Because Chile is a small country with few big importers. Usually, family businesses account for the majority. Their auto parts business is good, there must be business. If you have the chance to get the yellow pages of Chile, Argentina or Bolivia, you can find almost all the business information you want on them. Because as long as it is a regular company registered in Chile for more than one year, it will definitely be found in the yellow pages.
Regarding telephone contact, if customers in South America can speak English, we can call to say hello. It's best not to talk about work, just say hello. If he is interested, he will tell you directly. In addition, the time difference between South American countries and China is about 12 hours. It's best to call South American customers in the afternoon 10, China time. By this time, the other party should have just entered the office after breakfast and feel better. Third, patience is very important.
The inefficiency of South American countries is a headache. It often happens that you are stood up on a date with a client. In their view, being late or breaking an appointment is not a big deal. So patience is very important if you want to do business with South Beauty. Don't think that if they don't reply to emails for a few days, they will think that there is nothing. In fact, they are likely to meet a festival in Chile. Moreover, Chilean law stipulates that you can't force overtime on holidays, and even if you work overtime, you have to pay four times the salary.
When negotiating with South Americans, we should leave enough time for the long negotiation process and leave enough room for the initial bid. The negotiation process will be long and difficult, because South Americans are generally good at bargaining, so we should be patient. Fourth, the credibility of payment. Generally speaking, the reputation of Chile is still relatively good. Most importers prefer to make letters of credit. Usually, according to the credit degree, letters of credit need to pay a deposit (200%-50%) to the bank in advance. So there is basically no need to worry about payment. However, the payment cycle is relatively slow, and it usually takes about 20-30 days after delivery to collect foreign exchange. It is mainly caused by bank transfer. Therefore, it is often found that the L/C opened in Chile will not be paid until the goods arrive at the port. Therefore, you must be psychologically prepared to receive a letter of credit from Chile. Letters of credit in Chile have many clauses, often 2-4 pages long. Sometimes the notice is actually in Spanish. All you have to do is list the items that you think are unreasonable and inform the other party to modify them. The modified money will be automatically deducted from the payment, so don't worry about the other party not changing it.
Brazilian importers prefer payment methods other than L/C, and it is easy for old customers to delay payment to China exporters. However, for new customers, if payment is made by means other than letter of credit, they must receive part of the deposit in advance. V. South American market with diversified demand As a member of BRIC countries, Brazil has the most perfect industrial system in Latin America, and its economic strength ranks first in Latin America. It should be reminded that Brazil has a perfect industrial system and a solid industrial base, and there are many overlaps with China's industries. It should be said that the industrial complementarity between China and Pakistan is not very strong. In short, many products made in China can also be made in Brazil. According to the survey of the Confederation of Brazilian Industries, 26% of industrial enterprises in Brazil have become competitors of China. In the competition with China enterprises, 52% said they lost the market, 3% said they increased their market share, and 45% said they remained stable. For a simple example, Intelbras, the largest manufacturer of telephones and telephone exchanges in Brazil, purchases more than10 million dollars in China every year, but this does not mean that Brazil does not produce telephones and telephone exchanges. For low-cost low-end products that Brazil can't produce and high-end products that Brazil can't achieve, Intelbras will choose OEM; In China; For mid-range products, Intelbras will choose to produce in Brazil. This is completely different from our opening up markets in the Middle East and Africa. Brazil, the Southern Common Market (Mercosur), consists of four member countries: Brazil, Argentina, Uruguay and Paraguay, and two associated countries: Chile and Bolivia. Most goods among MERCOSUR member countries can trade freely without tariffs, and the external tariff of MERCOSUR is 23%. ), many industrial products flow from Brazil to South America. Although most domestic products have absolute cost advantages, the high freight rate increases the product cost because they are far away from South American countries. Therefore, when we enter the South American market, we should pay special attention to whether our products are made in Brazil and the situation of our competitors, accurately locate our product advantages and find out the differences between our products in Brazil. Do a good job of market research in advance, and don't blindly enter the South American market. The tastes and political status of South American consumers are very different, and the only similarity is diversity. Take the car as an example. In Peru, a whole ship of cheap Japanese cars was converted into left-hand drive cars on the dock and then sold to relatively poor areas in South America. In Brazil, years of political stability and economic growth have led automakers to plan to import cars from the United States. In Venezuela, automakers are worried that their factories will be taken over by the government. The large cars and trucks driving on the roads in Argentina are very old. This shows that Argentine car manufacturers have high profits, but low sales.
The voltage and frequency in Chile are the same as those in China, so China's motor can be used directly in Chile. Chile has a weak industrial base and incomplete categories, mainly some light industries and processing industries. Therefore, China has great potential to export high-tech products and electromechanical products to Chile. Furniture, textiles and hardware: Furniture, hardware and textiles have a considerable market in Chile. Almost all the hardware and textiles come from China. The furniture market has greater potential. There are two big furniture sales centers in San Diego, and Franklin is the biggest one. The daily necessities sold to Chile belong to the second-and third-rate products with average domestic quality, and have been monopolizing the market because of their superior price. However, Chileans often scold China for its poor quality. In fact, there are many domestic products with good quality, but the consumption level in Chile is limited. If you enter the first-class product, the price will generally rise by 50%- 100%, which may not be affordable for ordinary consumers in Chile. Furniture export enterprises may wish to consider opening their processing plants to Chile. There are many log processing plants in southern Chile, and the furniture produced can be directly digested on the spot, which can reduce the high sea freight. Fitness equipment: Many apartments in Chile are equipped with fitness centers, and gyms are also very popular in Chile, so there should be a certain market. Despite this, Chile has a small population and limited consumption power. The suggestion can start from Brazil, because many industrial products flow into South America from Brazil. Automobiles and auto parts: South America's auto market is the fourth largest in the world after North America, Asia and Europe. If China automobile manufacturers want to successfully enter the Brazilian market, they will face practical difficulties such as the competitive advantages of established automobile enterprises in Europe, America, Japan and South Korea, the complexity of local laws and regulations, and strict requirements for safety and environmental protection.
There are 460 auto parts enterprises in Brazil, most of which are concentrated in Sao Paulo and the triangle between Sao Paulo and Minas and Rio de Janeiro.
Rodobens is the largest automobile sales and service group in Brazil; With a history of more than 50 years, it has more than 70 dealers all over Brazil, Argentina and other regions, mainly engaged in passenger cars and their accessories of many international brands such as Toyota, GM, Ford and Volkswagen. In addition, Rodobens is Michelin's largest distributor in Brazil. Although Brazil produces 2 million cars every year, the local supplier base is still quite weak and imperfect, and all the parts required by the original manufacturers may not be found in Brazil, which makes them need to import parts such as die casting, brakes and tires from other countries.