International Trade Transactions Research Articles

Addressing Counterfeiting and Fraud Concerns in Healthcare Packaging and Labeling with Blockchain: Opportunities and Challenges

Blockchain technology (BT), originally developed to facilitate secure digital monetary transactions, has recently gained significant traction in various healthcare sectors. Characterized by the exponential growth of sensitive data, the healthcare sector is poised to witness the emergence of BT. This emergence is primarily driven by the pressing need to globally expose, protect against threats, ensure confidentiality, and establish traceability for the plethora of sensitive data continuously generated by the healthcare industry. The healthcare supply chain focuses on traceability due to the prevalence of counterfeit and recalled drugs. Managing operational constraints such as temperature, humidity, and air quality within specified parameters is paramount. The various processes involved in international trade transactions contribute to the creation of numerous records, each of which is meticulously entered into the systems of the companies involved. Therefore, the problem set for this study was: What are the challenges and prospects for BT in the healthcare sector? To answer this question, the following objective was set: describe and examine the challenges and prospects of BT in the healthcare sector. In addition, a key research objective was to identify specific applications and use cases that can benefit the most from this technological advancement. In line with the research objective, a systematic review of all studies BT for traceability, anti-counterfeiting, and fraud detection was conducted from January 2023 to September 2023. Using robust tools such as VosViewer, we used bibliometric metrics from the renowned medical repository PubMed to construct and visually represent data analysis networks. BT shows remarkable potential to improve traceability and optimize supply chain management within healthcare organizations. The study includes a deep analysis of blockchain capabilities, including smart contracts, identity management, access control, and zero-knowledge proofing.

Investigation related to database design for letter of credit

The "Letter of Credit" is a fundamental payment mechanism in global trade, and its efficiency has significantly declined due to the impact of the COVID-19 pandemic. This document delves deeply into the development and execution of a comprehensive database for managing Letters of Credit (L/Cs). It is designed with a real-world case study derived from the International Settlement Department of the Bank of China. The central goal of this database is to enhance the efficient management and simplification of the complex procedures inherent in L/C transactions. The development process follows a systematic approach, commencing with the establishment of three fundamental assumptions to delineate the scope of the study. Subsequently, the database design progresses through stages involving Entity-Relationship Diagram (ERD) development, relational model construction, and normalization procedures. These steps collectively culminate in the creation of an intelligently structured database comprising thirteen distinct tables. In conclusion, this paper not only delves into the design and implementation of the L/C database but also showcases its practicality through real-world scenarios. The database, fueled by meticulous design and thoughtful implementation, is poised to revolutionize the management of L/C operations, offering enhanced efficiency and accuracy in international trade transactions.

Legal Protection of Creditors Against Letters of Undertaking as Additional Agreements

This research aims to learn about the Legal Protection of Creditors Against Letters of Undertaking as Additional Agreements. The research method is normative juridical, using deductive thinking and library data collection. One of them is using the Legal Protection Theory to examine problems in LoUs between debtors and creditors so that debtors commit themselves to fulfilling obligations so that they get their rights by bank rules and applicable laws and regulations in the event of payment failure or default with the conclusion of preventive and repressive measures. This research found that a Letter of Undertaking (LoU) is part of an additional agreement or accessory and an alternative third-party guarantee in the form of a statement of the promissory note to fulfil an obligation made by the Debtor. In this modern and rapidly developing era, LoUs are born as credit guarantees or financing in various fields of construction projects, infrastructure projects, and tender bonds, which are used to facilitate business to help smooth national and international trade transactions.

Transparency and trust in cargo claims: microenterprises selling internationally on a peer-to-peer platform

PurposeThe purpose of this study is to determine the factors that impact the trust of microenterprises in online selling platforms and cargo carriers and examine the consequences of a lack of trust.Design/methodology/approachThis study adopts a qualitative exploratory approach and uses grounded theory to generate insights based on interviews with 27 microenterprise owners selling internationally on an online selling platform.FindingsThe results show that a lack of competence, an absence of an integrated claim system and a lack of transparency are the main factors affecting sellers’ trust in online selling platforms. The relationship between the sellers’ intention to continue to use the online selling platform and their trust in the platform was found to be moderated by switching costs.Research limitations/implicationsThis study is limited in that the results were mainly based on the sellers’ perspectives although the phenomenon of interest involves various actors. To mitigate this limitation and cross-check the data, the customer reviews and some of the sellers’ account statistics were also analyzed.Practical implicationsThis study introduces the sellers’ perspectives on the dynamics of supply chain management in international micro trade. These dynamics provide a guideline for how to build and manage an online selling platform targeting microenterprises.Originality/valueUnlike previous studies, this study examines online transaction behaviors from the standpoint of sellers, not buyers. Moreover, it is the first study examining the damaged or lost shipments within the context of online transactions in international micro trade.

OPTIMALISASI E-CONTRACT (KONTRAK ELEKTRONIK) DALAM PERDAGANGAN INTERNASIONAL DITINJAU DARI PERSPEKTIF HUKUM POSITIF INDONESIA

This study is to analyze the validity of electronic contracts in transactions in international trade in terms of positive law in Indonesia. This study is based on the results of a descriptive normative legal study using a legal approach. Types and sources of legal materials used are secondary data. The results of the study show that the validity of electronic contracts in e-commerce transactions with the payment method must meet the provisions of Article 1320 of the Civil Code regarding the terms of the validity of the agreement. In e-commerce transactions to conduct international trade, the terms of validity in Article 1320 of the Civil Code are very difficult to fulfill, so contracts born in e-commerce transactions with payment methods via are invalid and can canceled through a court decision if the parties or one of the parties so wish, but if the parties do not ask for cancellation then the contract remains valid and binding on the parties involved. The responsibilities of each party involved in this transaction, namely the seller, the buyer, the payment system operator, and the expeditionary party, must be viewed in terms of the obligations of each party and also in terms of the loss caused by the fault of the parties involved.

Organize Sanayi Bölgelerindeki Dış Ticaret Sorunlarının Tespiti ve Çözüm Önerileri: Şanlıurfa (OSB) Örneği

Recently, the importance of international trade activities is at a considerable level. Especially the economic competition between the countries brought by globalization has made this even more important. Organized Industrial Zones established by countries to accelerate commercial activities are also an important part of this process. Moreover, most of the companies located in Organized Industrial Zones (OIZ) are engaged in international trade activities intensively. In particular, states have begun to understand much better that they need to develop their foreign trade potential in order to achieve their growth targets in the current global century. For this reason, both companies and governments attach importance to the spread of international trade transactions of all companies, especially throughout the country. They sometimes use local government resources to support international trade companies by supporting them with incentives. However, knowing all this importance, it is inevitable for companies to encounter some problems due to the nature of trade while doing foreign trade. In this study, in order to determine the problems faced by the companies in the field of foreign trade, a questionnaire consisting of questions was applied to 44 companies among the foreign trade companies located in the Şanlıurfa organized industrial zone. By analyzing the data obtained as a result of the survey, the problems experienced by the companies in Şanlıurfa OIZ in foreign trade were tried to be determined. In addition, it was tried to learn what the biggest problem might be with the only question asked to the companies verbally. In this question, the answers given to the other questions were analyzed together and the identified problems were included in the study. According to the data obtained as a result of the analysis, the most important problems faced by the relevant companies are; It is expressed as the inability to find qualified personnel, instability in the economy, high exchange rates, and the constant increase in costs. At least, the importance of market research and the problems related to fairs were expressed.

Party Autonomy in the choice of law: some insights from Brazil

For nearly seventy years, the Brazilian private international law system has remained unchanged, while many other countries around the world have enacted new legislation in this field. Despite the significant involvement of Brazilian companies in the global market, the Brazilian legal system has shown resistance to accepting party autonomy in the choice of law. In light of this situation, the aim of this paper is to examine the existing divergence of opinions regarding the principle of party autonomy in Brazilian private international law. The focus will be on understanding the different perspectives regarding the scope of party autonomy in the absence of explicit legislative provisions. The specific objective is to assess whether the current Brazilian legislation, doctrine, and jurisprudence pertaining to international contracts offer adequate solutions to the challenges faced in international trade transactions, such as the possibility of using an arbitration clause as an escape valve for the inflexibility of the system.

Illicit capital movement through trade misinvoicing in Burundi: a disaggregated approach

PurposeThis study aims to examine the illicit capital movement through trade misinvoicing in Burundi, at disaggregated levels by major trading partners and by major export and import commodities.Design/methodology/approachTrade misinvoicing is estimated by comparing the trade values declared by Burundi with those declared by trading partners in a bilateral international transaction, after adjusting for the cost of freight and insurance. Disaggregated trade misinvoicing by major trading partners is computed using the Direction of Trade Statistics database of the International Monetary Fund over the period 1970–2019. Disaggregated trade misinvoicing by major trading commodities is computed using the UN-COMTRADE database over the period 1993–2019.FindingsExports of Burundi to most of its major trading partners are found to be underinvoiced. The top destinations for export underinvoicing are United Arab Emirates, Belgium and Germany. However, exports to UK and Switzerland are found to be overinvoiced. The major export commodities considered, coffee and gold, are found to be affected by trade misinvoicing to a great extent. On the import side, the estimation results indicate that imports of Burundi from its major trading partners are in general overinvoiced. High import overinvoicing is observed in the trade with Saudi Arabia, China and Japan. At commodity level, for the top 6 commodities considered, imports were to a great extent found to be overinvoiced. Cases of illicit capital outflows and inflows through trade misinvoicing are highlighted.Practical implicationsSome policy implications are drawn from this study. First, in collaboration with its development partners, the Government of Burundi should put in place measures to reduce the trade misinvoicing phenomenon, which undermines poverty reduction efforts. The study has shown which trade partners are involved and which commodities are mostly affected. Policy efforts could then be focused in that regard. Investigations at the company and transaction levels can be made to identify the mechanisms of trade misinvoicing. Second, more effort is needed in ensuring systematic and transparent reporting of international trade transactions. To fight trade misinvoicing, transparency in international trade is key, through coordinated enforcement of reporting rules.Originality/valuePrevious studies analyzed the problem of trade misinvoicing at an aggregated level. However, this leaves out essential information on trading partners involved in the phenomenon as well as trading commodities affected. This study investigates trade misinvoicing at disaggregated levels, at product level and by trading partner.

The Upgraded Complex of Payment Methods Following Expansion of Contract Manufacturing in International Trade

The problem of payment for goods in international trade is associated with the risk experienced by both the seller and the buyer. Various scholars have been conducting research in this area for five decades, and the business literature and literature for university students include a complex of methods in which payers operate in international trade transactions. On one side of the block-shape complex, it is customary to display the payment methods that pose the greatest risk to an exporter, and on the other side of the block-shape complex, the methods that pose the least risk to an exporter. The same methods, in reverse order, have the lowest risk for an exporter on the first side of the block-shape complex and the highest risk for an importer on the right side of the block-shape complex. In principle, such a block-shape complex is represented by many authors by stylizing graphically and describing the advantages and disadvantages of each method. According to the classic block-shape complex, the lowest risk for an exporter is to receive money in advance, the higher risk is to sell under a letter of credit - a letter of credit, the medium risk is to sell under the documentary collection method, and the highest risk is for the open account method and consignment. From an importer's point of view, these risks are in reverse order. The lowest risk for an importer is the consignment method, the following methods are arranged in order of increasing risk as follows: open account, document collection, letter of credit and prepayment. All these methods are represented in the classical complex, not reflecting the contractual case of production. The authors of the article conducted a qualitative study among the contract manufacturers of goods operating in Eastern Europe and importers of their products - brand owners. The conducted research allows to include the method of payment before production into the classic complex of five payment methods.

Interplay Between Customs Valuation and Transfer Pricing in the European Union: General Observations and Administrative Practices in Four Countries After the Hamamatsu Case

Although related party transactions account for most of the international trade transactions, they present a unique set of challenges when it comes to accurately representing the actual value of the transaction. Given the different objectives pursued, transfer pricing and customs law approach the issue in quite different ways, which often leads to discrepancies, complications and inconsistencies to be addressed by multinational businesses. The international business community and international organisations aim for an alignment of the two approaches, but so far, no concrete legal solutions have been reached. In the market of the European Union (EU), the European Court of Justice (ECJ) addressed the issue of the potential interplay between the two legal systems in the Hamamatsu Photonics Deutschland GmbH Case (Hamamatsu Case). However, the position held by the ECJ is not clear, nor are the consequences arising from this case law. The result is that a stronger alignment between the two depends to a large extent on the administrative practices in the local EU countries. This article aims at providing a comprehensive examination of the current strategy used by several member states (Spain, Italy, the Netherlands and Germany) both before and after the Hamamatsu Case, and explores local practices used to reconcile transfer prices and customs values. Furthermore, in the light of the current fragmented administrative national practices, we present some proposals to amend the Union Customs Code (UCC) that may improve the clarity and fluidity of the interrelationship between transfer pricing and customs valuation in the case of related party transactions.

Pengaruh Jumlah Produksi, Nilai Tukar dan Inflasi terhadap Komoditi Ekspor di Indonesia Tahun 2015-2020

Exports are the biggest contributor to each country's foreign exchange earnings. The role of Indonesia in taking part in international trade transaction players cannot be separated from the success factors in it. This quantitative study has the aim of knowing the success of exports from the impact of the independent variables on the amount of production, exchange rates and inflation for the 2015-2020 period. Footwear is the main center of the commodity under study. This research is located in Indonesia which uses a secondary data library review technique in the form of a monthly time series. The quantitative study method used as a reference for analytical calculations is the regression model. With the intention of knowing the impact of more than one independent variable. The final finding of this study explains that overall footwear exports have the influence of the independent variables on the amount of production, exchange rate and inflation. Total Production partially has a positive role in encouraging export success. On the other hand, the exchange rate and inflation in the short term show an insignificant impact in encouraging the success of footwear exports. Referring to the findings of this quantitative study, it is hoped that the government will pay more attention to the determinants of export success, especially footwear so that policies and innovations continue to be considered.

Gains from monetary policy cooperation under asymmetric currency pricing

In most international trade transactions, the U.S. dollar is used. Hence, this study considers optimal monetary policy in a two-country model under asymmetric currency pricing (ACP) in which U.S. (Home) firms use producer currency pricing (PCP) while firms in the rest of the world (Foreign) use local currency pricing (LCP). In the ACP model, there is an additional inefficiency, namely, the internal relative price distortion compared with the LCP model and the distortion arising from deviations from the law of one price compared with the PCP model. Consequently, welfare gains from monetary policy cooperation in the ACP model are substantially greater compared with the LCP and PCP models. Moreover, the noncooperative Foreign policymakers in the ACP model can manipulate not only the internal relative price but also deviations from the law of one price in favor of their own welfare through nominal exchange rate adjustment, whereas the noncooperative Home policymakers can control neither. This result rationalizes the fact that the U.S. designates currency manipulators to protect its welfare. Therefore, gains from cooperation in Home are larger than in Foreign. Furthermore, I find that there are substantial gains from cooperation in the ACP model even under the conditions that remove gains from cooperation in the LCP and PCP models.

Trade Deficit And Currency Devaluation: Testing The J-Curve

This paper is testing empirically the effect of a devaluation of a currency on the trade account of the country, the J-curve effect, by using the trade between the U.S. and seven countries (Euro-zone, Mexico, Canada, United Kingdom, Switzerland, Japan, and Australia). A devaluation (depreciation) of the U.S. dollar is increasing the spot exchange rate ($/FC) and increases the price of imports and reduces the price of exports. Then, imports are falling and exports are increasing and the trade account is improved in the long-run. In the short-run, the trade account is deteriorated because the international trade transactions are pre-arranged and the invoices are in foreign currency, so it cannot be adjusted. This J-curve hypothesis is tested by using a regression equation and a VAR model, where the volatility of the real exchange rate (TOT) is specified with a GARCH-M process. Also, different stationary tests are taking place, like, unit root and cointegration ones. The empirical results mostly are supporting the J-curve effect.

Choice of Law in International Business Contracts

Introduction: Differences in the national legal system and the contract law provisions of each country open up opportunities for conflict and dispute to occur. In addition, differences in national laws that serve as normative references for actors in international trade transactions can also cause doubt and uncertainty for foreign parties. Thus the choice of law can be referred to as the freedom of the parties in a contract to choose which law will be used and applies to the parties in an international agreement considering that the national contract law of each country is very diverse.Purposes of the Research: This writing aims to analyze the choice of law in international business contracts.Methods of the Research: This study uses a normative juridical method. Normative legal research is library research, namely research on secondary data. Secondary data has a scope that includes personal letters, books, to official documents issued by the government.Results of the Research: The legal principles regulated in international business transactions refer to the legal principles of international treaties/contracts agreed upon by the parties, and international trade conventions. The parties involved in international business contracts have the freedom to determine with whom and what the subject matter of the agreement they wish to enter into the contract as long as it does not violate the laws and regulations. Then by entering a choice of law, the parties can easily determine the contents of the business contract because each party can already get clarity about the law that will be used and the interpretation of the contents of the contract so that the implementation of the contract will run more optimally.

SDoC와 상호호혜인정 확산을 통한 한국 적합성 평가 경쟁력 구축 전략

Purpose : The common international language of trade is 'Standard'. Conformity assessment activities, such as certification, inspection, testing, and approval, are closely related to the standards and build confidence in the products and services that consumers or end users purchase. For this reason, conformity assessments are essential in operating a company in the global market and play a significant role in international trade transactions of goods and services. Research design, data and methodology : This study approached the concept of conformity assessment, technology theory, and international business perspective through previous studies. Korean and international conformity assessment-related systems were analyzed. The results were derived from literature research by dividing the SDoC 1st party inspection activity and Mutual Recognition 2nd party and 3rd party inspection activities. Results : Korea's conformity assessment diffusion strategy was proposed in response to the era of international standardization competition. First, to respond quickly to the standardization competition of major powers, the Supplier Self-Declaration of Conformity (SDoC) system for cooperative suppliers should be urgently applied and expanded. In other words, the conformity assessment system should be strengthened by spreading self-reports of primary suppliers to expand Korea's conformity assessment procedure, which plays a vital role in the international trade process, and implement it on the international stage. Second, international standards, standards, and relevant regulations must be strictly and reliably observed and implemented for the spread of conformity assessments. Third, international applicability must be secured through an international mutual recognition agreement for conformity assessment activities. Finally, to establish such a system and eliminate overlapping risks, the government should establish a national organization that can serve as a government-wide control tower that can lead and efficiently manage conformity assessment activities beyond the enactment and revision stage of application standards. This is necessary. Conclusions : The core of this thesis is recognizing the importance of conformity assessment activities and proliferation, which are essential intangible assets of exporting companies. Compared to previous domestic and overseas studies, the academic and practical implications of this study are as follows. Although research on the SDoC self-conformity declaration system has been conducted, there is no case suggesting a specific spread method. In addition, it will be possible for manufacturing companies to apply the mutually beneficial recognition suggested in the study to achieve high performance in the global overseas export market. Moreover, it will be possible to realize realistic profits for exporting companies through cost reduction and shortening of the period required for export and conformity assessment procedures, and it will also provide practical implications in that there is a need and value for continuous improvement in the future. However, for competing countries, such as China, which is using its standards and diffusion strategy by presenting the 14.5th manufacturing standard 2035 strategy, the Korean government should strive to realize the conformity assessment diffusion strategy presented in this study through diplomatic and trade negotiations in the future. In conclusion, this study is significant because it recognized the importance of the international conformity assessment process and provided an effective way to spread the Korean conformity assessment system and its detailed role.

Endorsement in bill of lading practice based on cases of teledischarge, letter of guarantee and non-endorsement

International Trade and international transportation are the origin and derivation. As a link, bill of lading connects trade, transportation and finance, which brings convenience to international trade transactions. Thereinto, the endorsement of bill of lading is one of the cases should be paid attention to. The law endows the bill of lading with three functions. The endorsement of the bill of lading is one of the requirements to realize its functions. According to the records and classification in the consignee column of the bill of lading, it has a more complex business practice to instruct the transfer of endorsement and delivery of the bill of lading. This paper discusses the special situations of "teledischarge", "letter of guarantee" and "non endorsement". According to the analysis, it is clearly pointed out the matters that all parties should pay attention to, which can help practitioners avoid relevant errors. These results shed light on guiding further exploration of endorsement in bill of lading practice.

Covid 19 Pandemisinin Yerel Ekonomik Etkileri: Isparta İli Dış Ticareti Üzerine Bir İnceleme

Dünya genelinde bir salgına yol açan Covid - 19 virüsü, 2020 mart ayında Pandemi olarak ilan edildiği günden bu yana hayatın her alanını geri döndürülemez bir şekilde etkilemiş bulunmaktadır. Yarattığı tahribatlar göz önüne alındığında ülkelerin pandemi gibi durumlara karşı hazırlıksız olduğu ortaya çıkmıştır. Bu çalışmada, öncelikle pandeminin ortaya çıkış süreci ve ekonomiye olan etkileri ele alınmış ve ilgili literatür taranmıştır. Salgınının küresel, ulusal ve yerel boyuttaki ekonomik etkilerine ilişkin değerlendirme yapılmaya çalışılmıştır. Sonrasında da salgının yerel düzeyde Isparta ili ekonomisi üzerine etkisi üzerinde durulmuştur. Yerel düzeydeki pandemi etkilerini Isparta ili özelinde uluslararası ticaret işlemleri yönünden incelenmeye çalışılmıştır. Bu bağlamda değişimi ortaya koyabilmek için yayınlanmış raporlar ve istatistiki veriler incelenerek pandemi öncesi ve sonrası durum hakkında bir karşılaştırma yapılmaya çalışılmıştır.

Reducing Information Redundancy for an International Trade Transaction: A Lean Information Management Approach

An international trade transaction is a process to transfer products between different countries. This process requires a particular set of procedures and a wide range of documents and paperwork, which involves many organizations from both sides of the two countries. To identify complexity and redundancy in the processes, lean information management is applied. Complexity of flow and redundancy of information in the documents are found. They cause unnecessary costs of time and resources in the transaction process. Ponanan et al. (2019) and Srichanthamit and Suto (2019) have proposed an algorithm to reduce the complexity and information redundancy. In their algorithm, redundant information which can be considered as waste information is decreased. However, the distance, which is one of waste motion, when information is delivered from one organization to another, has not been addressed yet. In this paper, a new algorithm is proposed to include this issue when reducing redundant information. The proposed algorithm ensures information conservation of the flow and a decrease of the distance for receiving the information of each organization in the flow. Furthermore, a case of the exporting process between Thailand and Lao PDR is used to show the ability of the proposed algorithm.

The Application of Internet of Things Data Analysis in the Development of International Trade.

There are some problems in the application of current data analysis methods in international economy and trade, such as low service efficiency, low data utilization, and low degree of intelligence. Based on this, this paper studies the application of the Internet of things data analysis method in international trade development and economic and industrial growth. Firstly, the Internet of things economic data analysis model (IOT-EET model) based on simulated annealing early warning algorithm is established to store and analyze the data in the whole chain of international trade. Then, combined with the analysis methods of international trade economic data over the years, it is fed back to the IOT-EET model for error calibration. Finally, relevant experiments are designed to analyze the correlation between international trade development and national economic growth. The results show that compared with the traditional method based on module data analysis, this IOT-EET model can realize the correlation matching analysis of the data involved in the development of international trade in combination with the Internet of things technology and analyze the factors affecting international trade transactions. Therefore, it has the advantages of good reliability and strong pertinence.

Using Paypal As E-Payment In The International Payment System

Paypal is an electronic payment system service in the form of an online account that can transfer money using electronic mail. Paypal as an electronic payment system can be used as an international payment system for business actors and consumers in the process of trade transactions between countries. This study aims to conduct an assessment of the use of paypal as an e-payment in international payment systems. The method used in this research is in the form of qualitative content analysis. This research process begins by collecting data from various data sources such as Google Scholar, ScienceDirect and various other sources that are able to support this research. After the data sources have been collected, we determine some of the main themes that will be discussed in this journal. Based on the data sources that have been collected, it can be seen that Paypal as a platform with an electronic payment system is one of the companies that is able to dominate the market through the international online payment system. The presence of Paypal is able to answer concerns for consumers and merchants regarding shipping, duties and taxes, and guarantees about safe payment methods and protection for international trade transactions and become an accessible and inexpensive cash management infrastructure for small companies that allows the commercialization of products globally quickly and efficiently.