs for Vietnamese handicraft exporters are:
 Ambiente and Tendence (in Germany) – the world’s largest trade fairs for home
accessories and gift articles
 Maison & Objet (France) – One of the leading trade fairs for international design trends
 Expohogar Regalo Otono (Spain), Macef Milano (Italy), Spring Fair Birmingham (UK)
and Herning (Denmark) with more regional focus on EU markets
 New York International Gift Fair, (USA), the most important trade fair in the US
 For Asia: Hongkong Gift fair, Hongkong Houseware Fair; Bangkok International Gift Fair
& Bangkok International Houseware Fair (Thailand), Canton Fair (China); Giftshow
Tokyo and Giftshow Fukuoka, Japan.
A list of many other useful trade fairs is enclosed in Appendix No.7.
It should be emphasized again that before deciding to attend a fair, you should thoroughly
study the type of the trade fair. There are many trade fairs in the US that are dominated by
U.S. importers and less suitable for exporters to exhibit. The exhibitors there are your
potential clients and they would not like to see you there at your exporter’s price.
6.2 Trade Fair Preparations
It is recommended that before attending the fair as an exhibitor, you should once attend the
fair as a visitor. You can talk to exhibitors and other visitors, identify ideal locations and seize
the opportunity to establish contacts with potential buyers.
The purpose of the pre-visit is to learn and to understand:
40
 What is the overall character of the show: design, quality, price level? What kinds of
products are being shown? What kinds of businesses are exhibiting?
 Product and design trends
 What kinds of booths are heavily frequented?
 How are products displayed, how are booths arranged?
 What networking services are provided by the show management (buyers contacts, sales
reps), what services are provided for exhibiting: storage, lighting, carpeting, booth
displays, exhibitor directory?
 Costs and logistics, which become an important issue once you have decided to actually
participate in the show (visit the show management office).
The following table from CBI provides some guidance on a detailed trade fair planning
schedule.
No Activity Deadline
1 Fair information and application form 12 – 8 m
2 Decision on budget 12 – 8 m
3 Decision to participate 11 – 7 m
4 Reservation of stand space 11 – 6 m
5 First staff planning meeting 10 – 6 m
6 Confirmation by fair organizer 8–5m
7 Request for stand quotations 7–5m
8 Draw-up detailed budget 7–5m
9 Book hotel accommodation 5m
10 Final selection of products 5m
11 Decide on promotional campaign 5m
12 Start preparing mailing list 5m
13 Organizer approval for special design stand 4m
14 Quotations from forwarding agent 4m
15 Catalogue entry to organizer 4m
16 Preparation of sales literature 4m
17 Order forms (from the Manual) to organizer 4m
18 Appointment of stand staff 4m
19 Book travel arrangements 4m
20 Arrange hostesses, local staff, interpreters 3m
21 Order workmen and exhibitors’ passes 3m
22 Finalize mailing list 3m
23 Press releases to organizer and trade press 3m
24 First visitors’ mailing 2m
25 Deliver exhibits to shipping agent 1m
26 Second visitor mailing 1m
27 Telemarketing short list 2w
28 Arrival of exhibits at the fair 10 d
29 Arrival of stand staff at the fair 2d
Note: m: months; w: weeks; d: days
Before attending the fair, you should have the necessary company documentation ready (order
sheets, price lists, catalog, website, leaflets, name cards, etc.) for dissemination to importers at
41
the fair. We advise that you always have a catalogue on hand because it will save time for
visitors to understand your range of products at a glance.
It is important that you invite potential buyers to visit your trade fair booth. Particularly at
large international trade fairs, it is difficult for new exhibitors to get recognized. Therefore, it
is recommended that you launch an invitation mailing to prospective buyers prior to the fair in
order to effectively inform them of your presence at the fair and motivate them to visit your
stand.
6.3 Participation Costs
The budget is an important point to be considered before you decide on participating in a fair.
If you are a first time exhibitor at a fair, budgeting will be a challenge.
The following table will give you an indication of the total expenses that were to be incurred
by a Vietnamese exhibitor with 2 participants for a stand of 12 square meters at the 2005
Tendence fair:
Description Unit Quan- Unit price Total Amount
No tity EUR (EUR)

1 Visa fee person 2 48 96.00
2 Cost of products/exhibits lot 1 1,500 1,500.00
3 Stand rental m2 12 160 1,920.00
4 Stand construction m2 12 100 1,200.00
5 Catalogue entry Comp. 1 170 170,00
6 Marketing documents lot 1 500 500.00
7 Sea freight lot 1 300 300.00
7 Air-ticket person 2 750 1,500.00
8 Hotel nights 8 150 1,200.00
9 Food days 8 700.00
10 Travelling in Germany days 8 500.00
11 Communication days 8 200.00
Total 9,786.00
Note:
 The cost of sea freight rate is very low in the above example, since the exhibitors were
able to get a very good rate for consolidated container shipment door-to-door with other
exhibitors for Frankfurt. In general, transport costs are higher (particularly regarding
delivery of the goods to the trade fair booth)
 Make sure that you book your hotel early, as hotels can be very expensive at trade fair
times.
 Space and stand rental can be offered by not only the trade fair organizers but also its
42
representatives or many other local trade fair companies.

 Carefully check all components of the total costs including delivery of your exhibits to
your stand with the organizer or his representative. Many Vietnamese exhibitors were
confronted with very high costs for the delivery of exhibits from the Exhibition Center
gate to their stand (especially for trade fairs in US). In many cases, you may have to pay
even for cleaning your stand after the fair.
 You can agree with other Vietnamese exhibitors to share a large stand, which improves
your negotiation power towards the trade fair organizers.
 Before or at the early stages of the fair, think of possibilities to sell and leave your exhibits
with buyers (mind though that the trade fair organizers will not always allow you to do
so).
An appropriate booth decoration requires particular attention:
 Get concrete measurements and prepare a stand sketch in order to develop an attractive
stand design prior to the trade fair. Think about how best to present your products (tables,
shelves or else).
 Select product samples and present a few collections of your best products. Do not try to
present all your products, instead arrange the exhibits by topic/collection using specific
colors and shapes. Avoid creating a warehouse character on your stand.
 Display some larger products in a prominent position to attract customers’ attention.
Visitors pass by quickly, see hundreds of booths in a hall. Help your customers’ eye to
focus on a few particular outstanding products.
6.4 At the Trade Fair
Not only does your success at a trade fair depend on

the quality of your presentation and preparatory
efforts before the fair, but also, and to a
considerably extent, on the performance of your
staff during the fair. Make sure that senior sales
management staff is available at the stand to answer
questions and to establish personal contacts.
We also recommend that you:
 Train staff with regard to product information

and communication: Sales staff should be
qualified to be able to answer all questions
43
asked by customers (understand production processes, what adaptations and alterations

would be possible, price...) and should be open and friendly.
 Staff should pro-actively approach all customers who show a first interest. They should
ask customers about the nature of their interest, the type of their company, and their
function or area of responsibility within the firm (see: visitor contact form). Obtaining this
information from stand visitors will help the exhibitor later on to decide what direction the
discussion should take.
 Be honest and realistic. Never give an untrue answer; do not promise what you cannot
keep afterwards.
 Carefully take note of the information given by the visitors on the visitor contact form,
which you should always have at hand.
 There should not be too many exhibitors on a stand (their number depends on the
available space but 2 exhibitors seem to be best for 18-30 m²).
 Wear your exhibitor’s badge. “Ao dai” can be a good selection for female Vietnamese
exhibitors.
 Speak English or another language slowly and clearly. For many European persons, the
Asian accent is difficult to understand. In order to make yourself understood properly by
foreign visitors, it would be advisable for you to hire Vietnamese students who study
overseas to assist you as translators during the fair.
 Always keep the stand neat and tidy.
6.5 After the Trade Fair
The contacts you make during the trade fair are just the beginning of your efforts to build up
business relationships. In many cases a prospective customer has to be approached several
times before a business deal is concluded. A well-planned follow-up of the contacts made at
the fair will help you achieve your desired trade fair results. Right from the beginning you
should decide on how, when (how soon) and by whom (sales, sales force, representatives)
your initial trade fair contacts can be consolidated.
When you follow up with actual or potential customers who visited your booth, you should:
 Send a note of thanks for their visit

 Send all documents or quotations which were promised
 Provide further information on the points in the customer record form
 Arrange further appointments
 Designate members of staff or the sales force to consolidate the initial contacts
Participating in a foreign trade fair is rather expensive; therefore exhibitors should optimize
44
their time by visiting some stores or importers immediately after the fair. Store visits are
useful to see what the current consumer trends are, what products are selling, and what trends
are declining. Visiting stores or importers will also be helpful for you to identify whether the
firm is a retail store or chain you can profitably sell your products to, whether they would be
interested in buying what you make and consequently whether it would be worth your time to
ask for an appointment with the firm’s purchasing department to show your products. Note
the differences between stores, and what each store claims as its competitive advantage and
how it tries to attract consumers. Look for the “feel” of the store, its personality, which
highlights its competitive advantage: the latest designs, “snob appeal”, low price, top quality
customer service; the store floor plan and product layout; how are products displayed; what is
the price level etc.
7 Export Documentation and Shipping
In order to ship your goods, you need to prepare your Export Documents for Customs
Declaration. According to the latest regulation from the Ministry of Finance, Vietnam, the
documents for exportation of handicrafts include:
 Customs Declaration Form: 2 originals

 Packing List: 1 original and 1 copy.
Depending on the contract with your buyers, you may be also requested to present a
Commercial Invoice, Phytosanitary Certificate and Inspection Certificate
The Customs Declaration Form includes a listing of the products shipped according to the
Harmonized System or HS codes. It includes complete particulars of the shipment. You can
buy it easily at the Customs Office in your area.
The Packing List and Commercial Invoice are to be prepared by the exporter. The
Phytosanitary Certificate will be issued by the Department of Plant Protection of the Ministry
of Agriculture and Rural Development.
When determining the best Way of International Shipment, you should check out with
forwarders and shipping companies in Vietnam (Appendix No.8) to find the best ones in terms
of the cost of shipment, delivery schedule, and preferences of the foreign buyer.
You should reserve space on the carrier well before the actual shipment date (this reservation
is called the booking contract). For inland transportation (from you factory to the port of
45
loading), you can ask your selected carrier/forwarder for help. They can arrange this inland
service or you can contract some trucking companies who are used to dealing with export
shipments.
Export shipments usually need to be insured against loss, damage, and delay in transit by
cargo insurance. For international shipments, the carrier's liability is frequently limited by
international agreements and the coverage is substantially different from domestic coverage.
Arrangements for cargo insurance may be made by either the buyer or the seller, depending
on the terms of sale. You are advised to consult with international insurance carriers or freight
forwarders for more information.
The Shipping Documents will be prepared by you and sent to your bank or your customer for
settlement depending on the terms of payment. The following shipping documents are
commonly used:
 Bill of lading: Bills of lading are contracts between the owner of the goods and the
carrier. The customer usually needs the original or a copy as proof of ownership to take
possession of the goods. You should get a Clean Bill of Lading. In case of urgent delivery,
where you cannot send your original shipping document to your foreign customer on time,
you can request your shipping company to issue a Surrendered Bill of Lading for releasing
the cargo.
 Commercial invoice: A commercial invoice should include basic information about the
transaction, including a description of the goods, the address of the shipper and seller, and
the delivery and payment terms.
 Packing list: An export packing list itemizes the material in each individual package and
indicates the type of package: box, crate, drum, carton, and so on. It shows the individual
net, legal, tare, and gross weights and measurements for each package.
 Certificate of origin (C/O): Certain nations require a signed statement as to the origin of
the export item - such certificates are obtained in Vietnam through the Vietnam Chamber
of Commerce and Industry (VCCI). However, in many cases, the buyer request a
Certificate of Origin issued by your company. By showing the C/O to the Customs upon
arrival in the importing country, your customer may be subject to tax exemption or tax
reduction depending on the Agreements between Vietnam and importing countries.
In some cases, you may need Inspection, Insurance, Fumigation and Phytosanitary
Certificates:
 Inspection certification: Some purchasers and countries may require a certificate of

inspection attesting to the specifications of the goods shipped, usually performed by a
46
third party. Inspection certificates are often obtained from independent testing
organizations.
 Insurance certificate: If the seller provides insurance, the insurance certificate states the
type and amount of coverage.
 Phytosanitary Certificate/Fumigation Certificate: The document certifies that the
product is free from quarantine pests and significantly free from injurious pests. In
addition, treatments such as fumigation or cold storage, required by the importing country,
or those treatments which are necessary to meet pest free standards, are supervised by the
certifying official and document on the certificate.
8 Dealing with Claims
In some cases, you and your customers may fail to meet specific contract obligations leading
to losses for one of the parties and may not be able to settle that problem in a friendly way. In
such cases, arbitration should be considered.
Arbitration is an out-of-court method to settle commercial disputes through a binding

decision. It is a private, highly flexible method of dispute resolution, where the parties select
arbitrators, the place where the hearings will be held, the rules, language and type of
procedure. All this has a price, which is paid by the parties. In return they receive a decision
that can be enforced practically anywhere in the world.
The arbitration is different from a court case in four aspects: First, the arbitration agreement.
Courts are generally open to all parties that have a dispute. Arbitration is only open to parties
that have agreed (usually in a contract) to arbitrate. Second, the selection of arbitrators.
Parties in court cases do not select their own judges, but in arbitration, they select their own
arbitrators. Third, neutrality and flexibility. Imagine a dispute between a Vietnamese exporter
and an importer from Japan. A court dispute will probably be resolved before the courts of
Vietnam if the Japanese company is the claimant, and before the courts of Japan, if the
Vietnamese exporter initiates the proceedings. In arbitration, the parties can select, say, an
Egyptian or a Swiss arbitrator, and the arbitration can take place somewhere in between,
Italy, for example. Last, arbitration is international enforcement. The Vietnamese Exporter
will not easily be able to enforce a Vietnamese decision in Japan, and vice versa for the
Japanese party. In contrast, an arbitration award can be recognized by judges in most
countries of the world.
It should be noted that, for clause of claim, the applicable law should be always mentioned
clearly. For example, in an export contract, it is stipulated as follows: “If any dispute arises
47
under a contract that is not settled amicably between the two sides, the matter will be settled
by Vietnam International Arbitration Center in accordance with the International
Commercial Arbitration Rules whose awards shall be final and biding for both sides. The fee
for Arbitration and charges shall be born by the losing side unless otherwise agreed“
In Vietnam, the Vietnam International Arbitration Centre shall be responsible for the hearing
of the disputes arising from international economic relations, such as foreign trade contracts
and those concerning investment, tourism, international transport and insurance, transfer of
technology, services, international credits and payments, etc. For more information, assess its
website http://www.viac.org.vn/.
9 Appendices
Appendix No.1 H.S. Codes of selected Handicraft Articles
Appendix No.2 Major International Markets for Vietnamese Handicrafts
Appendix No.3 Trade Associations
Appendix No.4 National Statistic Offices in the EU, Japan and USA
Appendix No.5 Trade Journals and Trade Press
Appendix No.6 Chambers of Commerce & Trade Agencies
Appendix No.7 Trade Fairs
Appendix No.8 Major Freight Forwarders and Shipping Companies in

Vietnam
Appendix No. 9 Large Stores in the US, EU and Japan
Appendix No.10 Cultural Factors
Appendix No.11 Information Sources about Market Entry Requirements
Appendix No.12 List of Supporting Policies for Handicraft Exporters
48
Appendix No.13 References
Appendix No.1
H.S. Codes of selected Handicraft Articles
No. Category H.S. Codes Description

1 Bamboo, rattan, 4601.20 Mats, matting and screens of vegetable plaiting materials.
rush and leaf Basket ware, wickerwork and other articles made directly to shape from
plaiting materials or made up from goods of heading No 46.01; articles of
loofah
4602.10 Of vegetable material
4602.90 Made up from other plaited materials
6504.00 Hats and other headgear, plaited or made by assembling strips of any
material whether or not lined or trimmed.
9401.50 Seats of cane, osier, bamboo, or similar materials
9403.80 Furniture of other materials (including bamboo)
2 Pottery 6912.00 Ceramic tableware, kitchenware, other household articles and toilet
articles (other than porcelain or china).
6913.90 Statuettes and other ornamental ceramic articles (other than porcelain or
china).
6914.90 Other articles of ceramics
3 Wood 4414.00 Picture frame, photo frame, mirror frame and other similar ones
4419.00 Tableware and kitchenware, of wood.
Wood marquetry and inlaid wood; caskets and cases for jewellery or
cutlery, and similar articles, of wood; statuettes and other ornaments, of
wood, wooden articles of furniture not falling within the division 82:
4420.10 Statuettes and other ornaments of wood
4420.90 Wood marquetry and inlaid wood; caskets and cases for jewellery etc
4421.10 Clothes hangers of wood
4421.90 Other wooden products: beads, accessories for curtain, toothpicks...
9401.69 Seats with wooden frames
9403.60 Furniture, wooden, n.e.s.
49
4 Embroidery 580430 Lace, hand-made, in the piece, in strips or in motifs.
580500 Hand-woven tapestries, of the type Gobelins, Flanders, Aubusson,
Beauvais and the like, and needle-worked tapestries (e.g. petit point,
cross stitch), whether or not made up.
581010 Embroidery in the piece, in strips or in motifs: Without visible ground
581091 Other embroidery: Of cotton
581099 Other embroidery: Of other textile materials
50
5 Textile 4202.22 Handbags with outer surface of sheet of plastics or of textile materials
4202.32 Articles carried in pocket or handbag with outer surface sheet of plastic
or other textile
Carpets and other textile floor coverings, knotted, whether or not made
up:
5701.10 Of wool or fine animal hair
5701.90 Of other textile materials
Carpets and other textile floor coverings, woven, not tufted or flocked,
whether or not made up:
5702.10 "Kelem", "Schumacks", "Karamanie" and similar hand-woven rugs.
5702.20 Floor coverings of coconut fibers (coir)
5702.31 Carpets of wool or fine animal hair, of woven pile construction, not made
up, n.e.s
Other, of pile construction, made up:
Other, not of pile construction, made up:
5811.00 Quilted textile products in the piece, composed of one or more layers of
textile materials assembled with padding by stitching or otherwise, other

than embroidery of No. 58.10
Handkerchiefs
6213.10 Of silk or silk waste
6213.20 Of cotton
Shawls, scarves, mufflers, mantillas, veils and the like
Ties, bow ties and cravats
Bed linen, table linen, toilet linen and kitchen linen
51
6 Metal 7326.11 Articles of iron or steel, forged or stamped, but not further worked, n.e.s.
8306.10 Bells, gongs and the like, non-electric, and parts thereof, of base metal
8306.21 Statuettes and other ornaments plated with precious metal
8306.29 Other statuettes and other ornaments
8306.30 Photograph, picture or similar frames and mirrors of base metal
9401.79 Seats with metal frames, n.e.s., other than those of heading No 94.02
9403.20 Furniture, metal
9606.22 Button of base metal, not covered with textile material
7 Handmade 4802.10 Hand-made paper and paper board
paper
8 Various animal, Worked monumental and building stone:
mineral 6802.91 Marble, travertine and alabaster and articles thereof, molded, turned,
materials polished, decorated, carved or otherwise worked.
(Stone, glass, 6802.92 Calcareous stones
bone, horn,
6802.93 Granite
shells, etc., or
6802.99 Other
combination)
Glass beads, imitation pearls, imitation precious or semi-precious stones
and similar glass small wares, and articles thereof (other than imitation
jewellery); glass eyes (other than prosthetic articles); ornaments and
other fancy articles of lamp-worked glass (other than imitation
jewellery); glass micro spheres not exceeding 1 mm in diameter:
7018.10 Glass beads, imitation pearls, imitation precious or semi-precious stones
and similar glass small wares
7018.90 Other
Worked ivory, bone, tortoise-shell, horn, antlers, coral, mother-of-pearl
and other animal carving material, and articles of these materials
(including articles obtained by moulding):
9601.10 Worked ivory and articles of ivory
9601.90 Other
9606.29 Buttons, n.e.s.
9614.20 Smoking pipes and pipe bowls
9615.19 Combs, hair-slides and the like of materials other than hard rubber or
plastics
9615.90 Hairpins, curling pins, hair-curlers and the like, n.e.s.
52
9 Extra 9307.00 Side-arms (e.g. swords, cutlasses and bayonets) and parts thereof and
Categories scabbards and sheaths thereof.
3406.00 Candles, tapers and the like
Festive, carnival or other entertainment articles (including conjuring
tricks and novelty jokes)
9505.10 Articles for Christmas festivities
9505.90 Other
Artificial flowers, foliage, fruit and parts thereof; articles made of
artificial flowers, foliage or fruit:
6702.90 Of material other than plastics
Jewellery and gold/silversmith wares
Articles of jewellery and parts thereof, of precious metal or of metal clad
with precious metal:
7113.11 Of silver whether or not plated or clad with other precious metal
7113.19 Of other precious metal whether or not plated or clad with precious metal
7113.20 Of base metal clad with precious metal
Articles of goldsmiths' or silversmiths' wares and parts thereof, of
precious metal or of metal clad with precious metal:
7114.11 Of silver, whether or not plated or clad with other precious metal
7114.19 Of other precious metal, whether or not plated of clad with precious
metal
7114.20 Of base metal clad with precious metal
7115.90 Articles of precious metal or of metal clad with precious metal, n.e.s.
Articles of natural or cultured pearls, precious or semi-precious stones
(natural, synthetic or reconstructed):
7116.10 Of natural or cultured pearls
7116.20 Of precious or semi-precious stones (natural, synthetic or reconstructed)
Imitation jewellery:
7117.11 Cuff links and stud of base metal whether or not plated with precious
metal
7117.19 Other imitation jewellery of base metal whether or not plated with
precious metal
7117.90 Other imitation jewellery
Musical instruments
9206.00 Percussion musical instruments (e.g. drums, xylophones, cymbals,

53
10 Works of Art 9706.00 Antiques of an age exceeding one hundred years
9704.00 Postage or revenue stamps, stamp-postmarks, first-day covers, postal
stationary (stamped paper), and the like, used, or if unused not of current
or new issue in the country to which they are destined
9705.00 Collections and collectors’ pieces of zoological, botanical, mineralogical,
botanical, historical, archaeological, palaentological, ethnographic or
numismatic interest
Painting and Prints
Paintings, drawings and pastels, executed entirely by hand, other than
hand-painted or hand-decorated manufactured articles; collages and
similar decorative plaques:
9701.10 Paintings, drawings and pastels
9701.90 Other
9702.00 Original engravings, prints and lithographs
Photography
Other printed matter, including printed pictures and photographs:
4911.91 Pictures, designs and photographs
Sculpture
9703.00 Original sculptures and statuary, in any material.
54
Appendix No.2
Major International Markets for Vietnamese Handicrafts
Total exports of Vietnamese handicrafts articles to major international markets

(in 1,000 US$)
No Country 1999 2000 2001 2002 2003 Total
(5 years)
1 Japan 109,355 122,850 137,837 133,118 150,945 654,106
2 France 43,089 59,703 71,483 79,773 96,943 350,990
3 Germany 38,081 58,791 67,385 67,512 95,698 327,466
4 United Kingdom 35,586 49,502 62,518 73,339 83,021 303,966
5 Taiwan 57,470 53,829 65,309 48,998 42,945 268,551
6 United States 6,507 14,870 24,293 50,444 124,252 220,366
7 Korea, Republic of 18,535 23,589 25,349 29,999 33,182 130,653
8 Netherlands 20,316 23,493 22,955 27,238 39,989 133,991
9 Italy 11,695 13,265 16,371 22,789 36,735 100,856
10 Australia 8,018 9,793 13,706 21,965 34,812 88,295
Export markets for wooden handicrafts

(in 1,000 US$)
No. Country Year Total Change

1999 2000 2001 2002 2003 (5 years) (%)
Total 152,152 157,527 213,703 209,711 384,140 1,117,233 152%
1 Japan 48,279 40,143 50,095 47,341 62,102 247,960 29%
2 Taiwan 28,304 26,350 35,565 26,617 21,547 138,383 -24%
3 United States 3,048 8,821 14,891 23,091 69,258 119,109 2172%
4 United Kingdom 12,405 14,370 17,594 23,489 41,631 109,489 236%
5 France 5,650 8,233 13,809 13,425 30,753 71,870 444%
6 Korea, Republic of 8,747 10,325 11,583 15,898 17,066 63,619 95%
7 Germany 4,651 6,261 6,384 5,054 21,448 43,798 361%
8 Netherlands 3,747 4,635 6,190 4,831 15,354 34,757 310%
9 Australia 2,689 3,566 4,829 7,821 14,169 33,074 427%
10 Spain 1,405 3,551 3,883 3,213 17,504 29,556 1146%
55
56
Export markets for handicrafts made of bamboo, rattan, sea-grass, leafs...

(in 1,000 US$)
No Country Year Total Change

1999 2000 2001 2002 2003 (5 years) (%)
Total 62,499 78,730 95,878 113,379 142,673 493,159 128%

1 Japan 9,337 13,159 17,568 24,078 23,952 88,094 157%
2 Taiwan 14,443 12,720 13,377 10,631 10,462 61,633 -28%
3 Germany 2,881 4,488 5,129 7,890 13,241 33,629 360%
4 France 3,552 5,166 6,151 6,603 8,105 29,577 128%
5 Korea, Republic of 4,427 5,906 5,691 4,252 4,380 24,656 -1%
6 Spain 2,721 3,625 4,813 5,081 6,074 22,314 123%
7 United States 572 1,686 2,596 5,014 10,366 20,234 1712%
8 United Kingdom 987 2,736 3,228 4,372 7,449 18,772 655%
9 Italy 1,898 1,917 2,988 3,944 5,023 15,770 165%
10 Netherlands 1,791 1,415 2,058 3,390 5,536 14,190 209%
11 Belgium 817 2,375 3,087 3,047 4,440 13,766 443%
12 Singapore 2,016 2,584 2,086 2,693 2,655 12,034 32%
13 Australia 391 637 962 1,959 2,843 6,792 627%
14 China 1,161 1,030 611 1,509 1,312 5,623 13%
15 Canada 145 462 841 2,177 1,810 5,435 1148%
16 Others 15,360 18,824 24,692 26,738 35,025 120,639 128%
Export markets for ceramics

(in 1,000 US$)

1999 2000 2001 2002 2003
5 years (%)
Total 67,414 108,393 116,715 120,002 132,829 545,353 97%
1 Germany 9,836 20,631 24,035 19,752 25,943 100,197 164%
2 United Kingdom 5,605 12,667 14,112 12,186 13,850 58,420 147%
3 France 6,330 10,030 11,129 12,172 12,228 51,889 93%
4 Netherlands 7,345 13,708 10,465 10,391 9,068 50,977 23%
57
5 United States 2,246 3,744 5,488 10,318 14,796 36,592 559%

6 Japan 3,436 5,255 5,764 8,526 9,312 32,293 171%
7 Australia 4,019 3,722 4,569 6,940 10,141 29,391 152%
8 Korea, Republic 3,660 5,909 5,729 3,812 2,169 21,279 -41%
of
9 Belgium 2,414 4,081 4,241 3,149 3,329 17,214 38%
10 Singapore 2,266 2,453 3,670 4,104 1,259 13,752 -44%
11 Canada 1,192 2,497 2,835 2,833 3,605 12,962 202%
12 Italy 1,293 1,817 2,039 2,203 2,446 9,798 89%
13 Taiwan 2,121 2,108 1,968 1,648 1,385 9,230 -35%
14 Spain 413 738 884 1,782 2,483 6,300 501%
15 China 15 - 40 53 112 220 647%
16 Others 15,223 19,033 19,749 20,132 20,701 94,838 36%
Export markets for embroidery and lace

(in 1,000 US$)

1999 2000 2001 2002 2003 (5 years) (%)
Total 1,066 69 824 2,765 974 5,698 -9%

1 Korea, Republic of 137 - 23 821 422 1,403 208%
2 United Kingdom 0 679 7 686
3 Italy 251 - 254 76 38 619 -85%
4 Japan 75 - 68 127 123 393 64%
5 France 38 - 74 60 142 314 274%
6 Spain 50 51 73 174
7 China 33 39 - 72
8 Taiwan 27 - 6 28 4 65 -85%
9 Singapore 2 53 55
10 United States 5 7 12
11 Germany 3 8 - 11
12 Australia 1 2 5 8
13 Netherlands 5 - 5
58
14 Belgium 0
15 Canada 0
16 Other 535 69 315 863 101 1,883 -81%
59
Export markets for textile products

(in 1,000 US$)

1999 2000 2001 2002 2003 (5 years) (%)
Total 113,460 126,766 141,021 168,970 162,862 713,079 44%

1 Japan 32,601 53,536 52,594 38,291 37,550 214,572 15%
2 Germany 13,170 9,860 16,549 25,851 24,392 89,822 85%
3 United Kingdom 8,970 13,238 13,876 22,366 12,770 71,220 42%
4 France 11,929 10,659 11,000 13,514 12,302 59,404 3%
5 Taiwan 10,255 11,416 12,218 8,381 6,958 49,228 -32%
6 Italy 6,435 3,439 5,025 8,952 15,090 38,941 134%
7 United States 47 - 414 7,921 19,606 27,988 41615%
8 Netherlands 6,347 2,999 3,580 7,499 6,844 27,269 8%
9 Belgium 3,942 2,801 4,148 4,360 3,511 18,762 -11%
10 Korea, Republic of 964 803 1,497 2,971 3,427 9,662 255%
11 Spain 1,648 1,292 1,956 2,362 2,250 9,508 37%
12 Canada 2,083 1,229 979 1,888 1,980 8,159 -5%
13 Australia 475 489 725 696 939 3,324 98%
14 Singapore 1,097 - 314 284 574 2,269 -48%
15 China 66 - 25 81 70 242 6%
16 Other 13,431 15,005 16,122 23,553 14,598 82,709 9%
Export markets for metal arts

(in 1,000 US$)

1999 2000 2001 2002 2003 (5 years) (%)
Total 2,723 1,020 4,850 8,836 19,029 36,458 599%

1 France 27 - 843 1,171 4,565 6,606 16807%
2 United States 30 - 105 1,349 3,544 5,028 11713%
3 United Kingdom 796 606 1,007 843 670 3,922 -16%
4 China 817 - 742 1,118 1,022 3,699 25%
60
5 Netherlands 24 - 195 625 2,281 3,125 9404%

6 Belgium 4 - 626 488 1,890 3,008 47150%
7 Taiwan 856 240 405 407 503 2,411 -41%
8 Germany - 174 335 391 1,341 2,241
9 Japan 5 - 53 555 116 729 2220%
10 Italy 8 - 136 232 339 715 4138%
11 Spain 50 281 331
12 Australia 112 - 90 36 23 261 -79%
13 Singapore 3 - 82 97 69 251 2200%
14 Korea, Republic of 9 48 140 197
15 Canada 16 52 113 181
16 Others 41 - 206 1,375 2,133 3,755 5102%
Export markets for stone arts, horn and other products

(in 1,000 US$)
No. Countries Year Total Change

1999 2000 2001 2002 2003 (5 years) (%)
Total 3,901 1,140 2,378 5,893 9,453 22,765 142%

1 Japan 1,565 451 1,110 1,480 2,604 7,210 66%
2 Italy 28 340 2,196 2,113 4,677 7446%
3 Taiwan 570 282 247 523 1,053 2,675 85%
4 Korea, Republic of 314 190 109 303 883 1,799 181%
5 Belgium 28 46 304 234 612 736%
6 Australia 10 - 3 17 474 504 4640%
7 United States 34 27 159 242 462 612%
8 Germany 27 - 16 34 289 366 970%
9 Singapore 105 33 72 110 320 5%
10 United Kingdom 9 - 11 57 148 225 1544%
11 Netherlands 46 16 62 98 222 113%
12 France 74 2 22 71 169 -4%
13 Canada 13 9 6 18 46 38%
14 China 13 15 8 36
61
15 Spain 17 17 34
16 Others 1,078 217 396 625 1,090 3,406 1%
62
Appendix No.3
Trade Associations
JAPAN IDAFIJ (Furniture Industry) http://idafij.com/IDAFIJ/index.html
JHI (Housewares Importers) http://www.jhi.co.jp/english/english.htm

Japan Jewelry Association http://www.jja.ne.jp/english/index.htm
Japan DIY Industry Association http://www.diy.or.jp/english/index.html
Association for the Promotion of Traditional Craft Industries.
http://www.kougei.or.jp/english/
GERMANY National Association of Gifts Articles and Home Accessories: www.bkg.org
Association of German Ceramic Manufacturers: www.keramverband.de

National association of Candle Makers: www.kerzenverband.de
UNITED KINGDOM Giftware Association: www.ga-uk.org
Crafts Council England: www.craftscouncil.org.uk

FRANCE Confederation of Ceramic Industries of France: ceramique@wanadoo.fr
French Federation of Jewelry, Silverwares, Diamonds, Gems & Pearls: www.bjo-

france.com
Business Gifts Professional Union: www.syprocaf.fr
National Wood Federation: www.fnbois.com
ITALY National Confederation for the Craft Sector and Small and Medium Enterprises:
www.cna.itAssociation of candle makers: www.assocandele.it
Association of Glass & Ceramic Dealers: ww.assoceramvetro.it

THE Vereniging GEBRA: www.gebra.nl
NETHERLANDS
Stichting Max Havelaar: www.maxhavelaar.nl
Fair Trade Organisation: www.fairtrade.nl
UNITED STATES OF National Craft Association: www.craftassoc.com
AMERICA
American Craft Council: www.craftcouncil.org
Crafts Center at CHF International: www.craftscenter.org
CANADA Ontario Crafts Council: www.craft.on.ca
Canadian Gift and Tableware Association: www.cgta.org

INDIA Export Promotion Council For Handicraft: www.epch.com
AUSTRALIA Craft Australia: www.craftaus.com.au
ASEAN ASEAN Handicraft Promotion and Development Association: www.ahpada.com
TAIWAN Taiwan Gift and Houseware Exporters' Association (TGHEA): www.gift.com.tw
THAILAND Northern Handicrafts Manufacturers and Exporters' Association: www.nohmex.com
VIETNAM Vietnam Handicraft Research and Promotion Center: www.hrpc.com.vn
63
Appendix No.4
National Statistic Offices in the EU, Japan and USA
AUSTRIA Osterreichisches Statistisches Zentralamt: www.statistik.at

BELGIUM Institut National de Statistique: www.statbel.fgov.be
DENMARK Danmarks Statistik: www.dst.dk
FINLAND Tilastokeskus - Statistics Finland: www.stat.fi
FRANCE Institut National de la Statistique et des Etudes Economique: www.insee.fr
GERMANY Statistisches Bundesamt: www-ec.statistik-bund.de
GREECE NSSG - National Statistical Service of Greece: www.statistics.gr
IRELAND Central Statistics Office: www.cso.ie
ITALY ISTAT - Instituto Nazionale di Statistica: www.istat.it
JAPAN Japan Statistics Bureau & Statistics Center www.stat.go.jp/english/index.htm
NETHERLANDS CBS - Centraal Bureau voor de Statistiek: www.statline.cbs.nl
NORWAY Statistisk Sentralbyra: www.ssb.no
PORTUGAL INE - Instituto National de Estatistica: www.ine.pt
SPAIN INE - Instituto National de Estadistica: www.ine.es
SWEDEN Statistiska Centralbyran: www.scb.se
SWITZERLAND Bundesamt fur Statistik: www.statistik.admin.ch
UNITED KINGDOM ONS - Office for National Statistics: www.statistics.gov.uk
USA STAT-USA, U.S. Department of Commerce: www.stat-usa.gov
64
Appendix No.5
Trade Journals and Trade Press
US market
http://www.homeaccentstoday.com/ The information source for the home accent industry
http://www.accessorymerchandising.net/ The retailer’s choice for fashion, trends and product news
(for accessory)
http://www.furniturestyle.com/ The retailer’s choice for fashion, trends and product news
(for furniture)
http://www.hfnmag.com/ The news weekly of home products retailing (for all kinds
of home products)
http://www.hometextilestoday.com/ The online fashion and business news source for the home
textiles industry
http://www.furnituretoday.com/ The weekly business newspaper of the furniture industry
http://ldbinteriortextiles.com/topnav_test.htm News and trends in the industry
EU market
GERMANY Schöner Wohnen www.livingathome.de
Living and interior decoration

Stil & Markt ww.meisenbach.de
Gifts, table- and houseware, lifestyle

Das Haus www.haus.de
Interior decoration, garden

Wohnidee - Wohnen und Leben www.wohnidee.de
Interior decoration, gifts

Elle Decoration www.elle.de
Fashion, culture
UNITED KINGDOM Tableware International www.dmgworldmedia.com
Houseware, tableware, gifts

English Homes www.international-homes.com
Home and lifestyle

The English home www.theenglishhome.co.uk
Interior design and decoration

FRANCE Art & Decoration www.art-decoration.fr
Decoration, hobby and art

Cuisines & Bains www.cuisinebain.com
Kitchen and bathing

Elle Decoration France www.elle.fr
Fashion, beauty, interior decoration,

home
65
ITALY Elle decor www.elle.it
Fashion, beauty, interior decoration,

home
Spazio Casa www.spazio-casa.it
Style, interior decoration, home

THE NETHERLANDS Eigen huis & interieur www.vtwonen.nl
Living, home decoration

Ariadne at home www.ariadneathome.nl/
Living, home decoration

Home & garden www.homeandgarden.nl
Garden and home decoration

SPAIN Casa diez www.casadiez.wanadoo.es/
Home decoration
Asian market
AUSTRALIA Australian Country Craft & www.expresspublications.com.au
Decorating
Pottery in Australia www.ozemail.com.au/~potinaus
Australian Giftguide Magazine www.intermedia.com.au
TAIWAN House of Living Art www.hola.com.tw/
You can refer to many other useful magazines like: Cosmopolitan, Home Décor, Australian
Home Beautiful, Luxury Home Design, House & Garden, Ethan Allen, Mark & Spencer
Home, Vogue Living, Wallpaper, Architect, Sunset Magazine, Country Home, Furniture Style,
Residential Lighting, East Bay Home & Design...
Other websites with information on market trends:
Reference for furniture and accessories designs

Modern designs, a wide range of products, European www.habitat.net/uk/main_uk.htm
taste
www.gloster.com/home.php
www.chaplins.co.uk
www.homedepot.com
www.global-furniture.uk.com
Suppliers and importers of home furniture and www.ibolili.com
accessories
www.viamotif.com
66
www.furniture-cni.com
www.palecek.com
Japanese style in home decoration www.tatamiroom.com
Useful magazines and materials for understanding lifestyle in America

Name Information
ELLE DECORATION Life style decoration magazine which has been sold in 18 countries,
understanding market trend in the world
MARTHA STEWART Living Home living magazine edited by Martha Stewart who is a charismatic
designer, simple and functional sense
REAL SIMPLE Life style magazine which has been targeted "Simple design", supported by
ordinal American people
HOME Life style magazine which can provide various useful information / idea,
useful for analyzing life style
Domino Magazine for shopping, showing inquiry address by each products, useful
for analyzing strong seller products
INSIDE OUT Home decoration magazine for people who living in city area, for
understanding of interior design trend
THE WORLD OF Interior magazine which has been targeted classical design, targeted to old
INTERIORS generation
WILLIAM-SONOMA Famous kitchenware store, available catalogue sales, useful for analyzing
general life style in USA
POTTERYBARN Famous Home interior design shop, management by William Sonoma,

useful for analyzing interior design trend
West elm Sense oriented home interior shop, supported by all generations, useful for
analyzing life style in city area
RESTORATION Famous Home interior design shop, useful for analyzing contemporary life
HARDWARE style
BO concept Europe taste Interior furniture shop, useful for analyzing life style of
younger elite people.
IKEA Home related products chain store, useful for analyzing life style of ordinal
people in USA.
The Container Store Specialty chain store selling all container products, useful for analyzing
ordinal life style in USA
Crate & Barrel Interior product store which is selling low price products, useful for
analyzing general interior products trend
Not Neutral Catalogue published by product design company in LA, can see design
trend in USA
NATUZZI Leather sofa products manufactured by Italian company, very popular in

USA
67
The land of Nod Interior catalogue for Kids, useful for analyzing general design trend
FRONTGATE Catalogue sales for garden interior products, classical design

Grandinroad Catalogue sales for garden interior products, classical design
Splash Catalogue sales for pool, garden related products
Accessory Merchandising Material which was delivered in Gift show, can get information of
exhibitors
Home fashion & FURNITURE Materials which was delivered in Gift show
TREND
Food & Mood Trendy restaurant information magazine

ELLE Readers are fashion oriented women, urban trend fashion magazine
Harper's BAZAR This magazine is showing fashion trend, designer's trend
In Style Fashion sense is not so high, but for general customers
Lucky Magazine for shopping, showing inquiry address by each products, useful
for analyzing strong seller products
Neiman Marcus Catalogue sales of high prestige department store, for fashion oriented rich
women
NORDSTROM Catalogue sales of department store which is targeted customer satisfaction
No1,
COACH Bag catalogue for working women, useful for analyzing price point of
leather products
ANTHROPOLOGIE Proposal type life style store for 20-30 years old generation, useful for
analyzing product trend for young
CHICO'S Catalogue sales chain store for Mrs generation, not so high grade but
increasing demands
TIFFANY & CO. The most famous jewellery shop in US, simple design
NIKE Sports wear company, can see trend of sport wear
BOSTON PROPER Catalogue sales for targeting Mrs generation, can see overall product trend
Brooks Brothers Traditional American fashion wear store, useful for fabric analyzing
J.CREW Casual wear chain store in USA, is supported by younger generation in
USA
WOOLRICH Casual wear catalogue sales of American country wear, not so fashionable.
PAUL FREDRICK Catalogue sales of men's ware, not so related fashion, but useful for
analyzing price point
Dickies Catalogue sales of working wear, popular in Japan as a casual wear
LAND'S END Catalogue sales of casual wear, not so fashionable but can see general life
style in USA
L.L.Bean The biggest catalogue sales of outdoor products, can see outdoor style in
USA
REI Catalogue sales of specialty outdoor products

Pataginia Specialty outdoor products store, famous for protection of natural
environment policy
Baby style Catalogue sales of baby wear and maternity wear

TEXTILE report Magazine for future article of colour trend and textile trend in 2006
68
COLLEZIONI TRENDS Trend forecast magazine in 2006

PREMIERE VISION Colour trend forecast include colour sample in 2006
69
Appendix No.6
Chambers of Commerce & Trade Agencies
INTERNATIONAL International Chamber of Commerce: www.iccwbo.org

International Trade Centre UNCTAD/ WTO: www.intracen.org
AUSTRIA Austria Federal Economic Chamber: www.wko.at
BELGIUM Belgian Chambers of Commerce: www.fedcci.be
DENMARK The Danish Import Promotion Office for products: www.commerce.dk
FINLAND The Central Chamber of Commerce of Finland: www.keskukauppakamari.fi
FRANCE Federation of French Chambers of Commerce: www.cci.fr
Coleacp: www.coleacp.org
GERMANY Federal Office of Foreign Trade Information, Germany: www.bfai.de
German Chambers of Industry and Commerce: www.diht.de

GREECE Athens Chamber of Commerce and Industry (ACCI): www.acci.gr
IRELAND Chambers of Commerce of Ireland: www.chambersireland.ie
ITALY Italian Union of Chambers of Commerce: www.unioncamere.it
ICE - National Institute for Foreign Trade: www.ice.it

JAPAN Japan External Trade Organization: www.jetro.go.jp/
NETHERLANDS CBI: www.cbi.nl
Netherlands Chamber of Commerce: www.kvk.nl

NORWAY Chamber of Commerce: www.chamber.no
PORTUGAL Portuguese Chamber of Commerce: www.port-chambers.com
SPAIN Spanish Chamber of Commerce: www.camerdata.es
SWEDEN Chamber of Commerce: www.chamber.se
SWITZERLAND SIPPO (Swiss Office for Trade Promotion): www.sippo.ch
U. KINGDOM www.britishchambers.org.uk
USA U.S. Department of Commerce: www.usatrade.gov
Vietnam’s Trade Agencies in Foreign Countries
No Country Address Contact
70
1 Argentina 11 De Septiembre 1442 Capital Tel:5411- 4783 1802

Federal Argentina
Fax:5411- 4899 1819
2 Australia 797 Bourke St. Redfern Tel:612- 93101872
Sydney, NSW 2016 Australia Fax:612- 93101929

tvuvn@ihug.com.au
3 Belgium Av. Bel Air, 29 Tel:32-2 343 62 95
1180 Bruxelles Fax:32-2 347 03 35

canh.côong@worldonline.be
4 Bulgaria Sofia 1113, Iuri Gagarin Str., Tel:359-2 963 31 82/ 971 45 97
Block 154A, Ap.3 – Bungaria Fax:359-2 963 31 73

(1) vietor@inet.bg
(2) trungthuc@mail.ru
5 Canada 153 Gilmour street, Ottawa, Ontario, Tel:1613- 2373816
K2P 0N8-Canada
Fax:1613- 2373858
vinatrade@earthlink.net
6 Cambodia 67, Samdech Pan (ex. 214 st.) Phnom Tel:85512- 852 533
Penh, Cambodia
Fax:85523- 362 682
tvcpc@camnet.com.kh
7 China 32 Guang Hua Lu Tel:8610- 65325415
Jian Guo Men Wai-Beijing Fax:8610- 65325415/65325720

Post Code : 100600 vinaemba@mailhost.cinet.com.cn
8 Cuba Cable16 # 514 E/S ta, 7mn Miramar Tel:537- 241525
– Lahabana
Fax:537- 2453333
vinacom@ceniai.inf.cu
9 Czech-Slovakia Step¸nsk¸ 4/534, 12 00 Praha 2 Tel:4202. 24942135
Fax:4202. 24942132
voquivan@volny.cz
71
10 Egypt 23, Kambez street Tel:202- 3485721
Dokki - Giza – Cairo. A.R.E Fax:202- 3485721

ndt@intouch.com
11 France 44, Avenue de Madrid 92.200 Tel:331- 46248577/46248078
Neuilly Sur Seine
Fax:331 -46241258
secovif@wanadoo.fr
12 Germany Burohaus Storkower Str. 158/109 Tel:49-30-2298198/2292374
10407 BERLIN Fax:49-30-2291812/2292374

doan.tvberlin@t-onlin.de
13 Hongkong 17/F., Golden Star Building 852- 2529 3721
20, Lockhart Road, Hongkong Fax:852- 2865 7573

Cable : VINACOR HONGKONG vinacorhk@ctimail3.com
14 Hungary 1068 Budapest VI Tel:36-1 352 7956
Benczór utca 18. Fax:36-1 343 3836

Hunggary commer@elender.hu
15 India 17, Kautilya Marg, Chanakyapuri Tel:9111-3012123
New Delhi - 110 021 Fax:9111-3017714

sqdelhi@del3.vsnl.net.in
16 Indonesia 25, JL. Teuku Umar Jakarta Tel:62- 21 3100359
Indonesia Fax:62- 21 3100359

17 Iraq AL Mansour- Tel:9641- 5439510
71/7/17 Dauodi Str., Baghdad – Iraq Fax:9641- 5411388

18 Iran 180 Lavasani str., Tehran – Iran Tel:9821- 2293530
Fax:9821- 2830876
19 Italia Via, Po, 22, 00 198 Roma Tel:390- 684 13913
Fax:390- 684 140 72

thuongvu@tin.it
20 Korea Rep. Rm 401, Byuksong Bldg. 13/3/4 Tel:822- 322 3660
72
Changchon-dong
Fax:822- 322 3770
Mapo-gu, Seoul, Korea tmanhhung@hotmail.com
21 Kuwait P.O. Box 425. Saimiya Tel:965- 5615977 Fax:965- 5645305
Kuwait tvvnkw@hotmail.com
22 Japan 50-11, Motoyoyogi-cho Tel:813-3466-3315/3436
Shibuya-ku Tokyo 151-0062 Fax:813-3466-3360

vntrade@coconet.ne.jp
23 Malaysia No 4 Pesiaran stonor Tel:603- 2414692
50450 Kuala Lumpur, Malaysia Fax:603- 2414696

thongtr@tm.net.my
24 Myanmar 15 (F), Thantaman Str., Dagon Tel/Fax:95-1-228376
Township, Yangon, Myanmar
25 Laos 76-Sisangvone Road Tel:856- 21 413410
Bane Naxay, Vientiane-Laos Fax:856- 21 413115

26 Philippines Unit 3B, LPL Center, 130 Alfaro st,, Tel:632- 813 4048
Salcedo Village, Makati City,
Philippines Fax:632- 750 0161
haoplp@surfshop.net.ph
27 Poland Ul, Polna 48 M. 21 Tel:48-22 825 81 63
00-644 Warszawa Fax:48-22 825 81 06

tvu@frico2.onet.pl
28 Romania B-dul lancu de Hunedoara nr.66 Bl. Mobil:094577710
12B, Sc. B, Et. 4, Ap.46-49 Sector 1,
Bucuresti Fax:401 -2113738
st
29 Russia No 30-1 TVERSKAYA Tel:7095- 251 22 85/250 08 48
YAMSKAYA Str, Moscow 125047
Fax:7095- 250 05 34
vietor@online.ru
30 Singapore No.10, Leedon Park Tel:65 4683747
Singapore 267887 Fax:65 4670458

vntrade@singnet.com.sg
th
31 Sweden Upplandsgatan 38 5 Floor 11328 Tel:468 - 322666
73
Stockholm Sweden
Fax:468- 321580
tvus@hotmail.com
32 Switzerland 18A, ch. Francois-Lehmann Tel:4122- 7982485
1218-Le Grand Saconnex Fax:4122- 7980724

Geneva (Suisse) bvcuong@hotmail.com
7, ch, Taverney Tel:4122- 7887023
128-Le Grand Saconnex Fax:4122- 7887024

Geneva (Suisse)
33 South Africa 479 Lukas Str., Lukasrand Pretoria Tel:27-12 343 7673
Rep. 0181, The Republic of South Africa
Fax:27-12 343 2110
vnto@worldonline.cc.za
34 Taiwan 3F., No. 65, SUNG CHIANG Road, Tel:8862- 25166626
TAIPEI, TAIWAN
Fax:8862- 2504 1761/2516 6625
35 Thailand 83/1 Wireless Road Bangkok Tel:662-6508 454
10330, Thai Lan Fax: 662- 2526 950

tvvnbkk@anet.net.th
36 Turkey Istanbul Turkey Tel:90212-2748 009
Gayrettepe Besiktas, Hattat Halim Mobile 090 5357 687 094

Sok 17.D3 Fax:90212-2747881
vuvanqui@hotmail.com
37 U.K 12-14 Victoria Road London W8 Tel:44-020 793 731 74
5RD
Fax:44- 020 793 846 25
38 Ukraine Ukraine, 01011, Kiev Tel:380-44 294 8116
Leskova Str. 5 Fax:380-44 294 8116

tradevn@dsqvn.kiev.ua
39 U.S.A 1730 M ST, Suite 501, NW. Wahing Tel:202-463-9425
ton DC. 20036
Fax:202-463-9439
vinatrade@aol.com
74
40 Uzbekistan Tashkent, 700060 Tel:371- 1339673/1338817
Nukus str., 16-7 Fax:371- 1339673

phong@naytov.com
75
Appendix No.7
Trade Fairs
A) Databases of International Trade Fairs
AUMA – Association of German trade fair organizers

www.auma.de
Comprehensive database with search-engine for trade fairs worldwide, including trade fair
calendar, detailed search filter and basic information on each trade fair. Free of charge.
Trade Show News Network

www.tsnn.com
Database with listings of trade fairs world-wide. Search filters include product group, country,
trade fair name and keyword. Free of charge.
Exhibitions-World
www.exhibitions-world.com
Database with listings of trade fairs worldwide, including trade fair news. Registration is free
of charge.
Eventsource
www.eventsource.com
Contains a database of 55,000 trade shows, events and seminars.
Expo Base
www.expobase.com
Offers a multilingual directory of 15,000 trade fairs and over 25,000 service providers
Trade Show Centre

www.tscentral.com
Covers 20,000 trade shows, 35,000 conferences and seminar and 500 vendors.
76
B) Handicraft Trade Fairs
EU market
GERMANY Ambiente (February) www.ambiente-frankfurt.de
Table art, kitchen and housewares, gourmet

shop, table decoration and
accessories, interior design, giftware,
jewelry, accessories.
Tendency (August) www.tendence-frankfurt.de
Table art, kitchen and housewares, gourmet

shop, table decoration and
accessories, interior design, giftware,
jewelry, paper ware, perfume, accessories.
Heimtextil (January) www.heimtextil-frankfurt.de
Specialised trade fair for home textiles

UNITED Spring Fair Birmingham (February) www.springfair.com
KINGDOM
General giftware, jewelry, watches, china
and glass, fashion accessories, leather,
frames and fine art.
FRANCE Maison & Objet (January and September) www.maison-objet.com
International home decoration, and textiles, www.decoplauet.com

fragrances, arts and crafts,
games, and stationery.
ITALY MACEF (September and January/February) www.macefautunno.biz
Tableware, kitchenware, glass, artificial

flowers and plants, wickerwork, candles,
gifts, home decoration, ceramics, porcelain,
pictures, frames and home textiles
THE Huishoudbeurs (March) www.huishoudbeurs.rai.nl
NETHERLANDS
Home decoration, mode and accessories,
table- and kitchenware
SPAIN Expohogar Regalo otoño (September) www.expohogar.com
International trade fair for gifts, house and

home: gifts, arts, crafts,
crystal, glass, china, pottery, tableware,
furnishings, lighting and household
appliances.
77
DENMARK Formland www.formland.dk
International home accessories and gift

articles trade fair with focus on the
Scandinavian market
US market
New York New York international gift fair www.nyigf.com
General giftware, tabletop and decorative,

home and personal accessories, traditional
and contemporary crafts
North Carolina International home furnishing center, www.ihfc.com
USA
The largest wholesale home furnishings

show in the world. Traditional to
contemporary furniture, international
furnishings, home and decorative
accessories, upholstery, lighting, wall
decor, bedding, rugs, and home textiles
Chicago International home and Housewares www.housewares.org/ihshow/about_
show chicago.asp
Atlanta Atlanta International Gift & Home www.americansmart.com
Funishing
Garden and home decorative accessories.

Other products include giftware,
jewellery and fashion accessories,
collectibles and seasonal.
Atlanta International Area Rug www.americasmart.com
Market
The largest area rug show in the US.

International and US manufactured and
hand-women rugs, in all price points and
categories.
Mississippi Holidome and Roadway Show www.tucsonshow.com
Wholesale jewellery, gemtones, silver and

gold jewellery
California The California Gift Show www.carliforniagiftshow.com
Contemporary and traditional giftware,

accessories, tabletop, home accents.
78
Strong in multicultural products and

handicrafts of all categories
San Francisco San Francisco International Gift Fair www.sfig.com
General giftware, tabletop, decorative,

home decor, jewellery and personal
accessories, ethnic, traditional, and
contemporary crafts, contemporary
design, garden, and casual furniture.
Dallas Dallas International Lighting and
Accessories market
Only trade show of lighting and lighting

accessories category in the US Lamps,
chandeliers, wall, table, contemporary,
kitchen and bath, showroom and
landscape lighting
Asian market
Hong kong Hongkong gift fair www.hkgiftspremiumfair.com
Hongkong Housewares fair www.hkhousewarefair.com
Thailand Bangkok International Gift Fair & www.thaitradefair.com/fairin/big06
Bangkok International Housewares Fair
India Indian Handicrafts & Gifts Fair India Expo Centre, Noida, Uttar
Pradesh, India.
China Canton Fair www.cantonfair.org.cn/en/index.asp
Australia Australian Gift Fair www.giftfair.com.au
Japan Giftshow Tokyo, Japan www.giftshow.co.jp/english/58tigs/fr
amepage1.html
Giftshow Fukuoka, Japan www.giftshow.co.jp

All Japan Gift Festival in Tokyo Tel: (03)3847-0691
Fax: (03)3847-06
Japan DIY (do-it-yourself)Show in Tokyo www.diy.or.jp
/ Osaka
International Housewares Show (HIS) www.gmc.or.jp/housewares
Ambiente Japan Tel: (03)3262-8441
Fax: (03)3262-8442
Tokyo International Gift Show www.giftshow.co.jp
Osaka International Gift Show www.giftshow.co.jp
Fukuoka International Trade Fair www.fukuokafair.com
International Furniture Fair Tokyo (IFFT) www.idafij.or.jp
79
Appendix No.8
Major Freight Forwarders and Shipping Companies in Vietnam
1 APL Shipping Agency Co. Ltd. 2 Binh Thuan Shipping Co.

Địa chỉ: 802, Diamond Plaza Bldg., 34 Địa chỉ: 5 Tu Van Tu St., Phu Trinh Ward,
Le Duan St., Dist.1, Ho Chi Minh City Phan Thiet City, Binh Thuan
Tel: 84-8-8221199 Tel: 84-62-8223361
Fax: 84-8-8239677 Fax: 84-62-827124
E-mail: quy_van_tran@hcm.vnn.vn
3 APM-Saigon Shipping Co., Ltd. 4 Bonex Shipping Corp.
Địa chỉ: 17 Ton Duc Thang St., Dist. 1, Địa chỉ: Fl. 6, OSIC Bldg., 8 Nguyen Hue St.,
Ho Chi Minh City Dist. 1, Ho Chi Minh City
Tel: 84-8-8230015 / 8230173 Tel: 84-8-8245142, 8245144
Fax: 84-8-8230013 Fax: 84-8-8245143
E-mail: sgnmtsadm@apmss.com
5 APM-Saigon Shipping Co., Ltd, 6 China Ocean Shipping Co.
Haiphong branch Địa chỉ: 47 Pho Duc Chinh St., Nguyen Thai
Địa chỉ: 4 Tran Phu St., Ngo Quyen Binh Ward, Dist.1, HoChi Minh City
Dist., Hai Phong Tel: 84-8-8215688
Tel: 84-31-841717 Fax: 84-8-8217125
Fax: 84-31-841718
7 Baikal Shipping Co. 8 Danang Ocean Shipping and Trading Co.
Địa chỉ: 2E Tran quang Khai St., Hong Địa chỉ: 156 Bach Danh St., Hai Chau 1 Ward,
Bang Dist., Hai Phong City Hai Chau Dist., Da nang City
Tel: 84-31-821087 Tel: 84-511-827316, 822068
Fax: 84-31-842975 Fax: 84-511-834796
9 Bien Dong Ocean Shipping Co. 10 Dong Nam A Shipping Co.
Địa chỉ: 28 Tran Hung Dao, Hoan Kiem Địa chỉ: 3 Nguyen Tat Thanh St., Dist.4, Ho
Dist., Hanoi Chi Minh City
Tel: 84-4-9346079, 9342448 Tel: 84-8-8253559, 8253608
Fax: 84-4-8240577 Fax: 84-8-8253629
E-mail: bisco@fpt.vn E-mail: dnahcm@hcm.fpt.vn
11 Bien Dong Shipping Co. 12 Eastern Dragon Shipping Co., Ltd.
Địa chỉ: 52 Nguyen Truong To St., Dist. Địa chỉ: 338 Lach tray St., Ngo Quyen Dist.,
4, Ho Chi Minh City Hai Phong
Tel: 84-8-8255239 Tel: 84-31-728107, 728503
Fax: 84-8-8261887 Fax: 84-31-728117, 728055
E-mail: edscohpg@hn.vnn.vn
13 Flight Dragon Shipping Co. 14 Quang Ninh Shipping Agent

Địa chỉ: 338 Lach tray St., Ngo Quyen Địa chỉ: 70 Le Thanh Tong St., Hon Gai Ward,
Dist., Hai Phong Ha Long City, Quang Ninh
Tel: 84-31-728284, 728189, 829013 Tel: 84-33-826425
Fax: 84-31-728285 Fax: 84-33-827264
E-mail: fd1hp@hn.vnn.vn
15 Hai phong Shipping Agent 16 Saigon Ocean Shipping Co.
Địa chỉ: 25 Dien Bien Phu St., /5 To Địa chỉ: 9 Nguyen Cong Tru St., Dist. 1, Ho
Ward, Ngo Quyen Dist., Hai Phong Chi Minh City
Tel: 84-31-551231 Tel: 84-8-8296320
Fax: 84-31-551279 Fax: 84-8-8225067
E-mail: saigonship@hcm.vnn.vn
17 Heung-A shipping Co., 18 Southern Vietnam Container Shipping JSC.
Địa chỉ: 74 Nguyen Du St., Hai Ba Địa chỉ: 11 Nguyen Hue St., Dist.1, Ho Chi
Trung Dist., Hanoi Minh City
Tel: 84-4-9424487, 8229484 Tel: 84-8-8263991
Fax: 84-4-8220599 Fax: 84-8-9140571
E-mail: hashan@hn.vnn.vn E-mail: vcsemgt@viconshipsg.com.vn
80
19 Khanh Hoa Ocean Shipping Co. 20 Southern Vietnam Container Shipping JSC,
Địa chỉ: 40/1 Tran Phu St., Vinh Nguyen Hanoi
Ward, Nha Trang City Địa chỉ: 97 Tran Quoc Toan St., Hoan Kiem
Tel: 84-58-881073 Dist., Hanoi
Fax: 84-58-881074 Tel: 84-4-8223996
Fax: 84-4-8223998
E-mail: vicos_hcq@fpt.vn
21 MOL (Vietnam) Shipping Agent. 22 Vietnam National Shipping Lines
Địa chỉ: Room 1003, Fl. 10, 115 Nguyen Địa chỉ: 201 Kham Thien St., Dong Da Dist.,
hue St., Dist. 1, Ho Chi Minh City Hanoi
Tel: 84-8-8219121 Tel: 84-4-8517750
Fax: 84-8-8219123 Fax: 84-4-8517746
E-mail: vinalines@fpt.vn
23 North Container Shipping Co. 24 Vietnam Ocean Shipping Co.
Địa chỉ: 11 Vo Thi Sau St., /5 To Ward, Địa chỉ: 215 Tran Quoc Toan St., Dang Giang,
Ngo Quyen Dist., Hai Phong City Ngo Quyen Dist., Hai Phong City
Tel: 84-31-836705, 836706 Tel: 84-31-731090, 731033
Fax: 84-31-836104 Fax: 84-31-731007
E-mail: viconshiphp@hn.vnn.vn E-mail: vosco.1@hn.vnn.vn
25 Vietnam Shipping Agent 26 Vung Tau Shipping and Service Co.
Địa chỉ: 7 nguyen Hue St., Dist. 1 Địa chỉ: 87 Ly Thuong Kiet St., Ward 1, Vung
Tel: 84-8-8294162, 8290138 Tau City
Fax: 84-8-8293626 Tel: 84-64-852185, 859003
E-mail: vosasgn@hcm.vnn.vn Fax: 84-64-858919
27 Vung Tau Shipping and Service Co., 28 Nghe An Ocean Shipping and Trading Co.
Ho Chi Minh Địa chỉ: 26 Nguyen Van Troi St., Ben Thuy
Địa chỉ: 43 Pasteur St., Ben Nghe Ward, Ward, Vinh City, Nghe An
Dist. 1, Ho Chi Minh City Tel: 84-38-855528/855670
Tel: 84-8-8211857 Fax: 84-38-855364
Fax: 84-8-8211874
E-mail: vishipld@hcm.fpt.vn
29 Wallem Shipping Vietnam 30 An Giang Shipping Co., Ltd.
Địa chỉ: Lf.6, #3 nguyen Tat Thanh St., Địa chỉ: 65 Pho Duc Chinh St., Nguyen Thai
Ward 12, Dist. 1 Binh Ward, Dist.1, HoChiMinh City
Tel: 84-8-8265161 Tel: 84-8-8210651, 8-9140520
Fax: 84-8-8265167 Fax: 84-8-8217708
E-mail: wallemvn@hcm.vnn.vn E-mail: angiangcompany@hcm.vnn.vn
31 Vinatrans 32 Orient Overseas Container Line Địa
Địa chỉ: Số 2 Bích Câu, Quận Đống Đa, chỉ: 201 Khâm Thiên, Đống Đa, Hà Nội
Hà Nội Tel: 84-4-8519017, 4-8517750 Fax: 84-
Tel: 84-4-7321090, 4-7321970 4-8518551 TLX:
Fax: 84-4-7322635 411294 GMTHN VT
E-mail: rclhan@hn.vnn.vn
33 Thami Shipping & Airfreight Co.,Ltd. 34 Hyundai Merchant Marine Co.,Ltd. Địa chỉ:
Địa chỉ: 161 Khánh Hội, Quận 4, T.P. Hồ 201 Khâm Thiên, Đống Đa, Hà Nội
Chí Minh Tel: 84-4-8510360, 4-8519524 Fax:
Tel: 84-8-8263662 84-4-8519329
Fax: 84-8-8263581
E-mail: operation@thamico.com
35 CMA-CGM Group 36 SIMBA Logistics Địa chỉ:
Địa chỉ: 201 Khâm Thiên, Đống Đa, Hà Tầng 7, 142 Lê Duẩn, Hà Nội Tel: 84-4-
Nội 5185161, 4-5183496 Fax: 84-4-5183496
Tel: 84-4-8519217, 4-8518313 E-mai: simbahn@hn.vnn.vn
Fax: 84-4-8519162
37 Germatrans (Vietnam) Ltd. 38 Wanhai Lines Ltd. Địa
Địa chỉ: 201 Khâm Thiên, Đống Đa, Hà chỉ: 53 Quang Trung, Hoàn Kiếm, Hà Nội
Nội Tel: 84-4-6225602 Fax:
Tel: 84-4-8519217, 4-88519014 84-4-8228384
Fax: 84-4-8519162
81
39 Mitsui O.S.K Line 40 Maersk – Sealand Địa

Địa chỉ: 23 Phan Chu Trinh, Hoàn Kiếm, chỉ: 17 Ngô Quyền, Hoàn Kiếm, Hà Nội
Hà Nội Tel: 84-4-9363695
Tel: 84-4-9332359 Fax: 84-4-9363694
Fax: 84-4-9332358
41 Vosa Group of Companies 42 K’Line
Địa chỉ: 65 Nguyễn Trường Tộ, Ba Địa chỉ: 74 Bà Triệu, Hoàn Kiếm, Hà Nội Tel:
Đình, Hà Nội 84-4-9437709 Fax: 84-
Tel: 84-4-8434042, 4-8468171 4-9437706
Fax: 84-4-8237379
43 Dai Viet Foreign Trade Forwarding 44 Haiphong Import-Export and Forwarding
Địa chỉ: 1W Living Quarter 30-4, Dien Co.
Bien Phu St., Ward 25, Binh Thanh, Địa chỉ: 53 Luong Khanh Thien St., Ngo
HCM Quyen Dist., Hai Phong City
Tel: 84-8-8991444 Tel: 84-31-921232
Fax: 84-8-8991273 Fax: 84-31-921902
45 Atlantic Forwarding Ltd. 46 Haiphong Joint-stock Commerce, Service
Địa chỉ: Room 2A2, Fl.1, Han Nam and Warehouse
Office center, 65 Nguyen Du St., Dist. 1, Địa chỉ: 4 Tran Phu St., Ngo Quyen Dist. Hai
HCM Phong City
Tel: 84-8-8224372 Tel: 84-31-859881
Fax: 84-8-88224390 Fax: 84-31-859802
E-mail: sevimexcohp@hn.vnn.vn
47 Berkman Forwarding Co. 48 International Freight Forwarding &
Địa chỉ: 345E Tran Hung Dao St., Dist.1 Container
Tel: 84-8-8365640 Địa chỉ: Room 104, Kim Do Business Center,
Fax: 84-8-8352768 123 Le Loi St., Dist. 1, HCM City
E-mail: Berkman.fwdg.b.v@hcm.fpt.vn Tel: 84-8-8218101, 8218179
Fax: 84-8-8210218
E-mail: mschcmc@hcm.vnn.vn
49 Foreign Trade Warehousing and 50 International Freight Forwarding &
Forwarding Container
Địa chỉ: 5A Hoang Van Thu St., Minh Địa chỉ: 47 Cua Dong St., Hoan Kiem Dist.
Khai ward, Hong bang Dist., Hai Phong Hanoi
Tel: 84-31-842421 Tel: 84-4-8259185
Fax: 84-31-842227 Fax: 84-4-8454819
E-mail: vfchan@hn.vnn.vn
51 General Forwarding Agent JSC. 52 Jacky Maeder International Forwarding
Địa chỉ: 35 Nguyen Hue St., Dist.1 Ltd.
Tel: 84-8-8214440, 8214441 Địa chỉ: 2 Ngo Duc Ke St., Dist. 1
Fax: 84-8-8214435 Tel: 84-8-8299890, 8258733
E-mail: gmthcm@hcm.vnn.vn Fax: 84-8-8299812
E-mail:
suzy.monnier@vnhcm.geisforward.com
53 Jupiter Pacific Forwarding J.V.C. 54 Raf International Forwarding Inc.
Địa chỉ: 112 Hong Ha St., Ward 2, Tan Địa chỉ: 99 Nguyen Van Troi St., Phu Nhuan
Binh Dist., Ho Chi Minh City Dist.
Tel: 84-8-8450068 Tel: 84-8-8448368
Fax: 84-8-8450085 Fax: 84-8-8447965
E-mail: jupfwd@fmail.vnn.vn E-mail: Raf.ocean@hcm.vnn.vn
55 Vietnam National Foreign Trade 56 Vietnam Transport and Freight Forwarding

Forwarding Co., JSC.
Địa chỉ: 13 Ly Nam De, Hoan Kiem Địa chỉ: 31 Nguyen Cong Tru St., Nguyen
Dist., Hanoi Thai Binh Ward, Dist. 1, HCM City
Tel: 84-4-8457417 Tel: 84-8-8213084
82
Fax: 84-4-8455829 Fax: 84-8-8212902

E-mail: vietrans@hn.vnn.vn
57 Vinako Forwarding JSC. 58 Vinaforwarding Địa
Địa chỉ: 46 Truong Son St., Tan Binh chỉ: 100-102 Dien Bien Phu , Dakao Ward,
Dist., Ho Chi Minh City District 1, HCM City.
Tel: 84-8-8485353 Tel: 84.8.8207120
Fax: 84-8-8485355 Fax: 84.8.8207121
59 M.T.L Co., Ltd. 60 Round-The-World Logistics Vietnam
Địa chỉ: 5Fl, 62A Pham Ngoc Thach St.,
Dist. 03, Hochiminh City, Vietnam
Tel: 84 8 8208093 Địa chỉ: 15-01 Prime Centre Building
Fax: 84 8 8208091 / 8209040 53 Quang Trung St, Hanoi
Tel: (84.4) 9437830/9437398
Fax: (84.4) 9437397
83
Appendix No. 9
Large Stores in the US, EU and Japan
EU Market
Variety Stores Name Website

Woolworth (UK) http://www.woolworths.co.uk
Marks & Spencer (UK) http://www.marksandspencer.com
Monoprix/Prisunic (F) http://www.monoprix.fr/
Tati (F) http://www.tati.fr/
Upim (I) http://www.upim.it/upim/box.html
Blokker (NL) http://www.blokker.nl/
Department KarstadtQuelle ((G) http://www.karstadtquelle.com
Stores
Galeria Kaufthof (G) http://www.galeria-kaufthof.de
John Lewis (UK) http://www.johnlewis.com/
Allders (UK) http://www.allders.com/
El Corte Ingles (SP) http://www.elcorteingles.es/
Vroom & Dreesman (NL) http://www.vroomendreesmann.nl/
Furniture IKEA (S) http://www.ikea.com
Outlets Habitat (UK) http://www.habitat.net/
Conforama (F) http://www.conforama.fr
Divani & Divani (I) http://www.divaniedivani.it/
Merkamueble (SP) http://www.merkamueble.com/
MFI Furniture (UK) http://www.mfi.co.uk/mfi/default.asp
Gift shops The Gadget Shop (UK) http://www.thegadgetshop.com
Nanu Nana (G) www.nanu-nana.de
Das Depot (G) www.das-depot.com
Garden Obi (G) http://www.obi.de/de/
Centers Intratuin (UK) http://www.intratuin.nl/
US Market
Asia Society Gift Shop Good example of high-end ethnic in a good marketing
situation : www.asiastore.org
Crate & Barrel Contemporary, youthful mid-priced housewares,

furniture, accessories: www.crateandbarrel.com
West Elm Division of Pottery Barn, lower priced, hip, young

contemporary urban
www.westelm.com
TJ Maxx Off-price, closeouts, fashion knock offs
www.tjx.com
Container Store Storage: inexpensive to expensive, all types, natural
materials. www.containerstore.com
Bed Bath & Beyond The leading housewares chain
www.bedbathandbeyond.com
Hold Everything Storage: mid-priced to expensive, all types, natural
84
materials, has expanded into furniture and other

categories, owned by Williams- Sonoma.
7th Ave 16th www.holdeverything.com
Pier 1 Imports Low priced, ethnic inspired, factory production
71 5th Ave. at 15th www.pier1.com

Pottery Barn 40’s-60’s consumer, mid-priced, classic but more modern
styling
600 Bdwy, Houston
www.potterybarn.com
Z Gallerie Mid and higher priced, higher quality, well designed.
www.zgallerie.com
443 Bdwy
The 50 leading US companies in retailing furniture and home décor
Rank Name of Head office/Website Estimated turnover Change Number

company (billion in US$)
of shops
2004 2003 2004 2003
1 Wal-Mart Bentonville-Ark 6,100 5,840 4.5% 3,066 2,949
www.wal-mart.com
2 Lowe’s Mooresville, N.C 1,855 1,650 12.4% 1,087 952
www.lowes.com
3 Home Depot Atlanta 1,475 1,350 9.3% 1,675 1,635
www.homedepot.com
4 Target Minneapolis 1,345 1,200 12.1% 1,308 1,225
www.target.com
5 Bed Bath & Union,N.J 1,105 940 17.6% 686 575
Beyond
www.bedbath.com
6 Pier 1 Imports Forth Wirth, Texas 1,009 880 14.7% 1,122 1,062
www.pier1.com
www.pier1kids.com
7 Pottery Barn San Francisco 865 735 17.7% 263 245
www.potterybam.com
8 Michaels Stories Irving, Texas 800 757 5.7% 800 763
www.michaels.com
9 Federated Cincinati 778 750 3.7% 459 459
Department
www.federated-fds.com
Stories
10 Hobby Lobby Oklahoma city 725 680 6.6% 335 315
Stories
www.hobbylobby.com
11 Kohl’s Menomonee Fall,Wis 650 570 14.0% 637 542
85
www.kohls.com
12 Linens’N Things Clifton, N.J 650 577 12.7% 468 423
www.linesnthings.com
13 The Longaberger Newark, Ohio 612 645 -5.1% NS NS
Company www.longaberger.com
14 Expo Design Atlanta 590 630 -6.3% 54 54
Center
www.homedepot.com
15 May Department St.Louis 582 600 -3.0% 430 428
Stories
www.maycompany.com
16 Ikea Plymouth Metting, PA 580 512 13.3% 21 18
www.ikea.com
17 QVC West Chester,PA 550 509 8.1% 8 8
18 T.J.Maxx/Marshal Framiingham, Mass 550 530 3.8 1,468 1,418
ls
www.tjmaxx.com
19 Big Lots Columbus, Ohio 545 500 9.0% 1,459 1,385
www.biglots.com
20 JCPenney Plano, Texas 545 550 -0.9% 1,017 1,020
www.jcpenney.com
21 Tuesday Morning Dallas 530 495 7.1% 662 577
www.tuesdaymorning.
com
22 Homegoods Framing, Mass 498 425 17.2% 216 182
www.homegoods.com
23 Ross Stories Pleasanton, Calif 445 412 8.0% 649 568
www.rosstores.com
24 Partylite Plymouth, Mass 435 495 -12.1% NS NS
www.partlite.com
25 Crate & Barrel Northbrook, ILL 406 355 14.4% 136 123
www.crateandbarrel.com
26 Kirkland’s Jackson, Tenn 394 369 6.8% 320 280
www.kirklands.com
27 Sam’s Club Bentonville, Ark 390 375 4.0% 551 538
www.samsclub.com
28 Restoration Corte Madera, Calif 388 328 18.3% 100 100
Hardware
www.restorationhardwar
e.com
29 The Bombay Fort Worth, Texas 348 348 0.0% 446 415
Company
86
www.bombayco.com
30 Costco Issaquah, Wash 345 315 9.5% 330 318
www.costco.com
31 Home Interiors & Carrollton, Texas 322 380 -15.3% NS NS
Gift
www.homeinteriors.com
32 Cost Plus World Oakland , Calif 314 277 13.4% 237 204
Market
33 Sears Hoffman Estates, ILL 310 325 -4.6% 873 871
www.sears.com
34 Berkshire Omaha, Neb 300 270 11.1% 31 30
Hathaway
www.berkshirehathaway.
Furniture com
Division
35 Cracker Barrel Lebanon, Tenn 295 285 3.5% 516 451
Country
www.crackerbarrel.com
store
36 Garden Ride Houston 290 326 -11.0% 35 44
www.garenridge.com
37 Burlington Coat Burlington, NJ 285 275 3.6% 314 320
Factory
www.coat.com
38 Yankee Candle Whately, Mass 284 267 6.3% 345 286
www.yankeecandle.com
39 Ethan Allen Danbury, Conn 280 278 0.7% 282 283
www.ethanallen.com
40 The Great Hoffman Estates, ILL 265 290 -8.6% 17 18
Indoors
www.thegreatindoors.co
m
41 Kmart Troy, Mich 218 250 -12.8% 1,480 1,511
www.kmart.com
42 Rooms To Go Seffner, Fla 199 200 -0.5% 98 95
www.roomstogo.com
43 Jo-Ann Stories Hudson, Ohio 190 175 8.6% 851 892
www.joann.com
44 Family Dollar Mathews, N.C 189 175 8.0% 5,600 5,175
www.familydollar.com
45 Dillard’s Little Rock, Ark 185 190 -2.6% 329 328
www.dillards.com
46 Havertys Atlanta 158 158 0.0% 117 113
87
www.havertys.com
47 Anthropologie Philadelphia 155 105 47.6% 65 52
www.anthropologie.com
48 A.C.Moore Arts Berlin, N.J 152 148 2.7% 96 81
& Crafts
www.acmoore.com
49 Southern Living Birmingham, ALA 150 120 25.0% NS NS
At Home
www.southernlivinggath
ome.com
50 Stein Mart Jackson, FLA 139 148 -6.1% 26 261
www.steinmart.com
Japanese market
No Company Name Location Website
1 Cainz Co., Ltd. Gunma www.cainz.co.jp/english_Site/e_index.html

2 Konan Shoji Co., Ltd. Osaka www.hc-kohnan.com/hc/foreign/engindex.html
3 Homac Corp. Sapporo www.homac.co.jp
4 NAFCO Corporation Fukuoka www.nafco.tv/index.html
5 Keiyo Co. Ltd. Chiba www.keiyo.co.jp
6 Komeri Co. Ltd. Niigata www.komeri.com
7 Kahma Co., Ltd. Aichi www.kahma.co.jp
8 Shimachu Co., Ltd. Saitama www.shimachu.co.jp
9 Joyful Honda Ibaragi www.joyfulhonda.com/english/index.htm
10 Tokyu Hands Inc. Tokyo www.tokyu-hands.co.jp
88
Appendix No.10
Cultural Factors
If you hope to profit from your travel abroad, you should learn about the history, culture, and
customs of the countries to be visited. Flexibility and cultural adaptation should be the
guiding principles for traveling abroad on business. Business manners and methods, religious
customs, dietary practices, humor, and acceptable dress vary widely from country to country.
Consider the following:
• Never touch the head of a Thai or pass an object over it; the head is considered sacred in
Thailand.
• Avoid using triangular shapes in Hong Kong, Korea, and Taiwan; the triangle is
considered a negative shape.
• The number 7 is considered bad luck in Kenya and good luck in Czechoslovakia, and it
has magical connotations in Benin. The number 10 is bad luck in Korea, and 4 means
death in Japan.
• Red is a positive color in Denmark, but it represents witchcraft and death in many African
countries.
• A nod means no in Bulgaria, and shaking the head from side to side means yes.
• The "okay" sign commonly used in the United States (thumb and index finger forming a
circle and the other fingers raised) means zero in France, is a symbol for money in Japan,
and carries a vulgar connotation in Brazil.
• The use of a palm-up hand and moving index finger signals "come here" in the United
States and in some other countries, but it is considered vulgar in others.
• In Ethiopia, repeatedly opening and closing the palm-down hand means "come here."
Understanding and heeding cultural variables such as these is critical to success in

international business travel and in international business itself. Lack of familiarity with the
business practices, social customs, and etiquette of a country can weaken a company's
position in the market, prevent it from accomplishing its objectives, and ultimately lead to
failure.
Some of the cultural distinctions that you should pay close attention to are the differences in
business styles, attitudes toward development of business relationships, attitudes toward
punctuality, negotiating styles, gift-giving customs, greetings, significance of gestures,
meanings of colors and numbers, and customs regarding titles.
In some countries, business people have a very direct style, while in others they are much
more subtle in style. For example, in the Middle East, engaging in small talk before engaging
89
in business is standard practice.
Attitudes toward punctuality vary greatly from one culture to another and, if misunderstood,
can cause confusion and misunderstanding. Romanians, Japanese, and Germans are very
punctual, whereas people in many of the Latin countries have a more relaxed attitude toward
time. The Japanese consider it rude to be late for a business meeting, but acceptable, even
fashionable, to be late for a social occasion. In Guatemala, on the other hand, one might arrive
anytime from 10 minutes early to 45 minutes late for a luncheon appointment.
When cultural lines are being crossed, something as simple as a greeting can be
misunderstood. Traditional greetings may be a handshake, a hug, a nose rub, a kiss, placing
the hands in praying position, or various other gestures. Lack of awareness concerning the
country's accepted form of greeting can lead to awkward encounters.
People around the world use body movements and gestures to convey specific messages.
Sometimes the same gestures have very different meanings, however. Misunderstanding over
gestures is a common occurrence in cross-cultural communication, and misinterpretation
along these lines can lead to business complications and social embarrassment.
Proper use of names and titles is often a source of confusion in international business
relations. In the United Kingdom, France, and Denmark it is appropriate to use titles until use
of first names is suggested. First names are seldom used when doing business in Germany.
Visiting business people should use the surname preceded by the title. Titles such as "Herr
Direktor" are sometimes used to indicate prestige, status, and rank. Thais, on the other hand,
address each other by first names and reserve last names for very formal occasions and
written communications. In Belgium it is important to address French-speaking business
contacts as "Monsieur" or "Madame," while Dutch-speaking contacts should be addressed as
"Mr." Or "Mrs." To confuse the two is a great insult.
Customs concerning gift giving are extremely important to understand. In some cultures gifts
are expected and failure to present them is considered an insult, whereas in other countries
offering a gift is considered offensive. Business executives also need to know when to present
gifts - on the initial visit or afterwards; where to present gifts - in public or private; what type
of gift to present; what color it should be; and how many to present.
Gift giving is an important part of doing business in Japan, where gifts are usually exchanged
at the first meeting. In sharp contrast, gifts are rarely exchanged in Germany and are usually
not appropriate. Gift giving is not a normal custom in Belgium or the United Kingdom either,
although in both countries, flowers are a suitable gift when invited to someone's home.
90
Customs concerning the exchange of business cards vary, too. Although this point seems of
minor importance, observing a country's customs for card giving is a key part of business
protocol. In Japan, for example, the Western practice of accepting a business card and
pocketing it immediately is considered rude. The proper approach is to carefully look at the
card after accepting it, observe the title and organization, and acknowledge with a nod that the
information has been digested, and perhaps make a relevant comment or ask a polite question.
Negotiating - a complex process even between parties from the same nation - is even more
complicated in international transactions because of the added chance of misunderstandings
stemming from cultural differences. It is essential to understand the importance of rank in the
other country; to know who the decision makers are; to be familiar with the business style of
the foreign company; and to understand the nature of agreements in the country, the
significance of gestures, and negotiating etiquette.
It is important to acquire, through reading or training, a basic knowledge of the business

culture, management attitudes, business methods, and consumer habits of the country being
visited. This does not mean that the traveler must attempt to exercise all local customs when
conducting business abroad. It does mean that the traveler should be sensitive to the customs
and business procedures of the country being visited.
Before traveling to a new market, you should learn as much about the culture as possible to
avoid embarrassing situations. For example, in Mexico it is customary to inquire about a
colleague's wife and family, whereas in many Middle Eastern countries it is taboo. Patting a
U.S. colleague on the back for congratulations is a common practice, but in Japan it would be
discourteous. Clothes, expressions, posture, and actions are all important considerations in
conducting international business.
Another important consideration is religious and national holidays. Trying to conduct business
on the Fourth of July in the United States would be difficult, if not impossible. Likewise,
different dates have special significance in various countries. Some countries have long
holidays by U.S. standards, making business difficult. For example, doing business is difficult
in Saudi Arabia during the month of fasting before the Ramadan religious festival.
Try to obtain cultural information from business colleagues who have been abroad or have
expertise in a particular market. A little research and observation in cultural behavior can go a
long way in international commerce. Likewise, a lack of sensitivity to another's customs can
stop a deal in its tracks.
91
Appendix No.11
Information Sources about Market Entry Requirements
Japanese market
Detailed customs procedure when exporting to Japan:

http://www.customs.go.jp/index_e.htm
Details for tariffs in Japan: http://www.apectariff.org/ (Asia Pacific Tariff Database-APEC)
Japan Specifications for Apparatus and Containers/packages made of Glass, Ceramic, or
Enamel:
http://www.ffcr.or.jp/zaidan/FFCRHOME.nsf/7bd44c20b0dc562649256502001b65 e9/a8 67
f8867f281c6b49256f0f001ed0b9/$FILE/Appendix9.pdf
Standards on materials in general:
http://www.ffcr.or.jp/zaidan/FFCRHOME.nsf/7bd44c20b0dc562649256502001b65e9/a867f8
867f281c6b49256f0f001ed0b9/$FILE/standards%20on%20materials.pdf
and http://www.ffcr.or.jp/zaidan/FFCRHOME.nsf/pages/e-links-j
Food Sanitation Law (for products in direct contact with food):
http://www.mhlw.go.jp
Electrical Appliance and Materials Safety Law (for lightings):
www.ul.com
US market
U.S. Customs web site:

www.customs.ustreas.gov
U.S. customs regulations and USDA entry requirements:
http://www.cbp.gov/xp/cgov/import/
Exporting to the US:
http://www.cbp.gov/xp/cgov/import/communications_to_industry/diduknow.xml
Vietnam tarrifs/duties/ etc. when exporting to States:
http://dataweb.usitc.gov/scripts/user_set.asp
U.S Regulations for ceramics: cadmium contamination:
http://www.fda.gov/ora/compliance_ref/cpg/cpgfod/cpg545-400.html
Regulations for ceramics: lead contamination:
http://www.fda.gov/ora/compliance_ref/cpg/cpgfod/cpg545-450.html
Import procedure for ceramics:
http://www.cfsan.fda.gov/~lrd/import.html
92
EU market
Legislative and market requirements for gifts, decorative articles and jewellery in EU
http://www.cbi.nl/accessguide/?cbiRef=yes
http://europa.eu.int/comm/food/food/chemicalsafety/foodcontact/leg_files/84_500_en.pdf
http://europa.eu.int/comm/food/food/chemicalsafety/foodcontact/legisl_list_en.htm
Information about regulations and export tariffs to EU can be found at
http://export-help.cec.eu.int/ or http://europa.eu.int/comm/taxation_customs
International quality standards ISO and the European Committee for Normalisation
www.iso.ch
www.cenorm.be
Information about environment, social, health and safety issues:
www.cbi.nl/accessguide www.europa.eu.int/eur-lex
www.ilo.org (labour/health)
www.octrooibureau.nl (patents)
www.newapproach.org (product safety)
www.foodnet.fic.ca (food safety)
No specific regulations exist for gift and handicraft articles as this term covers a broad variety
of very different products. However, some gift and handicraft articles could be subject to the
EU product legislation concerning the content of hazardous substances, especially if the
products are to be used in connection with provisions. According to the CBI market survey on
gift and decorative articles, the most important dangerous substances that an exporter of gift
and handicraft articles should be aware of are:
• Azo dyes
• Benzene used as stabilizers in plastic
• Formaldehyde used as glazing or bonding agent
• Pentachlorophenol (PCP) used to prevent fungal growth in wooden toys
• Polychlorinated biphenyl (PCB) and terphenyl (PCT) used as softeners in plastic products
• Phthalates added to PVC
• Asbestos used as filling material in plastics
• Cadmium used as pigment or stabilizer in paints, plastics, ceramics and glassware
• Nickel
• Mercury
• CFCs and halons used as foaming agents
93
Appendix No.12
List of Supporting Policies for Handicraft Exporters
Issue Regulation and Decision Agency
Regional Decision No. 132/2000/QD/TTg of November 24, 2000 on a Government

Number of Policies to Encourage the Development of Rural Trades
Development Circular 84/2002/TT-BTC dated 26 September, 2002 Giving Ministry of Finance
guidance on financial incentives to encourage the development of (MOF)
craft industries
Official letter No.670/BNN– TCBC dated 26 March, 2003 Giving Ministry of
guidance on training and development of rural craft industries Agriculture and Rural
Development
(MARD)
Decision No. 132/2001/QD-TTg of September 7, 2001 on Financial Ministry of Finance
Mechanisms for the Implementation of the Programs on Developing (MOF)
Rural Traffic Roads, Infrastructure for Aquaculture and
Infrastructure in Rural Craft Villages
Investment Decision No.3/1998/QH10 of May 20, 1998, The Law on Domestic Government
Investment Promotion (amended)
Decree No. 51/1999/ND-CP of July 8, 1999 Detailing the MPI
Promotion Implementation of Law No. 03/1998/QH10 on Domestic Investment
Promotion (amended)
Circular No 02/1999/TT-BKH dated 24 September, 1999 Instructing Ministry of Planning
procedures for granting investment incentives in compliance with the & Investment
Decree No 51/1999/ND-CP
Circular No 22/2001/TT-BTC dated 3 April , 2001 on Instructing the Ministry of Finance
implementation of tax exemption and deduction for the objects of
these investment incentives in compliance with the Decree No
51/1999/ND-CP dated 8/7/1999 of the Government.
Export Promotion Decision No. 195/1999/QD-TTg by the Prime Minister on Prime Minister
Establishment of Export Promotion Fund
Decision No. 46/2001/QD-TTg of April 4, 2001 on the Management Ministry of Trade
of Export and Import Goods in the 2001-2005 Period (MoT)
Decision No.02/2001/QD-TTg dated 2 January, 2001 on Policies to MPI
support investment from Development Assistance Fund toward
export processing projects
SME Promotion Decree No. 90/2001/ND-CP of November 23, 2001 on Support for MPI
Development of Small and Medium Enterprises
Decree No. 02/2000/ND-CP of February 3, 2000 on Business MPI
Registration
Preservation of Decision No. 124/2003/QD-TTg of June 17 2003 approving cultural Ministry of Culture
preservation and development for minority groups in Vietnam to and Information
Traditional Crafts fully utilize traditional crafts (MOCI)
94
Appendix No.13
References
1. EU Market survey 2005, Gifts and Decorative articles – CBI

2. Your Image Builder, SIPPO and CBI
3. Japanese Market report, Household products, JETRO
4. A Basic guide to exporting, US Department of Commerce
5. Your Show master, CBI
6. Product Costing and Pricing: Artisan as Entrepreneur Training Module (ITC 2000)
7. A Guide to Exporting Solid wood product, United States Department of Agriculture
8. Your Guide to market research, CBI
9. Market Research for Exporting handicrafts to USA, JETRO (in Japanese)
10. Promotion and Export development of Asian Artisanal Products in EU (ITC, 2001)
11. Promotion and Export development of Asian Artisanal Products in the United States,
(ITC, 2001)
12. Handicrafts in Denmark, Denmark Import Promotion Office for products from developing
countries (DIPPO)
13. Handicrafts in Canada, Trade Facilitation Office Canada (TFOC)
14. State of the Sector Report on Philippine in Housewares, 2004, Pearl2
15. Gift and Handicraft Articles in Swedish Market, 2004, Chamber of Commerce of East
Sweden
16. Vietnam Handicrafts and Traditional Craft Villages, VIETRADE
17. The study on Artisan craft Development plan for Rural industrialization in Vietnam, JICA
95

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DEVELOPING INTERNATIONAL MARKETS FOR

HOME ACCESSORIES AND GIFT ARTICLES

Export Marketing Guidelines for Vietnamese Craft Exporters

Prepared for: VIETRADE/ITC/WTO/UNCTAD

1 Are you Ready to Export? 4

2 Market Entry Strategy 12

3 Preparing a Professional Presence 14

4 Preparing Products for Export 24

5 Export Costing, Pricing and Invoicing 28

6 Trade Fair Participations 38

7 Export Documentation and Shipping 45

8 Dealing with Claims 47

 Handicraft Research and Promotion Centre, Hanoi, Vietnam (www.hrpc.com.vn)

approved in writing by VIETRADE.

1 Are you Ready to Export?

1.1 Market Analysis (External Analysis)

Step 1: Screen potential markets

Step 2: Assess targeted markets

Popular sources of secondary data research include:

Popular sources of field research include:

 Discussions with handicraft companies/exporters who have similar export products

 Contact with Vietnam’s Embassies, Consulates, Trade Centers in foreign countries

Important issues of market research are:

A) Market development and opportunities

B) Market entry requirements

1.2 Company Analysis (Internal Analysis)

 Do you have skilled workers – is a sufficient number easily obtainable?

sales, advertising, and research and development (R&D) on a yearly basis?

1.3 SWOT Analysis

Here is an example of a SWOT analysis from a water-hyacinth handicraft company intending

many future opportunities for success, which is produced in China

2 Market Entry Strategy

Source: CBI, EU Market survey 2005, Gifts and Decorative articles

specifications. Understanding these needs is important for exporters in order to be able to

3 Preparing a Professional Presence

on fundamental managerial decisions, ranging from daily activities to long-term objectives.

3.1 Marketing Material

 Your company‘s background and history

 Use block letters instead of a fancy print that is difficult to read.

 Design the site in accordance with the corporate image

You need other Promotional Material.

3.2 Professionalize your Staff and Communication

Writing effective e-mail messages:

 E-commerce is ever more popular in business transactions nowadays. However, many

you do so, this may influence your image to some extent.

Writing effective business letters:

3.3 Professionalize your Company Operations

Following is an example of auditing requirements from a larger retailer to its suppliers.

 Seiri (Sort): focuses on eliminating unnecessary items from the workplace

3.4 Understanding Market Requirements to Improve your Presentation

Vietnamese companies have a particular style when it comes to presenting products in

4 Preparing Products for Export

Use professional designers: Fashionable product development is a key pre-requisite for

5 Export Costing, Pricing and Invoicing

5.1 Export Costing and Pricing

Cost components Cost (US$) Price

case, you can:

Landed price to importer 2.0

5.2 Quotations and Proforma Invoices

NO ITEM PICTURE ITEM SIZE PACKING Q’TY CIF TOTAL

1 BS01 Sea-grass 56x35x2 2PCS/ 1,212 10.5/PC 12,726

As an example of a quotation, have a look28x20x1