商务英语阅读-Unit 6国际支付.pptVIP

Unit Six International Payment Objectives Get the students to be familiar with the international payment. Cultivate the students’ ability of problem-solving. Help the students overcome the vocabulary barrier in reading. Section A Introduction In international business, terms of payment have been the key parts in the contracts all the time. It involves how exporters collect the pay for their goods in time and guarantees the normal and orderly development of their business. In international trade, both the exporter and importer face risks in an export / import transaction as there is always the possibility that the other party may fail to fulfill the contract. In order to guard against such possibilities, different methods of payment have been developed. As circumstances vary, the choice of payment terms is also flexible. Pre-reading Before reading the following passage, answer the question: How can we guard against the possibility that the other party may fail to fulfill the contract in an export / import transaction? Text International Payment In general, there are several basic methods of payment in international trade. Payment in Advance By insisting on cash in advance the seller obviously has complete assurance of obtaining payment. This method is often used in cases where the exporter is not familiar with the buyer’s credit standing. Cash in advance may also be appropriate when the political and economic conditions in the buyer’s country make payment uncertain. This method places the burden for financing the transaction entirely on the buyer Open Account The procedure of this term is rather simple. The exporter dispatches the goods; prepares all the documents (mainly the commercial invoice), and sends both the goods and documents to the customer, while title to the goods passes from seller to buyer from that moment, and then waits for payment. The payment is not made at the time when the goods are delivered or when the documents ar