Risk Early Warning and Avoidance of China's Export Agents
Due to the difference in productivity levels at home and abroad, China export agents have comparative advantages in light industry manufacturing, textile production, and small household appliances production. Many domestic manufacturers choose to export to obtain higher profits. However, foreign trade exports involve a series of issues, such as handling export-related certificates, handling shipments, document preparation, foreign exchange collection and settlement, and tax refunds. Smaller manufacturers cannot handle it by themselves, so some manufacturers will entrust larger traders as export agents. 1.Introduction to the business model Generally, there are two modes of export agency: the first mode is that the agency buys products directly from the manufacturer and then sells them directly to foreign merchants. This model called agency is actually a transaction relationship, which only sh...