Sell Your Hardware Product Internationally
Juan Ramon Zarco is the Managing Director of Magellan International (http://magellaninternational.webstarts.com/). You can see more content here on Docstoc.
In the context of selling your products internationally, not thinking of hard work, you have to consider it as a different category, from my experience. And within that category of hard work, you break down if they’re technologically oriented, like a switch or computer or any kind of, let’s say, a smart device, or let’s say, a traditional product, could be furniture or bed or any kind of other design.
And those two different categories are very important because when you look at technology, certain countries, especially when they have their own, say, manufacturing capability in the same space, say, switching operations like in China, you get exposed to a higher excise taxes, higher import taxes, and therefore discourages you to compete with the local manufacturer.
Where if you’re selling, say, a traditional product, you could be encountering that, which is value added taxes, which is the traditional international taxation format and other import taxes with some different category.
So therefore, I think it’s important to think progressively as to what is it that you’re selling over there and be exposed to the idea that it can be hit with such a high additional charge that it will become less competitive in that country you’re selling your product.
Is your product a technological or traditional product?
A technological product will have higher taxation.
A traditional product will have VAT & other import taxes, but it is a different category.
Be exposed to the idea that you can be hit with an additional charge that it will become less competitive.