Chapter -1 Company Profile

EASTMAN INTERNATIONAL INDUSRTY

Eastman International Industry is a trading company.This company is mainly a very big exporter of bicycle, bicycle parts like chain wheels, cranks,hubs,handleparts,rims,saddles,carrier,steelball,rimtape,cotterpin,se atpillarbolt,brakesets,mudguards,pedals,bracketsfittings,and accessories.and also exports The year of Establishment of the Eastman International is 1994,Eastman International is a Prestigious Government of India recognized Export Trading House having diversified multinational trading & industrial interests. Eastman International has been a pioneer in the exports of Bicycles & its spares, two wheeler components & accessories. it took two decades of rigorous efforts besides keeping itself abreast with the latest innovations world over to make it a leading name in the Bicycles industry. Eastman International offers very high quality Bicycles and its spares, Hand tools, Moped parts, Auto parts, etc and many other diversified products all at a very competitive prices.

EASTMAN INTERNATIONAL
Ludhiana,Punjab,India Eastman International is a Prestigious Government of India recognized Export Trading House having diversified multinational trading & industrial interests.

Our Strong Values guide our every action. Working together as a team. We aim to exceed customer. Expectations of quality and value through dedicatedservices. Eastman International has been a pioneer in the exports of Bicycles & its spares, two wheeler components & accessories. It took two decades of rigorous efforts besides keeping itself abreast with the latest innovations world over to make it a leading name in the Bicycles industry. Products : Exporters of complete Bicycle, Bicycle Parts and Moped Parts. Eastman International offers very high quality Bicycles and its spares, Hand tools, Moped parts, Auto parts, etc and many other diversified products all at a very competitive prices.other products are Automobile products,paper and paper products,cosmetics,medical products,chemicals,food and beverages etc.

Products of Eastman international company which they export:

Bicycles Apparel & Garments Arts & Crafts Automobile Ayurvedic & Herbal Products Building & Construction Computer Cosmetics Dyes & Chemicals Electronics & Electrical Fashion Accessories Food & Beverages Furniture Manufacturers Gems & Jewelry Hand & Machine Tools Home & Garden Home Supplies Home Textiles & Furnishings
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Industrial Supplies Leather Products Mechanical Components Medical Products Metals & Minerals Musical Instruments Natural Stones c Packaging Supplies Paper & Paper Products Plant & Machinery Plastic & Plastic Products Printing & Publishing Railway, Shipping & Aviation Rubber & Rubber Products Scientific Instrument & Supplies Sporting Goods, Toys & Games Telecom Products Textile, Yarn & Fabrics

Product Segmentation 1.Kids Zone 2.Mens Zone 3.Girls Zone 4.Mountain Bikes

Bicycles: Kids Zone:

Mens zone:

sports bicycle

French type Roadster bicycle

Backfires Boys cycle

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Girls Zone:

Beauty Queen Bicycle

City Bird Ladies Bicycle

Charm Bicycle

Mountain Bikes

Thun Mountain Bike

Jerrain Moutntain Bike Mountain Suspention Bike

Eastman international company exports many kinds of bicycles in different countries.there are different categaries of bicycles which are export to other countries like kids bicycles,mens bicycles,girls bicycles,mountain bikes,road bicycles,tricycles,electric bicycle,children tricycle,they all are export in different countries acc to there demand.the name of the countries are west Africa,Kenya,Portugal,dubai,argentina,latin America,benin etc.
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Paper and paper products:

Food product labels

paper making machine

Paper Bags

Leather products:

Leather belts

Leather Wallets

Leather garments

Food products and beverages:

Chocolate balls

Candy Bars

Wheat

Automobile Products:

Air-Condiotionars

Battery Chargers

Gear Set

Cosmetic products:

Herbal Oil

Fragrance Perfumes Facial scrub cream

Fashion Accessories Products:

Sunglasses

Footwear

Fancy stoles

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Sporting Goods,Toys & Games:

Exercise Bike

Sports Kit Bags

Toys

So,these all the products are export by the Eastman international company like bicycles,art and crafts,automobile,computer,cosmetics,food and beverages,leather products,medical products,metals and minerals,natural stones,paper and paper products,plastic and plastic products,telecome products,fabrics,sporting goods,toys and games.these all the products are exporting in different countries acc to the demand of the product.in this company from different countries.the countries are Benin,West Africa,argentina,Kenya,latin America,yugoslavia,Portugal,dubai,Madagascar,Nigeria.

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Countries Where Eastman International Export There Products: West Africa Latin America Kenya Portugal Dubai Argentina Benin Nigeria Yugoslavia Madagascar

The Eastman international company mainly export there products in west Africa.latinAmerica,Kenya,Portugal,dubai,argentina,benin,Nigeria,Yugoslavi a,madagascar.

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Purchase Departments Of Eastman International Of some Products: Cycle Parts:Ludhiana Autoparts:Delhi Coils:Gujrat Biscuits:fridabad

The purchase departments of the Eastman international of different products are different like fr autoparts the purchase department in delhi,fr coils the purchase department in gujrat,for cycle parts the purchase department in Ludhiana.and fr thae biscuits the purchase department in fridabad.

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SWOT ANALYSIS

S-Strength

W-Weakness

O-Opportunity

T-Threats

Strength
Our main strength is product development .With our excellent relationships with vendors and suppliers. Good tie up with different countries Variety in product category Management with vision Good corporate Location advantage

Weakness
Packing material not of required standards Damage during transportation Development of high quality customer is less Unprofitable product mix

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Opportunity
Growth in Many sectors like bicycle,automobile sectors etc. Growth in economy will pull the demand Quality should be used to cover the price Direct/indirect export opportunities to increase the market Backward integration like tie up with some hr producer

Threats
large no of local exporters the products Chinese product entering in the market Threat of damage of products while export to other country.

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Chapter 2 Introduction of Export strategy for Eastman export in Pakistan

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IMPORT
The term import is derived from the conceptual meaning as to bring in the goods and services into the port of a country. The buyer of such goods and services is referred to an "importer" who is based in the country of import where the overseas based seller is referred to as an "exporter". Thus an import is any good (e.g. a commodity) or service brought in from one country to another country in a legitimate fashion, typically for use in trade. It is a good that is brought in from another country for sale.[2] Imported goods or services are provided to domestic consumers by foreign producers. An import in the receiving country is an export to the sending country. Imports, along with exports, form the basics of international trade. Import of goods normally requires involvement of the customs authorities in both the country of import and the country of export and are often subject to import quotas, tariffs and trade agreements. When the "imports" are the set of goods and services imported, "Imports" also means the economic value of all goods and services that are imported. The macroeconomic variable I usually stands for the value of these imports over a given period of time, usually one year.

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INTERNATIONAL EXPORT
This term export is derived from the conceptual meaning as to ship the goods and services out of the port of a country. The seller of such goods and services is referred to as an "exporter" who is based in the country of export whereas the overseas based buyer is referred to as an "importer". In International Trade, "exports" refers to selling goods and services produced in the home country to other markets. Export of commercial quantities of goods normally requires involvement of the customs authorities in both the country of export and the country of import. The advent of small trades over the internet such as through Amazon and ebay have largely bypassed the involvement of Customs in many countries because of the low individual values of these trades]Nonetheless, these small exports are still subject to legal restrictions applied by the country of export. An export's counterpart is an import.

"Foreign demand for goods produced by home country"

In national accounts "exports" consist of transactions in goods and services (sales, barter, gifts or grants) from residents to non-residents.[2] The exact definition of exports includes and excludes specific "borderline" cases.[3] A general delimitation of exports in national accounts is given below:

An export of a good occurs when there is a change of ownership from a resident to a non-resident; this does not necessarily imply that the good in question physically crosses the frontier. same enterprise, goods crossing the border for significant processing to order or repair). Also smuggled goods must be included in the export measurement.

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Export of services consist of all services rendered by residents to non-residents. In national accounts any direct purchases by nonresidents in the economic territory of a country are recorded as exports of services; therefore all expenditure by foreign tourists in the economic territory of a country is considered as part of the exports of services of that country. Also international flows of illegal services must be included.

Data on international trade in goods are mostly obtained through declarations to custom services. If a country applies the general trade system, all goods entering or leaving the country are recorded. If the special trade system (e.g. extra-EU trade statistics) is applied goods which are received into customs warehouses are not recorded in external trade statistics unless they subsequently go into free circulation in the country of receipt.

A special case is the intra-EU trade statistics. Since goods move freely between the member states of the EU without customs controls, statistics on trade in goods between the member states must be obtained through surveys. To reduce the statistical burden on the respondents small scale traders are excluded from the reporting obligation. Statistical recording of trade in services is based on declarations by banks to their central banks or by surveys of the main operators. In a globalized economy where services can be rendered via electronic means (e.g. internet) the related international flows of services are difficult to identify. Basic statistics on international trade normally do not record smuggled goods or international flows of illegal services. A small fraction of the smuggled goods and illegal services may nevertheless be included in official trade statistics through dummy shipments or dummy declarations that serve to conceal the illegal nature of the activities.

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History of international trade.

The theory of international trade and commercial policy is one of the oldest branches of economic thought. Exporting is a major component of international trade, and the macroeconomic risks and benefits of exporting are regularly discussed and disputed by economists and others. Two views concerning international trade present different perspectives. The first recognizes the benefits of international trade. The second concerns itself with the possibly that certain domestic industries (or laborers, or culture) could be harmed by foreign competition.

Process
Methods of export include a product or good or information being mailed, hand-delivered, shipped by air, shipped by vessel, uploaded to an internet site, or downloaded from an internet site. Exports also include the distribution of information that can be sent in the form of an email, an email attachment, a fax or can be shared during a telephone conversation.

Barriers
Trade barriers are generally defined as government laws, regulations, policy, or practices that either protect domestic products from foreign competition or artificially stimulate exports of particular domestic products. While restrictive business practices sometimes have a similar effect, they are not usually regarded as trade barriers. The most common foreign trade barriers are government-imposed measures and policies that restrict, prevent, or impede the international exchange of goods and services.[6]

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Tariffs
A tariff is a tax placed on a specific good or set of goods exported from or imported to a country, creating an economic barrier to trade. Usually the tactic is used when a country's domestic output of the good is falling and imports from foreign competitors are rising, particularly if there exist strategic reasons for retaining a domestic production capability. Some failing industries receive a protection with an effect similar to a subsidies in that by placing the tariff on the industry, the industry is less enticed to produce goods in a quicker, cheaper, and more productive fashion. The third reason for a tariff involves addressing the issue of dumping. Dumping involves a country producing highly excessive amounts of goods and dumping the goods on another foreign country, producing the effect of prices that are "too low". Too low can refer to either pricing the good from the foreign market at a price lower than charged in the domestic market of the country of origin. The other reference to dumping relates or refers to the producer selling the product at a price in which there is no profit or a loss.[7] The purpose (and expected outcome) of the tariff is to encourage spending on domestic goods and services. Protective tariffs sometimes protect what are known as infant industries that are in the phase of expansive growth. A tariff is used temporarily to allow the industry to succeed in spite of strong competition. Protective tariffs are considered valid if the resources are more productive in their new use than they would be if the industry had not been started. The infant industry eventually must incorporate itself into a market without the protection of government subsidies.[8]

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Subsidies
To subsidize an industry or company refers to, in this instance, a governmental providing supplemental financial support to manipulate the price below market value. Subsidies are generally used for failing industries that need a boost in domestic spending. Subsidizing encourages greater demand for a good or service because of the slashed price. The effect of subsidies deters other countries that are able to produce a specific product or service at a faster, cheaper, and more productive rate. With the lowered price, these efficient producers cannot compete. The life of a subsidy is generally short-lived, but sometimes can be implemented on a more permanent basis.

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Advantages of exporting
Increased profitability On average, businesses that export are more profitable than those who do not export, according to Austrade. This is largely because foreign markets are more diverse, with consumer habits and needs different in each country, and thus can offer increase opportunities for certain products or services that don't currently elicit any demand at home. It is a relatively lowcost activity to get involved in international business and expand profit. Spreading risks Exporting allows your business to spread your risks across different markets- so that if one market suffers from a recession, lowered demand or changed preferences- your investment, sales and profits won't be as significantly impacted. In fact, exporting is a good way of balancing your growth as you can target new markets when there is low demand at home due to seasonal fluctuations Economies of scale Exporting allows you to take advantage of economies of scale, which refers to lowered average costs as a result of expanded operations, hence leading to increased productivity and efficiency. A firm can further create economies of scale which should lead to lower cost and hence expansion of profit Enhanced innovation Different markets invariably have different and often new ideas, management practices, marketing techniques and ways of competing that you would not have otherwise experienced at home.

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Disadvantages of exporting

Financial management effort: To minimize the risk of exchange-rate fluctuation and transactions processes of export activity the financial management needs more capacity to cope the major afford

Customer demand: International customers demand more services from their vendor like installation and startup of equipment, maintenance or more delivery services.

Communication technologies improvement: The improvement of communication technologies in recent years enable the customer to interact with more suppliers while receiving more information and cheaper communications cost at the same time like 20 years ago. This leads to more transparency. The vendor is in duty to follow the real-time demand and to submit all transaction details.

Management mistakes: The management might tap in some of the organizational pitfalls, like poor selection of oversea agents or distributors or chaotic global organization.

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Ways of exporting
The company can decide to export directly or indirectly to a foreign country. Direct selling in export strategy Direct selling involves sales representatives, distributors, or retailers who are located outside the exporter's home country. Direct exports are goods and services that are sold to an independent party outside of the exporters home country. Mainly the companies are pushed by core competencies and improving their performance of value chain. Direct selling through distributors It is considered to be the most popular option to companies, to develop their own international marketing capability. This is achieved by charging personnel from the company to give them greater control over their operations. Direct selling also give the company greater control over the marketing function and the opportunity to earn more profits. In other cases where network of sales representative, the company can transfer them exclusive rights to sell in a particular geographic region. A distributor in a foreign country is a merchant who purchases the product from the manufacturer and sells them at profit. Distributors usually carry stock inventory and service the product, and in most cases distributes deals with retailers rather than end users. Evaluating Distributors

The size and capabilities of its sales force. Its an analysis of its territory. Its current product mix. Its facilities and equipment. Its marketing polices. Its customer profit. Its promotional strategy.

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Direct selling through foreign retailers and end users

Exporters can also sell directly to foreign retailers. Usually, products are limited to consumer lines; it can also sell to direct end users. A good way to generate such sales is by printing catalogs or attending trade shows. Indirect selling Indirect exports, is simply selling goods to or through an independent domestic intermediary in their own home county. Then intermediaries export the products to customers foreign markets. Making the export decision Once a company determines it has exportable products, it must still consider other factors, such as the following:

What does the company want to gain from exporting? Is exporting consistent with other company goals? What demands will exporting place on the company's key resources management and personnel, production capacity, and finance - and how will these demands be met? Are the expected benefits worth the costs, or would company resources be better used for developing new domestic business?

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Challenges
Exporting to foreign countries poses challenges not found in domestic sales. With domestic sales, manufacturers typically sell to wholesalers or direct to retailer or even direct to consumers. When exporting, manufacturers may have to sell to importers who then in turn sell to wholesalers. Extra layer(s) in the chain of distribution squeezes margins and manufacturers may need to offer lower prices to importers than to domestic wholesalers.

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Economy of Pakistan
The economy of Pakistan is the 47th largest in the world in nominal terms and 27th largest in the world in terms of purchasing power parity(PPP). Pakistan has a semi-industrialized economy, which mainly encompasses textiles, chemicals, food processing, agriculture and other industries. Growth poles of Pakistan's economy are situated along the Indus River; diversified economies of Karachi and Punjab's urban centers coexist with lesser developed areas in other parts of the country.The economy has suffered in the past from decades of internal political disputes, a fast growing population, mixed levels of foreign investment, and a costly, ongoing confrontation with neighboring India. Foreign exchange reserves are bolstered by steady worker remittances, but a growing current account deficit driven by a widening trade gap as import growth outstrips export expansion could draw down reserves and dampen GDP growth in the medium term.

PAKISTAN DOING BUSINESS WITH DIFFERENT COUNTRIES

The World Bank (WB) and International Finance Corporation's flagship report Ease of Doing Business Index 2010 ranked Pakistan 85 among 181 countries around the globe. Pakistan comes highest in South Asia but also ranks higher than China and Russia which is at 133. The top five countries are Singapore, New Zealand, the United States, Hong Kong

and United Kingdom.

The Government of Pakistan has granted numerous incentives to technology companies wishing to do business in Pakistan. A combination of decade-plus tax holidays, zero duties on computer imports, government incentives for venture capital and a variety of programs for subsidizing technical education, are intended there.

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Major Exports of Pakistan

To earn profit-whether logically or intangibly, is the core objective of each and every entity despite the fact that it is a profit seeking or a non-profit organization. From a sole-proprietor to a multinational firm and from a small private business to a whole government business, every one wants to sale more than purchase. Other a loss to be battled will be there which if persists, can invoke the same business into a vicious circle of poverty. Pakistan, the 6th most populated country with a 34th position among the biggest economics of the world, is a fertile land of pures. Pakistan, basically is an agrarian society supported to some extent by the industrial one. Pakistan has a good business deals with its partner, but unlocking it imports more than the exports. Exports, moreover, are mostly composed of raw materials instead of manufactured or finished goods. Pakistan exports lots of different items to a dozen of countries. Following is the list of exports items 1Rice 2.Cotton 3.Household,furnishing and furniture 4.Cotton clothes 5.Fabrics and carpents 6.Textile apparels 7.Sport goods 8.Camping apparels 9.Footwear 10.Toys 11.Bicycle 12.Fans
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13.Cook wares 14.House and garden wares 15.leathers bags 16.Chemical 17.Mangoes, Oranges and Vegetabels 18.Cement

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CHIEF EXPORT ITEMS OF PAKISTAN Following are the main items which may be included in our export list:

1.Cotton
Cotton ranks at the top of the export list of Pakistan.Pakistan occupies first position in Asia and second position in the world as an exporter of cotton and cotton products.Export of Raw cotton,cotton cloth and cotton yarn together contribute approximately 40 to 42% to the total export earning of Pakistan.Karachi with the cotton growing hinterland has almost the monopoly of the trade.

(a)Cotton Cloth
Cotton fabrics are at the top of our export list.We export a large amount of cotton cloth every year.Due to increasing demand,its export has gone higher enough. Some of the customers of cotton cloth are U.K,U.S..,U.S.S.R., Hong Kong,Japan,Singapore,W.Germany and Sudan.

(b) Cotton Yarn

It is another important export item of our country.Its export is increasing every year. Important Customers are Japan,U.K,Hong Kong,W.Germany,U.S.A.,Sri Lanka,and Burma.

(c) Raw Cotton Pakistan grows surplus amount of best quality long staple American Upland Cotton which is very much demanded all over the world.Our main customers of raw cotton are U.K.,China,Japan,Hong Kong,Belgium,Indonesia,Italy,Singapore and Bangladesh.

2.Rice
Pakistan has emerged as one of the leading exporters of rice .In the previous years rice was at the top of our export list but due to fluctuation in the world market,its demand has decreased.Best qualities like Basmati and Irri-6 are exported. Pakistan exports rice to almost all the Gulf States and Middle Eastern,European,East Asian and some African countries.
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3.Carpets,Rugs And Mats

Pakistan earns a large amount of foreign exchange by exporting very fine quality carpets (both hand and machine made) rugs and mats.Due to heavy competition in worlds market their demand is increasing. U.S.A. is an important buyer of Pakistani carpets,rugs and mats.Other customers are mostly European countries including France,U.K.,Italy,Switzerland,W.Germany,Belgium etc.

4.Fish And Fish Preparations

Fish is exported,fresh,canned and dried.Shrimps are exported to Japan and U.S.A. canned fish finds its market mostly in W.Europe. Middle Eastern and South Asian countries (specially Sri Lanka) are also important customers of Pakistani fish and fish preparation.

5.Leather And Hides

Pakistan produces hides and skin worth approximately 2 crore every year of which 40 % are exported.Now,because of leather industries in our country export of hides and skin. Italy,Spain,Japan,France,China,Romania,W.Germany etc.are important markets in this regard.

6.Synthetic Textile Products

Pakistani Synthetic Textle Products are popular in various foreign countries.Thes are mainly exported to Middle Eastern,African and South american countries.

7.Petroleum Products
There are 3 oil refineries in Pakistan where crude petroleum is imported and a number of petroleum products are being produced.Some of the surplus products are exported to India,Turkey,Sri Lanka,Singapore etc.

8.Sports Goods
Pakistan has a worthy name in exporting sports goods to more than 100 countries,principally to W.Germany,U.K.,Italy,U.S.A.,France etc.

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9.Surgical Instruments
Pakistan is also exporting surgical equipments to China,Japan,America and Canada. Besides the above mentioned items,Pakistan exports a number of miscellaneous items like raw wool, Tobacco, Fruits, Vegetables etc. to various countries.

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CHIEF IMPORT ITEMS OF PAKISTAN

Following are the main items of our country: 1.Mineral Oil Our country is not self sufficient in our mineral oil requirements.The present oil production of our own country meets only about 24% of the countrys requirements.So to meet the deficiency,we have to import a large amount of mineral oil from other countries.We import mineral oil from Saudi Arabia,Iran,U.A.E and other Middle East countries.

2.Machinery
As our country is in its developing stage,we have to import different kinds of machinery to meet the demands of various industries.The machines are usually imported from Japan,U.S.A. and Europeian countries.

3.Edible Oil
The production of edible oil is is not sufficient to meet the demand of our Ghee industry.Although the government has taken various measures to boost up the production of oil seeds,but inspite of those our country is still deficient in edible oil so we have to import enough amount of edible oil e.g. soyabean oil from U.S.A. and Palm oil from Malaysia and Indonesia.

4.Chemicals And Drugs

The economy of our country mainly demands on agriculture,so to get higher yield from different crops spray of various chemicals is essential.Thus to meet all these demands of our agricultural sector,we have to import various kinds of chemicals and drugs from other countries.The chemicals and drugs are mainly imported from Japan, Germany, U.S.A, U.K, and other European countries.

5.Dyes And Colours

Various Industries of our country use a number of dyes and colours as raw material in their products such as textile,inting etc. so to meet the demand of all these industries,various kinds of colours and dyes are imported.These colours and dyes are mainly imported from Japan ,U.K.,U.S.A. etc.

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6.Tea
Our country produces a very small quantity of tea which is sufficient to meet the demand of our country.So various tea companies port huge amount of tea.Tea is mainly imported from Sri Lanka,Bangladesh,India and Kenya.

7.Electric Goods
Different kinds of electrical goods are needed in our country .The local industries are not in in the position to meet the required demand so we have to import a large number of electric goods from Japan,S.A.,U.K. and other European countries.

8.Transport Equipments
Our country needs different kinds of transport equipments e.g. buses,cars,rickshaws,motorcycles.So demand of these are high and hence they are imported from Japan,Italy and other countries.

9.Paper And Paper Products

Before 1971,we had a number of paper mills our eastern wing and our requirements were fulfilled from the eastern. Although,after 1971 some paper mills were set up in the wster wing,are still deficient in paper especially in paper for newspaper industry. We have to import a large amount of news print paper and other kinds of paper from Cnada, Japan, Sweden, U.S.A. etc.

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DIRECTION OF TRADE
The global concentration of Pakistans trade can be broadly classified to the following major groups of countries:

1.West European Countries

In this group U.K.,France,W.Germany,Belgium,Nether lands and other Scandinavian countries can be included:These countries are the main buyers of our export goods e.g. Cotton cloth,carpets, rugs, sports goods and many other items and we import machines,electric goods,chemicals and various other items from these countries. Our exports are less in comparison to the imports from these countries and balance of trade is in favour of these countries.

2.Middle East Countries

Saudi Arabia, Iraq, U.A.E. and other Arab countries can be included in this group.These countries are the top buyers of our export goods,such as rice,cotton cloth and various other items,but due to oil crises and Iran-Iraq war,our export to these countries has declined to some extent, but our imports from these countries have increased enough.We import mineral oil and various other items from these countries.Thus due to heavy imports from these countries,the balance of trade is in their favour.

3.Asian Countries
Japan,Hong Kong,China,Singapore,Malaysia,Indonesia and various other countries can be included in this group.Our exports to these countries has been decreasing every year,and imports have increase too much so due to these circumstance the balance of trade go in the favour of these countries.Japan is the top buyer of our export goods in Asian countries,but we have to import large amount of machinery,chemicals,transport equipments and various other items from Japan.Besides Japan we do trade with others.Asian countries,such as we import palm oil from Malaysia and Indonesia and Tea from Sri Lanka and Bangladesh.

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4.North American Countries

U.S.A.,Mexico,Canada and other countries can be included in this group.The exports of our country to North American group is not progressive,but we import so many kinds of goods,such as machinery,electrical goods,soybean oil and requirements for our armed forces and various other items,and our imports are about three times greater than our exports.So due to all these conditions the balance of trade remains in favour of these countries.

5.R.C.D. Countries
In this group are included Iran,Turkey and newly Independent Central Asian Republics namely Tajikistan, Uzbekistan, Azerbaijan and Turkmanistan. Pakistani exports to Turkey and Iran are quite enough.Although all these countries are trying to make their balances of trade favourable,but inspite of various measures taken by the concerned countries still Pakistans imports are greater than exports,so the balance of trade remains to the favour of these countries.

6.East European Countries

This group includes countries of eastern Europe such as Poland, U.S.S.R., Romania, Hungary, Yugoslavia, Greece and others.Such countries import large amount of our export goods such as rice, cotton cloth, sports goods,carpets and various other items ,but our imports are comparatively less than our exports,so balance of trade is in favour of our country. Besides the above we do trade with so many African,central and South American countries and also the various Asian and Oceania countries.

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CURRENT BALANCE OF TRADE INDIA WITH PAKISTAN

When the government has all set to grant most favoured nation (MFN) status to India, the trade statistics between the two countries show that Pakistan's exports to India is falling gradually and imports rising speedily, resulting that Pakistan has faced over one billion dollars trade deficit during the last fiscal year 2010-11. Talks with India, Pakistan's competitor in the world market, to declare it MFN are in almost final stage as Indian Commerce Minister Anand Sharma, leading a 120-member trade delegation is on three-day visit of Pakistan to finalise trade modalities. The most authentic statistics of export receipts and imports payment collected by the State Bank of Pakistan (SBP) show that, despite getting MNF status, Pakistan is facing a massive trade deficit with India, and the overall trade volume is completely in favour of India. According to State Bank's statistics of foreign trade receipts/payments, trade balance between two neighbour countries is rapidly deteriorating as imports from India are quickly rising, while on the other side exports from Pakistan are on downward side. Resultantly, Pakistan's trade balance with India is 100 percent in favour of India and Pakistan faced a deficit of $1.158 billion during the last fiscal year 2010-11. With imports payment of $1.033 billion and export receipts of $313.037 million, Pakistan faced a deficit of $719.857 million in fiscal year 2008-09. The deficit in the next fiscal 2009-10 surged to $802 million, up by 11 percent, with $1.061 billion imports payment and $260 million export receipts. According to SBP's statistics, the trade balance with India further deteriorated during the last fiscal year as Pakistan faced a deficit of $1.158 billion as compared to $802 million in fiscal year 2010, depicting an increase of 44 percent in fiscal year 2011. During the period, the country's export receipts from India stood at $286.725 million and import payments at $1.445 billion, showing a deficit of $1.158 billion deficit just in a single year.

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Exports receipts from India are gradually decreasing and registered a decline of 8 percent or $26.342 million to $287 million in fiscal year 2011 compared to $313 million in fiscal year 2009. On the other side, imports payments to India posted a healthy growth and surged by 40 percent or $412 million to $1.445 billion in fiscal year 2011 compared to $1.032 billion in fiscal year 2009. The initial payment and receipts statistics of current fiscal year 2012 say that trade balance is completely in favour of India, as during the first half of current fiscal year 2012 Pakistan's exports to India stood at $134 million against $605 million imports, depicting a trade deficit of $471 million. Exporters claim that they have always faced bureaucratic hurdles to export commodities to India and the delay of certification to Pakistani cement companies is the latest example of barrier. "If India provides equal level playing field to Pakistani exporters, as granted by the our ministry of commerce, trade volume between two countries will balance, besides healthy growth", they added. They said that Pakistani traders and industrialist are not against MNF status, but they need sincerity from India side as well easy access and removal of bureaucratic barriers.

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Trade Relation India with pakistan

In an effort to promote trade and economic relations between India and Pakistan this paper focuses on two key aspects: (i) identifying items that have bilateral trade potential and (ii) identifying Non-tariff Barriers (NTBs) being faced by traders in both countries. The interest in the trade dynamics between the two countries is a recent phenomenon, driven largely by the signing of the South Asian Free Trade Agreement (SAFTA) in January 2004. There has also been a very visible initiative on the part of the private sector to work avidly towards furthering bilateral trade and creating awareness in each other's countries, about the potential for mutual economic engagement. Trade developments between the two countries need to be examined against the backdrop of SAFTA which envisages removal of tariffs in the region in a phased manner. Each Member country is allowed to retain a sensitive list which consists of products that Member countries do not wish to offer for tariff concessions. However, Pakistan allows only a limited number of items to be imported from India, a clear violation of SAFTA. Pakistans treatment towards India under SAFTA has its origin in the historical trade and economic relations between the two countries, which is examined below. Trade relations between India and Pakistan have been influenced to a large extent by their political relations. After the Indo-Pak war in 1965, trade was almost negligible for a period of nine years. Bilateral trade did resume in 1975-76, following the 1974 protocol for the restoration of commercial relations on a government to government basis, signed by the two countries after the 1971 war but it remained at an insignificant level. Both countries traded in a limited number of items -- referred to as the positive list approach. In 1996, India accorded the Most Favoured Nation (MFN) status to Pakistan whereas Pakistan continued to follow a positive list approach. The Government of Pakistan has exercised a slow process of a continuous expansion of the list of items importable from India. In 1986, the Government of Pakistan permitted the import of 42 items from India. The list was expanded to 249 items in 1987.2 In a Public Notice No. 13(88)/imp.I, dated April 24, 1988, the list was further increased to 562 items. By 2000 there were 600 items on the positive list as per SRO 489(I)/2000 dated July 17, 2000, Import Trade and Procedures Order, 2000. The number of items increased steadily to 767 as per SRO 927(I)/2004 dated November 21, 2004. The Import Policy Order, Government of Pakistan, 2005, lists 770 items permissible for import from India and in the subsequent year The Import Policy Order, 2006 lists 773 items. In a recent notification (SRO 1100(I) 2006, dated 1 This study has been funded by the Ministry of Commerce, Government of India. The section of the report pertaining to trade possibilities between India and Pakistan was funded by the Ratan Tata
40

Trust and the section on Non-tariff barriers was funded by the Ministry of Commerce. I am grateful to Anne Krueger for useful discussions. Ramesh Chandra and Purnamita Dasgupta have provided useful comments on the draft paper. Research assistance by Raashi Malhotra, Vasundhara Ramachandran, Shounkie Nawani and Rashmi Rastogi at various stages of this project is gratefully acknowledged. 2 Government of Pakistan (1996) Ministry of Commerce, PakistanIndia Trade: Transition to the GATT regime, September, 5. November 2) the number was increased to 1,075 items. The positive list items are notified at the 4, 6 and 8-digit level of the Harmonized System (HS) of classification . It was expected that with the commencement of SAFTA, Pakistan would treat all Members alike in offering trade concessions and that India would automatically be granted MFN status. However, in a communication to the South Asian Association for Regional Cooperation (SAARC) Secretariat, Pakistan refused to accord MFN status to India and declared that it would continue to follow a restrictive trade policy as far as market access for Indian goods to the Pakistani market were concerned. Thus, there is a perception amongst policy makers and industry that the actual export potential from India to Pakistan continues to remain hugely untapped due to the continuation of the positive list approach being followed by Pakistan towards imports from India. In recent years, Pakistani industry and policy makers have been voicing concerns about Indias protected market. It is being felt that India imposes non-tariff barriers that restrict market access of Pakistani goods into the Indian market. As a result, the trade balance continues to be in Indias favour even though Pakistan follows a positive list approach. Against this background, this paper explores trade possibilities between India and Pakistan that are untapped and makes an attempt at identifying non-tariff barriers that Indian and Pakistani traders face in each others markets.

41

TOTAL TRADE FLOW CHART

YEAR 2004-5 2005-6 2006-7 2007-8 2008-9

PAKISTAN'S EXPORT TO INDIA 288 293 343 255 320

INDIA'S EXPORT TO PAKISTAN 547 802 1235 1701 1914

TOTAL TRADE FLOWS 835 1109 1578 1956 2234

Direction of Trade Flows from India and Pakistan ______-_______________ TTTT

TO OTHER DEVELOPING COUNTRIES 4.5 17.5 12.5 12.0 27.4 23.8

TRADE FLOWS FROM INDIA PAKISTAN

WITHIN REGION 4.2 4.5

TO HIGH INCOME COUNTRIES 78.2 81.2 65.3 61.9

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PAKISTAN'S TRADE WITH INDIAN AND REST OF THE WORLD

1 201011 EXPORT'S TO INDIA PAKISTAN'S TOTAL EXPORTS PERCHANTAGES SHARE OF INDIA IMPORT'S FROM INDIA PAKISTAN'S TOTAL IMPORT'S PERCHANTAGE SHARE OF INDIA TRADE FROM INDIA PAKISTAN'S TOTAL TRADE PERCHANTAGE SHARE OF INDIA

U.S $ MILLIONS

450

20150

2.30%

3050

35747

8.50%

3234

50868

6.35%

SOURCE: FEDERAL BUREAU OF STASTICAS GOVERNMENT OF PAKISTAN

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INDIA TRADE WITH PAKISTAN AND THE REST OF THE WORLD

2010-11 U.S $ MILLIONS 2914 289000

EXPORT TO PAKISTAN INDIA TOTAL EXPORT PERCANTAGE SHARE OF PAKISTAN IMPORT FROM THE PAKISTAN INDIA TOTAL IMPORT PERCENTAGE SHARE OF PAKISTAN TRADE FROM PAKISTAN INDIA TOTAL TRADE PERCENTAGE SHARE OF PAKISTAN

1.05%

350 457600

0.20% 3050 646700

0.60%

SOURCE - ECONOMIC SERVEY OF INDIA

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Products of Eastman international company which they may export their product in pakistan
Bicycle Automobiles Herbal Products Building and constructions Dyes and chemicals Electronics Food and Beverages Hand and Machines tools Home Textile and Furniture Leather Products Medical Products Metals and Machines Paper and paper products Plant and Machines Plastic and plastic products Sporting goods Toys and games Textile and Yarn fabrics Cotton clothes Textile apparels Leather bags
45

So, The Eastman international company exports many kinds of pakistan countrie. there are different categaries of bicycles export. like kids bicycles,mens bicycles,girls bicycles,mountain bicycles,tricycles,electric bicycle,children tricycle,they all are pakistan countries acc to there demand.

bicycles in which are bikes,road export in

So,these all the products of Eastman international company like bicycles,art,andcrafts,automobile,computer,cosmetics,food and beverages,leather products,medical products,metals and minerals,natural stones,paper and paper products,plastic and plastic products,telecome products,fabrics,sporting goods,toys and games etc. In this way, Eastman international company also export their products in Pakistan country according their demands.so, they can achieve huge profits and high targets.

46

Export Potential of Eastman products in Pakistan:

Food and Beverages: Eastman can export 45% of Beverages to Pakistan in one year.

Textile, Yarn & Fabrics: Eastman can export 30% of Textiles, Yarn and Fabrics products to Pakistan in one year.

Leather products: Eastman has the potential to export upto 50% of leather products to Pakistan within one year.

Plastic & Plastic Products: Eastman has the potential to export upto 40% of Plastic & plastic products to Pakistan in one year.

Office & School Supplies: Eastman can export upto 20% of Office and school Supplies products to Pakistan in one year.

Gems & Jewelry: Eastman can export upto 35% of Gems & Jewely products to Pakistan in one year.

Printing & Publishing: Eastman can export upto 60% of Printing and Publishing products to Pakistan in one year.
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 Mechanical Components: Eastman can export upto 55% of Mechanical components to Pakistan in one year.

Industrial Supplies: Eastman can export upto 60% Industrial Supplies to Pakistan within one year.

Automobile: Eastman can export upto 65% of Automobiles to Pakistan within one year.

As Eastman is mainly engaged in the Export market and the company is growing at a very increasing rate so it can be in future will be able to export its products not only to Pakistan but also to other markets of the world.

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4Ps Of Marketing Mix for Pakistan

Product:
In order to export the products in Pakistan first of all, Eastman has to conduct a survey in Pakistan and find out the product requirements of people and based on these requirements Eastman has to produce and export different products.

Promotion:

To promote their products in Pakistan they have to follow proper promotional techniques through different tools like advertisements at all channels from time to time, must tell the benefits of the products in these advertisements.

Place: Eastman has to contact the retailers of Pakistan in order to sell

their products Pakistani retailers has to take the permission of Eastman to open up the stores of different brands and also has to create a warehouse to reduce the transportation cost.

Price: Eastman has to adopt the different pricing strategies to sell their
products in Pakistan and also to have their own margin profits. At the first they have to keep the prices lower, so that the customers can easily adopt the products, after that from time to time they can increase the prices.

49

Chapter 3
REVIEW OF LITERATURE

50

REVIEW OF LITERATURE
There have been numerous studies published in the past 30 years on the determinants of export performance (see Aaby and Slater, 1989; Bilkey, 1978; Chetty and Hamilton, 1993; Madsen, 1987). This large volume of publications is a strong testimony of not only the importance of the issue but also the legitimacy of inquiry into export marketing. As an area of inquiry, export marketing has been gaining increased recognition among academic disciplines as a legitimate field of research. This recognition is well reflected not only by the fact that exporting research has been published in the leading academic journals, such as the Journal of International Business Studies, Journal of Marketing, International Marketing Review, and Journal of International Marketing, but also by the sheer number of publications related to exporting. Its importance and legitimacy notwithstanding, the field of exporting inquiry is known for autonomous and unco-ordinated efforts (Aaby and Slater, 1989; Leonidou and Katsikeas, 1996). In particular, the knowledge of the determinants of export performance is still characterized by a fragmented collection of confusing findings (Aaby and Slater, 1989; Cavusgil and Zou, 1994). A major reason for the lack of clear conclusions regarding the determinants of export performance, in spite of the large volume of published studies, is the lack of synthesis and assimilation of the fragmented knowledge (Leonidou and Katsikeas, 1996). Aaby and Slater (1989) and Chetty and Hamilton (1993) represent excellent efforts to review and synthesize export Performance literature unfortunately, two weekness in these reviews limit their ability to draw concrete conclusions. First, they cover studies that deal with a variety of export dimensions which conceptually are broader than export performance, such as propensity to export, exporter/non-exporter dichotomy, and barriers to export. In order to avoid confusion, a more focused review on the determinants of export performance needs to be conducted. Second, both reviews are limited to management influences (i.e. firm characteristics, competencies, and strategy), leaving out the external environment. However, since external forces are recognized to affect export performance (Cavusgil and Zou, 1994), a review is not complete unless the external environment is included.

51

Given the fact that the literature concerning exporting has proliferated in the last ten years and that a number of different conceptualizations and methodologies have appeared in the literature, it is worthwhile to offer an updated review of what has been accomplished in the last decade and where future research efforts should be directed. The purpose of this paper is twofold: (1) to provide an updated review and synthesis of the empirical literature between 1987 and 1997 of the determinants of export performance; and (2) to discuss directions for future research aimed at developing better theories and advancing knowledge of export marketing. This review is intended to overcome the two weaknesses in previous reviews by focusing on export performance studies and by including both internal and external determinants of export performance. The article is organized into three sections: (1) description of the review methods; (2) presentation and discussion of the review results; and (3) discussion of future research directions in light of the findings.

Scope of the review

This review is focused on the empirical literature concerning the determinants of export performance published between 1987 and 1997. The goal is to trace the new developments in the last decade and identify trends in export performance research. Publications before 1987 are not included, as Madsen (1987) and Aaby and Slater (1989) have offered valuable reviews of those pieces. There are three major criteria used in selecting the articles for review. First, the articles have to be empirical in nature, reporting data analysis and statistical tests. Second, the articles have to use some kind of export performance measures as dependent variables. Third, the articles must be cross-sectional in nature. Case studies are not included.

52

Identification of studies
The studies included in this review were identified by a systematic process that combines electronic means with manual search. The electronic search wasconducted by using the ABI/INFO database and by searching the Internet resources, including the MCB University Press database. This method has the advantage of efficiently generating a large number of articles which contain the key search words and which are published in a wide variety of journals. Examples of the key words include terms such as export, exporting, export performance, export sales, export profits, export growth, export success, and satisfaction with export. The manual search, on the other hand, was directed at sorting through the articles published in major marketing and international business journals, tracking down those articles listed in the references of major export performance studies, and searching the books on exporting. In particular, the bibliography of Chetty and Hamilton (1993), Leonidou and Katsikeas (1996), and articles published in the Advances in International Marketing provided a good starting point. The manual search helped identify articles which treat export performance as a secondary issue and are, therefore, less likely to be identified through electronic means. Based on the three criteria, the search yielded 50 articles. Compared to Madsen (1987) who offered a similar review on 17 articles published between 1967 and 1987, the number of studies reviewed here is significantly higher. The identified articles come from some of the most popular journals in marketing and international business, including the Journal of International Business Studies, Journal of Marketing, International Marketing Review, Journal of International Marketing, Journal of Business Research, Management International Review, and Journal of Global Marketing, among others. Like other reviews of export performance, the current review is limited by its inclusion of only English-language publications. Non-English publications have been difficult to access. Nonetheless, it should be recognized that valuable contributions to the exporting literature have been made in non-English publications (e.g. the European schools). Researchers with language capability are urged to
53

follow the example of Da Rocha and Christensen (1994) whose review of Brazilian studies on exporting represents a good effort to integrate knowledge developed in Portuguese into the mainstream English literature.

Results of the review

General assessment of the reviewed studies Table I summarizes the 50 studies reviewed in this paper. This summary table provides information about each study in terms of the country (or countries) of investigation, size of the sample, industry context of the study, type of firms targeted, data collection method, whether an explicit theoretical basis is followed, whether hypotheses are explicitly advanced, analytical approach(es), unit of analysis, measures of export performance, and independent factors investigated. In the following, each of these attributes is assessed: Country (or countries) of investigation. While the USA remained as the most researched country in export performance studies, compared to earlier periods as reported by Aaby and Slater (1989) and Chetty and Hamilton (1993), an increasing number of export performance studies have been conducted in many other countries. Out of the 50 studies reviewed here, 26 studies were conducted outside the USA or involved non-US data. An important contribution has been made by European researchers from non-English-speaking countries who conducted studies in the contexts of their home countries and published in English-language journals: researchers such as Bijmolt and Zwart (1994), Holzmuller and Kasper (1991) and Madsen (1989). In addition to European countries, developing countries in Asia and Latin America have also been studied. This is a clear indication that export performance research has gained recognition around the world. It can be expected that this trend will help enrich the knowledge of the determinants of export performance.

54

Chapter 4

55

OBJECTIVES:
To study the Competitors Products which they export to Pakistan. To Study the market potential for providing the services related with import and export to the customers. To Study the customers needs and aspirations in Pakistan. To study the export Documentation Procedure.

56

Chapter 5
RESEARCH METHODOLOGY

57

Research Methodology
Research Research is a procedure of logical and systematic application of the fundamentals of science to the general and overall questions of a study and scientific technique, which provide precise tools, specific procedures, and technical rather philosophical means for getting and ordering the data prior to their logical analysis and manipulation different type of research designs is available depending upon the nature of research project, availability of manpower and circumstances. 1. Research Design Research design is an arrangement of condition and analysis of data in a manner that aims to combine relevance to the research purpose with economy on procedure. The research problem having been formulated in clear-cut term helps the researcher to prepare a research design. The preparation of such a design facilitates in conducting it in an efficient manner as possible. It is a blue print for the fulfillment of objectives and answering questions.

2. Data collection and analysis There are two type of data sources. There are: 3.a Primary data: The primary data is obtained or collected from the respondents with the help if widely used andwell-know method of survey, through a well-structured questionnaire & personal interview

3.b Secondary data: Secondary data is published data. Secondary data is collected from Dealers, Magazines, Record, Internet Report, Document, Web sites.
58

The primary data and secondary data will be studied and analyzed appropriately and interpreted to extract certain fact. Whenever necessary tools and financial tools like tabulation, graphs will be used to present the finding effectively. Descriptive research Descriptive research includes surveys, facts, finding and inquiries of different kinds. The major purpose of descriptive research is description of the state of affairs as it exists at present. Descriptive research is that kind of research where the researcher has no control over the variables. Reporter can only report what has happened or what is going to happen. But these incidents cannot be changed by the researcher. In social science and business research is Descriptive research.

59

Chapter 6
FINDINGS

60

Findings
Eastman has the potential to export wide variety of products to Pakistan in future. Eastman has to send its team to Pakistan for Survey to find out the need of different products in Pakistan. Based on that Survey the team has to prepare the report.

61

Chapter 7
LIMITATIONS

62

LIMITATIONS
Although the study was carried out with extreme enthusiasm and careful planning yet there are several limitations, which handicapped the research. 1. The time stipulated for the project to be completed is less and thus there are chances that some information might have been left out, however, due care is taken to include all the relevant information needed. 2. Due to time constraints, the sample size was relatively small and would definitely have been more representative if I had collected information from more respondents. 3. It is difficult to know whether all the respondents have given accurate information. The accuracy of the result is also limited by the reliability of tools of investigation and data-analysis. 4. The scope of the study was within PUNJAB. 5 .It was difficult to convince the respondents as they were busy in their schedule and collection of data was very difficult. Therefore, the study had to be carried out based on the availability of respondents and the possibility of sample error cannot be ruled out. 6 .The attitude and behavior of the respondents may be one of the limitations because no one can judge the psychology of respondents.

63

Chapter 8
SUGGESTIONS

64

SUGGESTIONS
.1.Pakistan imports 50% of agricultural products form India.

2. Pakistan imports 45% of drugs from US.

3. Pakistan imports 30% of Birds, Animals and reptiles from Afghanistan.

4. Pakistan imports 65% of the Crude oil from US.

65

Chapter 9
CONCLUSION

66

Conclusion
The conclusion is that all the products of Eastman international company like bicycles, art and crafts, automobile, computer,cosmetics,food and beverages, leather products, medical products,metals and minerals,natural stones,paper and paper products,plastic and plastic products,telecome products,fabrics,sporting goods,toys and games etc. In this way, Eastman international company may export their products in Pakistan country according their demands.so, they can achieve huge profits and high targets and so we can see that they have more potential for exporting their product in Pakistan So, As Eastman is mainly engaged in the Export market and the company is growing at a very increasing rate so it can be in future will be able to export its products not only to Pakistan but also to other markets of the world.

67

Chapter 10
BIBLIOGRAPHY

68

BIBLIOGRAPHY
Web Pages:

www.google.com

www.scribd.com

www.yahoo.com

www.multiprojects.com

www.wikipedia.coom.

69