*Course Description* 

This course introduces students to the principles and practices of foreign trade, focusing on global business operations, trade regulations, logistics, and risk management. Students will analyse international trade theories, trade agreements, export-import documentation, and cross-cultural negotiation strategies. Practical skills in trade finance, digital tools, and market entry strategies will be emphasized.

 

*Learning Objectives* 

By the end of the course, students will: 

1. Understand the global trade environment and key institutions (WTO, IMF, World Bank). 

2. Analyse international trade theories, policies, and regulations. 

3. Apply Incoterms® 2020 and manage export-import documentation. 

4. Evaluate risks in foreign trade (currency, political, credit) and mitigation strategies. 

5. Develop market entry strategies for international markets. 

6. Negotiate effectively in cross-cultural business settings. 

 

*Course Modules* 

*Week 1–2: Introduction to Foreign Trade* 

- Globalization and its impact on trade. 

- Key players: WTO, IMF, World Bank, regional trade blocs (EU, ASEAN, USMCA). 

- Historical evolution of international trade. 

 

*Week 3–4: International Trade Theories and Policies* 

- Absolute/comparative advantage, Heckscher-Ohlin model, Porter’s Diamond. 

- Trade barriers: tariffs, quotas, subsidies. 

- Case Study: U.S.-China trade war. 

 

*Week 5: Global Economic Environment* 

- Exchange rates, balance of payments, and trade deficits. 

- Role of central banks and trade financing institutions. 

 

*Week 6: International Trade Law* 

- Contracts, CISG (UN Convention on Contracts for International Sale of Goods). 

- Dispute resolution (arbitration, litigation). 

 

*Week 7: Export-Import Documentation* 

- Commercial invoices, bills of lading, certificates of origin. 

- Customs clearance and compliance. 

 

*Week 8: Incoterms® 2020* 

- Responsibilities of buyers/sellers under FOB, CIF, EXW, DDP. 

- Practical workshop: Selecting Incoterms for case scenarios. 

 

*Week 9: International Logistics* 

- Modes of transport (air, sea, rail). 

- Supply chain management and sustainability in trade. 

 

*Week 10: Trade Finance* 

- Letters of credit, documentary collections, trade credit insurance. 

- Simulation: Structuring a letter of credit. 

 

*Week 11: Risk Management* 

- Hedging currency risks, political risk insurance. 

- Case Study: Managing risks in emerging markets. 

 

*Week 12: Market Entry Strategies* 

- Exporting, licensing, joint ventures, FDI. 

- Group Project: Market entry plan for a chosen country. 

 

*Week 13: Cross-Cultural Negotiations* 

- Hofstede’s cultural dimensions. 

- Role-play: Negotiating a trade deal across cultures. 

 

*Week 14: Digital Tools in Foreign Trade* 

- E-commerce platforms (Alibaba, Amazon Global). 

- Blockchain for supply chain transparency. 

 

 

*Assessment Methods* 

1. *Participation & Case Studies (20%) *: Active discussion and analysis of real-world trade scenarios. 

2. *Midterm Exam (25%) *: Covers trade theories, policies, and documentation. 

3. *Group Project (30%) *: Develop and present a market entry strategy. 

4. *Final Exam (25%) *: Comprehensive exam on course content. 

 

*Required Textbooks* 

1. International Business: Competing in the Global Marketplace by Charles W. L. Hill. 

2. Incoterms® 2020: ICC Official Rules for International Trade. 

 

*Additional Resources* 

- *WTO Reports* (World Trade Organization). 

- *GlobalTrade.net*: Online resource for trade professionals. 

- *Trade Map*: Data on export-import statistics. 

 

*Course Policies* 

- *Late Assignments*: 10% penalty per day. 

- *Academic Integrity*: Zero tolerance for plagiarism. 

- *Attendance*: Mandatory for workshops and group activities.