Unit 20:Compensation Trade
Mr Jorson from ABC company in the USA,comes to China for the business negotiation,on the exports of text tyle machcines.His counter-part Mr Yang is receiving him at million room of one import and export company.
Without no doubt of quality and efficience of your check-loom,and the price is acceptable too.But problem seems that we are short of foreign exchange at the moment.
Excuse me,I am being intersted to hear that how many check-loom would you need?
At least fifteen this time,if the production smooth and count supplier's sufficient,we probably need more.
In that case,That end take compensation trade since we are old friends.it will bring benefits and advantages for our both parties,I believe.
We will deny with it.We will discuss some concrept down.
We will likely to buy back your check off.Our country imports a big deal your text styles any way.
No problem.Buying back is probably more convenient than couner purchase.And how long it should take to complete the payment.
Well.The payment period internally is from three to twenty years.That's take the minmum if it's not so difficult for you.Our cooperation is small one,as you know.And we cannot leave our financial position too far.
Okay.We will ---- to complete the payment within three years,starting from commensment of production.Our checkoff will be priced in line with the international market price of the bowl down.
Fine.May I draw your attention that compensation trade is a kind of low.So you need pay intersts several years.
Yes,we do.But you must be responsible for technical assistance and performance of the machines.This should be included in the contract.
Without question.We will apt to accept according to the contract.
Looking forward to the smooth cooperation.
So do I.
Good morning,Mr Michelle,
Good morning,Mr Bawl.
Our purpose of inviting you here if to discuss the possibilitys of purchasing your advanced agriculture prosation machinery.Although your machinery is much better than those we just imported from other countries,your price is incompetitive.
You may say so.But good quality always deserves good price.You'd better consider protection efficiency as well as the price.
We are quite satisfied with the efficiency of your machinery.But that couldnot highly be fail to transaction unless our import cost could be considerably burn down.In such case,we may deserves to some more flexible ways of doing business.
I quite understand that.Shall we entertain compensation trade which will a shortly provide financial support?
We would be overjoy with it,since we could foresay great compenmetarity advantages through its operateing.Which do you prefer to buy back or counter-purchase?
Buying back if you may,pls.We would like to pay payment by our refined flours and becon products.
Then,how long do you think it would take to complete the payment?
Of course,the sooner the better.
How about five years?
Oh,I think the period of five years is too long.
Oh,five years is not so long enough.
As firstly,every country products are not as worthy as inductrial goods.Secondly,the maybe exsiting unexpected factors from nature,which might exsit negative influences.
Your points really make sense.But according to the design of our machinery,your minimum turn over each year cannot be less than $250,000 worth.You can complete the payment within three years without any difficulties.