6. Failure to understand Intellectual Property Rights (IPR).

Intellectual property rights refer to the legal system that protects patents, trademarks, copyrights, trade secrets. It is important for exporters to understand how and whether intellectual property rights are protected in different countries.

7. Insufficient attention to marketing and advertising requirements.

Key considerations include

Trade Shows and Trade Missions: Trade shows and missions may be in the virtual form or entail traveling to the foreign country. All Department of Commerce-sponsored shows and trade missions are listed in the Export Promotion Calendar, available on the TIC Web site; the NTDB or by mail from a TIC trade specialist. Information is also usually posted on the Internet pages for industry offices accessible from the International Trade

Advertising: Exporters can advertise U.S.-made products or services in Commercial News USA, a catalog-magazine published 10 times a year to promote U.S. products and services in overseas markets. Commercial News USA is disseminated to business readers worldwide via U.S. embassies and consulates and international electronic bulletin boards, and selected portions are also reprinted in certain newsletters.

U.S. Pavilions: About eighty to one hundred worldwide trade fairs are selected annually by the Commerce Department for recruitment of a USA pavilion. Selection priority is given to events in viable markets that are suitable for new-to-export or new-to-market, "export ready" firms.

8. Lack of attention to product adaptation and preparation needs

The selection and preparation of a firm’s product for export requires not only knowledge of the product, but also knowledge of the unique characteristics of each market being targeted. Key considerations include

Product Adaptation to standards requirements: As tariff barriers (tariffs, duties, and quotas) are eliminated around the world in accordance with the requirements of participation in the World Trade Organization (WTO), other non-tariff barriers, such as product standards, are proliferating. Exporters must understand conformity requirements to operate on an international basis. The DOC’s National Center for Standards and Certification Information (NCSCI) provides information on U.S. and foreign conformity assessment procedures and standards for non-agricultural products. You can visit their Web site by going to ts.nist.gov.

Product Engineering and Redesign: The factors that may necessitate re-engineering or redesign of U.S. products may include differences in electrical and measurement systems.

Branding, Labeling and Packaging: Cultural considerations and customs may influence branding, labeling and package considerations.

Are certain colors used on labels and packages attractive or offensive?

Do labels have to be in the local language?

Must each item be labeled individually?

Must each item be labeled individually?

Are name brands important?

Installation: Another important element of product preparation is to ensure that the product can be easily installed in the foreign location. Importers and exporters need to know they may also consider providing training or providing manuals that have been translated into the local language along with the product.

Warranties: In order to compete with competitors in the market, firms may have to include warranties on their products.

Servicing: The service that U.S. companies provide for their products is of concern to foreign consumers. Foreign consumers want to know whether they can access spare parts, technicians who can service the product, and distributors of the products in their countries.

9. Failure to obtain legal advice

While it is virtually impossible for any firm, no matter how big or small, to know all of the laws that pertain to exporting from the U.S., as well as the relevant laws of other countries, there are measures that can be taken by firms in the planning process to minimize the probability that they will make unnecessary errors that have grave legal consequences. Some of the measures that can be taken in the planning process are

Utilize SBA’s ELAN service: Under the Export Legal Assistance Network (ELAN), your local SBA office can arrange a free initial consultation with an attorney to discuss international trade questions.

10. Failure to understand export licensing requirements.

Businesses that are new to the export arena may confuse the local and state rules regarding business taxes, zoning and other issues, i.e., legal registrations, with the federal requirements governing export licenses. In order to export an item that may be on the restricted list, an export license is required. This allows the federal government to control the export of the goods. The license is not required for every item exported.

The U.S. Department of Commerce Bureau of Export Administration (BXA) is the primary licensing agency for dual-use exports (commercial items that could have military applications). The first step in determining your license requirements is to classify your product using the Commerce Control List (CCL). Once the product’s classification is determined, the following five questions will determine your obligations under the EAR:

What is the item you intend to export or re-export?

Where is it going?

Who will receive it?

What will they do with it?

What are the recipient's other activities?