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Price Categories Used In Foreign Trade Transactions In The Light Of The Delivery Terms Incoterms 2010

Author

Listed:
  • Lucia Popa-Paliu

    (Constantin Brancusi University, Romania)

  • Babucea Ana - Gabriela

    (Constantin Brancusi University, Romania)

Abstract

On the international markets of goods, pricing is usually done by the confrontation between supply and demand, under pressure from global competition; such pricing is influenced by many other factors that reflect the structural crisis phenomena triggered in the world economy, or factors specific to different groups of goods. After negotiation, the contracting parties should obtain the best price, taking into account the circumstantial situation of the world market upon the transaction, the quality and the technical and functional parameters of the goods subject to negotiations, comparable to those of the competition, the delivery terms and the payment method. From this perspective, we believe that the provision of substantiated external prices makes it easier to obtain maximum benefits and achieve the trade with foreign countries under the best terms. Because the external price is an essential element of the agreement of international sale of goods that contributes substantially to the profitability of an entity, we will deal below with the main categories of prices used in foreign trade activities, both in intra-Community and international transactions, taking into account the models for calculating the external price, compared to the delivery terms Incoterms 2010.

Suggested Citation

  • Lucia Popa-Paliu & Babucea Ana - Gabriela, 2011. "Price Categories Used In Foreign Trade Transactions In The Light Of The Delivery Terms Incoterms 2010," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 155-164, December.
    • Handle: RePEc:cbu:jrnlec:y:2011:v:4:p:155-164
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    References listed on IDEAS

    as
    1. Violeta Isai & Riana Iren Radu, 2005. "Importance of Delivery Conditions in the External Price Calculation," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 1, pages 53-58, JUNE.
    2. Roberto Bergami, 2012. "Incoterms 2010: The Newest Revision of Delivery Terms," Acta Universitatis Bohemiae Meridionales, University of South Bohemia in Ceske Budejovice, vol. 15(2), pages 33-40.
    3. Paliu-Popa, Lucia, 2009. "Price Categories Used in International Trade," MPRA Paper 18566, University Library of Munich, Germany.
    4. Paliu-Popa, Lucia, 2008. "Considerations Regarding the Conditions for the Delivery of Goods in Foreign Trade," MPRA Paper 18571, University Library of Munich, Germany.
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