Although nothing substitutes for personal contact when developing an international marketing structure, this may not always be possible.
Therefore, the tone of initial written communications is critical. It often makes the difference between a profitable long-term arrangement and a lost opportunity.
The Introductory Letter, Facsimile (Fax), or E-mail
Your introductory letter, fax, or e-mail most often can be written in your language, your potential buyers (or sellers) language, or in English.
With the exception of Latin America, English has become the language of international business, but use simple words. If your communication must be translated and transmitted into a foreign language, make sure that you have it translated back to English by a third party before send- ing it. However proficient a person is in the other language, funny things can happen in translation.
From the beginning establish your company’s favorable reputation and explain the relationship that you seek. Describe the product you want to market (export) or to purchase (import). Propose a personal
meeting and offer the buyer a visit to your firm during the person’s next visit to your country. Ask for a response to your letter. Figure 3.2 shows a sample letter of introduction.
Follow-Up Communications
As technology improves, more alternative forms of communications, including express delivery services, have become available, and choosing the best alternative may result in the competitive difference.
Successful importing/exporting depends on reliable two-way commu- nication. It is critical in establishing and running an import /export marketing network.
Telephone
Speech is the fastest way to convey ideas and receive answers. Voice communications allow for immediate feedback—quick response to fast- breaking problems or opportunities. Most countries can be dialed directly, and the rates for international telephone service depend on the time of day. While international telephone can be expeditious, it can be expensive if you have a lot to say.
Facsimile
Facsimile (fax), or telecopier service, remains one of the fastest grow- ing means of business communication. The advantage of fax is that any image of up to 81-2 by 14 inches can be transmitted directly to the receiving unit. Letters, pictures, contracts, forms, catalog sheets, drawings, and illustrations—anything that would reproduce in a copy machine—can be sent.
On a historical note, facsimile is not new. It was invented over a century ago, in 1842, by Alexander Bain, a Scottish clockmaker. His device used a pendulum that swept a metal point over a set of raised metal letters. When the point touched a letter, it created an electrical charge that traveled down a telegraph wire to reproduce on paper the series of letters the pendulum had touched. Wire service photos were
Our Company, Inc.
Hometown, U.S.A.
Ref:
Date:
XYZ Foreign Co.
2A1 Moon River Yokohama, Japan
Gentlemen:
Sincerely,
W. T. Door President
Our Company, Inc., markets a line of highway spots. When se- cured to the centerline of highway, these spots provide for in- creased safety for motorists. We believe that these spots might interest foreign markets, especially the Japanese market. Our major customers include highway contractors and highway departments of the states of ABC and DEF.
Don’t hesitate to telephone if you need further details. We look forward to meeting with representatives of XYZ Foreign Co.
about our highway spots.
We are writing to learn whether: (1) XYZ Foreign Co. has a requirement to purchase similar products for use in Japan; and (2) XYZ Foreign Co. would be interested in representing Our Company in Japan.
Our Company, founded in 1983, has sales of $1.5 million.
Further details are given in the attached brochure. The at- tached catalogs and specification sheets give detailed informa- tion about our products.
Figure 3.2 Sample Letter of Introduction
transmitted by fax as early as 1930. The U.S. Navy used them aboard ship during World War II for the transmission of weather data.
The earliest fax machines were clunkers and very expensive, taking more than 10 minutes to send a single page and costing more than
$18,000. Today, dedicated facsimile terminals cost as little as $60. Their speed equates favorably to telex. Fax transmits over ordinary voice phone networks. Several private bureaus manage faxes as a worldwide service. There is no effective proof of delivery of a fax document.
Although most businesses still maintain some kind of fax capability, the technology appears increasingly dated in the world of the Internet.
Internet
It wasn’t that long ago that the Internet was just a public, amorphous collection of computer networks—a technofad made up of blending a few personal computers and citizen’s band radio enthusiasts.
Today the Internet is the fastest growing and most exciting place to do business (see Chapter 4). New cross-indexing software and imagi- native services are connecting the home computer masses to electronic commerce through Web servers and high-speed circuits into the World Wide Web.
This concept of linking buyers and sellers and elimination of paper- work will drive down the cost of transactions. The Internet has become the low-cost alternative to faxes, express mail, and other com- munications channels such as 1-800 telephone sales. Most international businesses have their own Web pages in more than one language.
There are programs that will translate from one country’s language to another.
The Internet knows no international boundaries—internauts are log- ging on from Bangkok to New York’s Broadway. The network extends to all countries, and the most interesting part of it is nobody owns the Internet. The Internet is not guided by a single company or institution.
The internet protocol (IP) allows any number of computer networks to link up and act as one.
On another historical note, the Internet is also not new. Its begin- ning was in the late 1960s when the Pentagon (American Defense
Department) asked computer scientists to find the best way for an unlimited number of computers to communicate—without relying on any single computer to be traffic cop. That way the system would not be vulnerable to nuclear attack. The outcome was the decision to fund experimental packet-switching communications using a transmission and control/internet protocol (TCP/IP) technology called ARPAnet that quickly expanded to dozens of universities and corporations. Pro- grams were written to help people exchange e-mail and tap into remote databases. In 1983 ARPAnet was split into two networks, ARPAnet and Milnet, and the Pentagon mandated TCP/IP as the standard protocol.
These two networks evolved into the Internet.
H O T T I P
T
hough print lacks speed (compared to voice), it provides written documentation that can be read and reread at the reader’s pace and schedule.Cables and Telexes
International mailgrams, telegrams, or cables can still be sent anywhere mail goes. These forms of communication require a complete mailing address, including any postal codes.
Cables are sent electronically to the major city nearest the recipient.
There, the message may be telephoned and mailed, mailed only, or (in a few locations) delivered by messenger. Cables don’t offer proof of delivery that a telex message does, and because of the extra handling, cables are significantly more expensive than telex messages. But a cable can be sent to anyone, anywhere.
There are still some telex terminals in government and business offices around the world. Their advantage is they can receive informa- tion automatically, even when unattended.
Communications Equipment
Electronic data transmission grew rapidly throughout the 1990s. In the new century data must flow easily and quickly back and forth among the importer/exporter and agencies, distributors, and customers. Elec- tronic mail is now commonly delivered over international phone lines.
Practically any computer can be interfaced with a modem via a cable, ordinary telephone, satellite, or microwave to any another computer or word processor anywhere in the world so long as the receiving country does not restrict or prohibit transborder data flows.
H O T C O M M U N I C AT I O N S T I P S 1. Write out your message and check it by reading it aloud.
2. Some situations in international business can be frustrating, so take care not to lose your temper and send a “zinger” that you’ll regret later.
Develop a cordial and professional style, and stick to it at all times. Try to draft replies in the morning when you are fresh. Whenever possible, let a second party read each message.
3. Send messages earlier in the day and earlier in the week to avoid the heavy calling periods and possible delay of your message.
4. Keep your messages brief, but avoid abbreviations that might not be understood.
5. Try to reply to every fax/telex/Internet message the same day it is received, even if only to give a date when a more complete reply will be sent. Keep in mind the differences in time zones between countries.
6. Use “ATTN: Name” rather than “Dear Name.” Also, almost all fax/Inter- net messages, by custom, end with “Regards,” “Best regards,” or occa- sionally “Cordially.”