Test: International Business- Case Based Type Questions - Commerce MCQ

2. Franchising: A franchise (or franchising) is a method of distributing products or services involving a franchisor, who establishes the brand's trademark or trade name and a business system, and a franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system.

3. Licensing: A business arrangement in which one company gives another company permission to manufacture its product for a specified payment. There are few faster or more profitable ways to grow your business than by licensing patents, trademarks, copyrights, designs, and other intellectual property to others.

4. Invisible trade: An invisible trade is an international transaction that does not include an exchange of tangible goods. Customer service outsourcing, overseas banking transactions, and the medical tourism industry all are examples of invisible trade.

1. Proforma Invoice: A proforma invoice is a preliminary bill or estimated invoice which is used to request payment from the committed buyer for goods or services before they are supplied. A proforma invoice includes a description of the goods, the total payable amount and other details about the transaction.

2. Shipping Bill: A shipping bill can be filed after the particular vessel/ship, etc., is granted with entry outwards that allows it to move out of the country. Once the bill is submitted, it is physically verified and the value of the goods intended for export are assessed by the customs authorities.

3. Export invoice: An export invoice is really an umbrella term that encompasses exporting forms like the Commercial Invoice and the Proforma Invoice forms that indicate the buyer and seller of the goods, a description of the items, the items' value, and the terms or proposed terms of the sale.

4. Certificate of origin: A Certificate of Origin is a certificate that is used to identify the country of manufacturing of any goods or commodity. The Certificate of Origin carries many other points of information such as what the product is, its destination and the countries of export.

2. Inspection Certificate: An inspection certificate indicates that the goods in the shipment have been inspected by a competent authority and certified that they conform to the terms stated on the sales contract.

3. Railway receipt: Railway receipt is a document which is issued by the railways for goods accepted by it from the consignor for sending the goods from one station to another. Railway receipt contains information about date and place of booking of goods, destination place name of consignor and consignee, description of goods, etc.

4. Excise Clearance: As soon as goods are ready for despatch to the port of shipment, exporter has to apply to the central excise authority for excise clearance of the cargo. The exporter has, now an option to remove the goods with inspection by the central excise or remove the goods without inspection.

2. Procurement of import license: Import licensing can be defined as administrative procedures requiring the submission of an application or other documentation (other than those required for customs purposes) to the relevant administrative body as a prior condition for importation of goods.

3. Bill of entry: A bill of entry is a legal document that is filed by importers or customs clearance agents on or before the arrival of imported goods. It's submitted to the Customs department as a part of the customs clearance procedure. Once this is done, the importer will be able to claim ITC on the goods.

4. Dock Challan: The importer specifies the amount of dock dues in j a form known as dock challan.

2. Bill of Lading: A bill of lading (BL or BoL) is a legal document issued by a carrier to a shipper that details the type, quantity, and destination of the goods being carried. A bill of lading also serves as a shipment receipt when the carrier delivers the goods at a predetermined destination.

3. Shipment Advice: A notice sent to a local or foreign buyer advising that shipment has gone forward and containing details of packing, routing, etc. A copy of the invoice is often enclosed and, if desired, a copy of the bill of lading.

2. Importing: Importing goods means bringing in something from another country and it passes through the customs clearance process on arrival. Import trade is regulated by customs authorities. They control the flow of goods and are responsible for collecting duties and taxes.

3. World Trade Organization: The World Trade Organization (WTO) is the only global international organization dealing with the rules of trade between nations. At its heart are the WTO agreements, negotiated and signed by the bulk of the world's trading nations and ratified in their parliaments.

4. DGFT: Directorate General of Foreign Trade (DGFT), formerly known as the Chief Controller of Imports and Exports (CCI&E), is India's official administrating body for imports and exports. It is an attached office of the Department of Ministry and Commerce and is headquartered in New Delhi.

2. Marine Insurance Policy: Marine Insurance is a type of insurance policy that provides coverage against any damage/loss caused to cargo vessels, ships, terminals, etc. in which the goods are transported from one point of origin to another.

3. Bank Certificate of Payment: It is a certificate issued by the negotiating bank to the exporter that the bill covering the shipment has been negotiated through it and export proceeds have been received from the importer. The certificate indicates the details of the merchandise exported.

4. Dock Challan: The importer specifies the amount of dock dues in j a form known as dock challan.