M.B.A. II (Semester III) (New CBCS) Examination, 2018
Group C International Busines
Paper XX Export Policy, Procedure and Documents (Paper II)
Day and Date Wednesday, 19-12-2018 Total Marks 70
Time 10.30 a.m. to 1.00 p.m.
Instructions All questions are compulsory.
All questions carry equal marks.
1. Choose the right option for following 14
In export management FOB stands for
Free on Board Freight on Board
Force of Border First on Board
IEC code number is issued by
DGFT EPC RBI World Bank
Commercial invoice is the document related to
Transportation Payment
Importer and
CIF stands for
Cost, Insurance and Freight Carry, Import and Freight
Carry, Insurance and Freight Cost, Import and Freight
RCMC certificate issued by
DGFT FEMA EPC FERA
BIN from the DGFT issued based on
IEC PAN Aadhar Birth date
means transfer from one conveyance to another.
Import Export
Transportation Transshipment
Debt recovery comes under services.
ECGC FDI EPC RBI
Exchange fluctuations risk cover under
Insurance ECGC APEDA MPEDA
10) The validity period of zero duty EPCG authorization is months.
9 36 12 24
11) duty EPCG authorization is month validity.
18 12 36 06
12) an instrument to establish evidences an origin of products
imported in any country.
Certificate of origin Export license
Import license IEC code
13) Free Trade Agreement between India and Sri lanka was signed on

20 Dec. 1996 20 Dec. 1997
20 Dec. 1998 20 Dec. 1998
14) A bank account with bank authorized to deal in foreign exchange
helps the export.
Commercial bank Co-operative bank
Reserve bank Any bank
2. Write a short note on
ECGC
INCO terms.
3. Write a short answer on following
State in brief the various functions of export management.
What are the different foreign entry strategies
4. State the term export and describe in brief the export documents.
OR
4. State the term export and explain in brief various steps in export procedure.
5. Case study
Andrea Illy is CEO of the global premium coffee company that bears his
family's name. As one might expect, he is passionate about coffee its science,
its health benefits, its taste, its beauty. Illy also has a dream that someday
soon the coffee market might be transformed into something approaching the
market for wine. Where connoisseurs discuss the fine points of various origin
coffees and blends, where customers are willing to pay a premium for the
finest examples of the coffee-making art and where the growers, roasters and
baristas will be compensated fairly for the expertise they contribute to every cup.
Unfortunately, the current coffee market differs from such an ideal. Coffee
growers in most parts of the globe work at a barely subsistence level. One bad
harvest (made all the more likely by the ravages of climate change) or a sudden
decline in the commodity price of coffee can drop them below subsistence
to hunger. Even in good times, growers have little incentive to improve their
operation they have minor contact with the roasters or customers and no
knowledge of how their crops get translated into the cup. This disadvantages
not only the grower but also the consumer coffee sourced from good quality
beans is hard to find.
Roasters and preparers will educate their customers as to the qualities of
various beans, roasts and preparations. Customers, in turn, will be willing to
pay more for the best beans and that premium will be sent back up the chain
to pay for even more quality and variety. And so on.
Certainly there have been some positive signs. Indeed, many observers argued
that a "third-wave" of transformation in the coffee market was already starting.
(The first wave is said to have occurred when Maxwell House and Folgers
made coffee a mass commodity, the second wave when Starbucks initiated
a move to quality and higher prices.) Specialty coffee roasters had worked to
build cafes and brands around origin-based beans sold directly to the roasters
without reference to the commodity prices of coffee. With these third-wave
roasters, every coffee came with a story of its origins and growers could count
on occasionally eye-popping premiums for their beans.
As yet, specially coffee represented a small sliver of the overall market and
there were other signs that it might not ever grow beyond a small circle. New
trends like coffee-based drinks and single-portion coffee in pods (e.g. K-cups,
Set P
SLR-CL 42 *SLRCL42*
Nespresso) actually shifted more of the value-added towards roasters without
a premium for growers. A consolidation was taking place among mass roasters
that was even sweeping-up third-wave roasters in its wake. Observers argued
that could lead to greater uniformity with even less emphasis on origin-based,
direct-traded coffee.
Illy's hope is that someone would come up with an innovation that would
solidify the beginnings of the third wave and help reshape the market. Such a
change would not necessarily have to involve Illycaffè; Andrea Illy believes as
the world's premium brand, an increased emphasis on quality in the market
would only help his company. The most important thing was to make the coffee
supply chain more equitable and coffee better-tasting.